EACC blocks auction of Matili college assets, terms it fraudulent

Court documents show that the auction was seeking to recover an alleged debt of Ksh.17 million for work done in 2010, which the EACC has established to be fraudulent and non-existent.

On October 30, Lady Justice Sharif Mwanaisha also stopped the transfer of ownership of the institute's driving school motor vehicle, which is said to have already been sold through public auction.

The EACC informed the court that, through its investigations, the Institute's property auction was based on a fraudulent claim and was not available to the court when judgment was delivered on January 15, 2024.

"Investigations established that despite the construction company having received full payment for all the contracted works by 2017, the contractors went ahead to file a suit in 2020 and successfully obtained judgment for payment of Ksh. 17 million, comprising the alleged debt of Ksh. 9,071,000 together with interest," stated the court documents.

The construction company, before the intervention by the Commission, had commenced the auctioning of the Institute's critical movable properties, like training tools and equipment, all electronic equipment, power generators, and foodstuffs procured for students during the execution of the court judgment.

EACC is now seeking orders to have the concluded case reopened, the new evidence of fraud uncovered through investigations taken, and the High Court judgment sanctioning the contractor’s fraudulent claim set aside.

“This Honourable Court is vested with residual jurisdiction to re-open and re-determine a concluded matter where the need to obviate injustice outweighs the principle of finality," read the court documents.

“It is in public interest to issue the orders sought and to ensure that the Applicant is enabled to effectively execute its constitutional responsibility of fighting corruption and shielding public property from corrupt individuals, including unscrupulous contractors and agents whose greed, avarice and moral depravity drive them to brazenly perpetrate acts of fraud and other deceitful practices against public institutions.”

The Institute's Chairman of the Board of Governors, Canon Professor Okumu Bigambo, and the Chief Principal Judith Sande stated that the auction threatens the Institute's existence and called for resolution of the matter, noting that the institutional operations could be paralyzed if the contractors proceed with the auction.

The Court will deliver a ruling on the EACC application on February 12, 2026.