NHIF Faces Potential Loss of Sh7 Billion Land in Karen Estate Dispute

The National Health Insurance Fund (NHIF) faces the potential loss of a valuable 10-hectare parcel of land in Karen Estate, valued at approximately Sh7 billion. The land, initially acquired by NHIF in 2002, has been claimed by a group that has cleared all land rent and rates with the Ministry of Lands and Nairobi County.

NHIF Chief Executive Alex Wachira revealed that the group, represented by Peter David Leparaku, has paid land rent arrears up to 2023, while NHIF has only paid for the year 2023. Despite NHIF's attempts to pay land rates to Nairobi County, the county has issued payment receipts to Leparaku, despite receiving similar payments from NHIF.

The land dispute has hindered NHIF's plans to construct a Karen Medical Centre of Excellence on the property. The fund had previously paid professionals to design the Karen Resource Centre on the land, but construction has not commenced due to the ownership dispute and lack of approval from the parent ministry.

The Public Investments Committee (PIC) is currently investigating the land ownership status and allegations of irregularities at NHIF. The committee has expressed concern over NHIF's failure to fence the land despite a court order and its inability to implement previous PIC recommendations to take possession of the land.

NHIF's efforts to take possession of the land have been met with resistance from the claimants, resulting in court suits and the arrest of NHIF security guards. The PIC has invited the Directorate of Criminal Investigations (DCI) to assist in the investigation of the ownership dispute.