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{
    "id": 1346256,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1346256/?format=api",
    "text_counter": 148,
    "type": "speech",
    "speaker_name": "Molo, UDA",
    "speaker_title": "Hon. Kuria Kimani",
    "speaker": null,
    "content": "the ruling on that day and directed that Mr. Bett, on behalf of the Attorney General, do file his objection and response within three days. I reserved the ruling for 27th October 2023. As of that day, the National Treasury had filed no pleading. Once again in deference to the principle of fair hearing, I adjourned the ruling to 3rd November 2023. As of the time of writing this ruling, nothing has been filed. The wheels of justice must roll over and will await no one.” Consequently, through the Office of the Attorney General, the National Treasury filed a Notice of Appeal on 14th November 2023. Further, the Office of the Attorney General will explore filing a review of the ruling made by the court such that the orders requested by the National Treasury, with regard to the sale, consider all parties to be enjoined in the valuation of the process. However, having met the National Treasury on this matter, the Departmental Committee on Finance and National Planning observes the following: 1. Among Uchumi's largest creditors is the Government of Kenya, which loaned Uchumi Limited Ksh1.2 billion. The Government of Kenya has a charge on the said property of land. It would have been prudent to make a submission to the court within the allowable window and petition the court for grant of orders based on public interest. 2. The property L.R. 209/12593 was valued at Ksh1.4 billion in 2018, five years ago, while the UBA Bank debt is only Ksh162 million. 3. The National Treasury has clearly treated this matter casually, as evidenced by the inability to file objections to the court proceedings on time, despite the judge even extending the time to give courtesy to the National Treasury to make pleadings. 4. Proper valuation should be done by a valuer and an amount agreed upon jointly between UBA Bank, the creditor for the Ksh162 million loan, and the Government of Kenya. The Government of Kenya here is both a creditor and a shareholder, which means that the entity that stands to lose the most in this particular transaction is the Government of Kenya, as both a shareholder and a creditor to Uchumi Supermarkets Limited. 5. It is unclear whether the income from the proceeds of the sale of the land will be shared among the parties encumbered with the subject parcel of land. The Committee resolved as follows: We directed the National Treasury to hold a tripartite meeting with the Office of the Attorney General, UBA Bank and management of Uchumi Supermarkets PLC and report back to the Committee within 30 days. The discussion should centre on three things: 1. Secure the said property and protect the public asset. 2. Undertake a proper valuation of the land to ascertain the actual value of the land. 3. Explore the possibility of compulsory acquisition of the land for use by the Government of Kenya and pay off UBA Bank. To make a very short summary, UBA Bank lend Uchumi Supermarkets Limited Ksh162 million. Uchumi Supermarkets Limited gave the security of their land as a charge to the property. In the last valuation done in 2018, that land was valued at Ksh1.4 billion. The most logical thing to do as a shareholder is to pay off the Ksh162 million to UBA Bank and take over the property worth Ksh1.4 billion. This matter went to court, and the court granted the National Treasury sufficient time and even postponed its judgment to allow them to make pleadings so that they are enjoined in this case. The National Treasury was not represented in the pleadings, and do not make any submissions. What is interesting and an example of the power of Parliament and the critical role it plays in its oversight role is that, when this Statement The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor"
}