Former Education Cabinet Secretary Fred Matiang'i is facing renewed scrutiny after the Ethics and Anti-Corruption Commission (EACC) announced plans to recover Sh1.5 billion and revive criminal investigations in the controversial Ruaraka land compensation saga, following a landmark Court of Appeal judgment that declared the payment unlawful.
The anti-graft agency said it will institute civil proceedings to recover the money and resubmit its investigation file to the Office of the Director of Public Prosecutions (DPP) for consideration of criminal charges against public officials and private individuals found culpable.
The latest development follows a Court of Appeal decision delivered on July 3, 2026, which upheld an earlier judgment by the Environment and Land Court that the land occupied by Ruaraka High School and Drive Inn Primary School was already public land and, therefore, could not lawfully be acquired through compulsory acquisition.
The appellate judges found that the National Land Commission (NLC) had no legal basis to compensate private entities for land that had already vested in the Government, effectively declaring the Sh1.5 billion compensation illegal, null and void.
The judgment marks the most significant legal development in a scandal that has dominated Kenya's anti-corruption agenda for nearly a decade.
How the scandal began
The controversy dates back to 2017 when the Ministry of Education sought to secure ownership of land occupied by Ruaraka High School and Drive Inn Primary School in Nairobi.
At the time, private firms Afrison Export Import Limited and Huelands Limited claimed ownership of approximately 13.5 acres on which the two public schools stand.
Following a request from the Ministry of Education, the National Land Commission initiated compulsory acquisition proceedings and approved compensation amounting to about Sh1.5 billion to the two companies.
The payment immediately attracted public outrage because the schools had occupied the land for decades, prompting questions over why taxpayers were being asked to purchase land already being used by public institutions.
Investigations by the EACC later established that the land had been surrendered to the Government free of charge as a condition for the subdivision of LR No. 7879/4. According to the Commission, once the surrender was completed, the land became public property reserved for educational purposes.
If that was the case, investigators argued, there was no legal justification for the Government to compulsorily acquire and compensate private companies for its own land.
The revelations transformed what had initially appeared to be a routine compensation exercise into one of Kenya's largest alleged public land scandals.
Matiang'i's role
Although Fred Matiang'i has consistently denied any wrongdoing, investigators examined the role played by the Ministry of Education because it initiated the compulsory acquisition process while he served as Cabinet Secretary.
The EACC sought to establish whether adequate due diligence was conducted before the ministry requested compensation and whether public officials ignored records showing the land had already been surrendered to the Government.
Also investigated were former National Land Commission Chairperson Muhammad Swazuri, former Education Principal Secretary Belio Kipsang, businessman Francis Mburu Mungai and officials linked to the beneficiary companies.
Those mentioned have denied wrongdoing or defended their actions, and none has been convicted over the compensation.
What today's ruling means
The Court of Appeal's decision removes one of the final legal hurdles that had delayed enforcement action by the EACC.
The Commission disclosed that it had completed investigations and forwarded the inquiry file to the DPP in February 2025. However, the prosecution process was suspended pending the determination of the appeal challenging the Environment and Land Court judgment.
With the appeal now dismissed, the EACC says it will move to recover the entire Sh1.5 billion from the beneficiaries of the compensation and resubmit its investigation file to the DPP for consideration of criminal charges.
The Commission also wants the Ministry of Education and the National Land Commission to expedite the issuance of title deeds for Ruaraka High School and Drive Inn Primary School to protect the institutions from future ownership disputes.
Political implications
The revival of the Ruaraka case comes at a politically sensitive moment for Dr Matiang'i, who has re-emerged as a key opposition figure and is widely viewed as a possible presidential contender ahead of the 2027 General Election.
While the former Cabinet Secretary has maintained that he acted within the law and in the interest of protecting public schools, the Court of Appeal judgment has renewed attention on one of the most controversial decisions made during his tenure at the Ministry of Education.
Whether the matter results in fresh criminal charges now rests with the Director of Public Prosecutions, who will review the EACC's findings before determining whether any of those investigated should be arraigned in court.
The outcome is likely to be closely watched, not only because of the amount of public money involved but also because it could shape the political fortunes of some of the senior figures whose names have featured in the investigations.
