Court declines to stop Sh39.9mn Sauti Sacco payout in land dispute

NAIROBI, Kenya, May 7 – The Court of Appeal has declined to halt the release of Sh39.9 million by Sauti Savings and Credit Co-operative Society (Sacco) to compensate nine land buyers in a title deed dispute.

The nine appellants moved to court in 2021, accusing the Sacco of failing to issue title deeds despite fully paying for the parcels of land.

They also alleged that the Sacco attempted to sell parts of the land without their consent, prompting them to seek legal intervention.

In 2023, the parties entered into a consent agreement during proceedings in the lower court, leading to an award of damages. Part of the compensation was paid, while the remaining Sh39.9 million was deposited in a joint account.

The Environment and Land Court awarded the respondents Sh4.3 million per plot.

In its appeal application, the Sacco argued that the case raises critical questions on how compensation for the land was assessed.

The Sacco further claimed that releasing the funds before the appeal is heard would expose it to financial loss, adding that it may not recover the money if the appeal succeeds.

However, the respondents opposed the application, arguing that the Sacco was only seeking to delay their enjoyment of a lawful court judgment.

The appellate judges ruled that the Sacco failed to provide sufficient evidence showing it would suffer irreparable financial loss or that the respondents lacked the financial ability to refund the money should the appeal succeed.