The Supreme Court has temporarily stopped the recovery of Sh1.5 billion paid as compensation for land occupied by Ruaraka High School and Drive-In Primary School, pending the determination of an application filed by Huelands Limited.
The apex court has also stayed investigations, arrests, charges or prosecutions against Huelands, Afrison Export Import Limited, Whispering Palms Estate Limited and their directors or officers arising from the controversial Sh1.5 billion payment.
In orders issued on August 18, 2026, the Supreme Court certified Huelands’ application as urgent and granted an interim stay of the Court of Appeal judgment delivered on July 3, 2026, together with consequential orders, pending the hearing and determination of the company’s motion.
The Supreme Court’s interim stay specifically stops any demand for, or steps aimed at recovering, the Sh1.5 billion paid as compensation for the portions occupied by Drive-In Primary School and Ruaraka High School. It also prevents any investigation, arrest, charge or prosecution of Huelands, Afrison, Whispering Palms Estate Limited or any of their directors or officers arising from or connected to the compensation payment.
The court further stayed any alteration, rectification, cancellation or amendment of the land register relating to L.R. Nos. 7879/4, 7879/24 and 7879/25, including the portions occupied by the two schools. Any demolition, re-entry, eviction, transfer, charge or other interference with Huelands’ occupation, use or claimed registered proprietary interest in the disputed portions has also been temporarily stopped.
The dispute arises from a July 3 judgment by Court of Appeal judges W. Karanja, Francis Tuiyott and Weldon Korir who ruled the school land was public land. The Court of Appeal found that although Huelands and Afrison remained the registered proprietors of the parent title, L.R. No. 7879/4, the portions occupied by Drive-In Primary School and Ruaraka High School had been validly surrendered to the government through an approved subdivision process. The appellate court consequently held that the portions constituted public land, meaning the National Land Commission had no legal basis to compulsorily acquire them and pay compensation. It therefore declared the Sh1.5 billion payment unlawful and dismissed the appeal.
Following that judgment, the Ethics and Anti-Corruption Commission announced that it would pursue recovery of the Sh1.5 billion paid to Afrison and Huelands through Whispering Palms Estate Limited.
EACC also said investigations into the criminal culpability of public officials and other individuals involved in processing the compensation had been completed and that the inquiry file would be resubmitted to the Director of Public Prosecutions for consideration of criminal charges. Huelands then sought urgent intervention from the Supreme Court, arguing that the Court of Appeal judgment exposed the company and its directors to imminent recovery proceedings as well as investigative and prosecutorial action before its appeal could be heard.
In its substantive appeal, Huelands wants the Supreme Court to overturn the Court of Appeal decision and declare L.R. No. 7879/4 private land with an indefeasible title registered in the names of Huelands and Afrison. The company maintains that the portions measuring approximately 2.747 hectares and 2.737 hectares occupied by Drive-In Primary School and Ruaraka High School respectively were never surrendered to the government in September 1982.
Huelands also wants the Supreme Court to find that Whispering Palms Estate Limited was properly appointed to receive the first tranche of Sh1.5 billion compensation and that the payment did not result in loss of public funds. The company and Afrison are further seeking payment of Sh1.769 billion, which they describe as the outstanding balance of compensation.
The respondents have been given five days from the date of service to respond to Huelands’ application, after which the company will have three days to file a reply, if any.
The matter will be mentioned before the Deputy Registrar of the Supreme Court on August 28, 2026, for further directions.
