Abala Wanga at Centre of KSh7.2 Billion Kisumu Disaster as City Pays Price for Unchallenged Spacebuster Case
Source: Kenya Today
Summary
BY KT Team Kisumu taxpayers are staring at a staggering KSh7.203 billion liability arising from a failed tuck-shop project after the High Court found the Kisumu City Board and County Government liable for frustrating a contract with Spacebuster Limited in proceedings where the defendants ultimately called no evidence and did not cross-examine the company's witness. The dispute traces back to a contract signed on December 2, 2020 , under which Spacebuster was to design, install and manage at least 6,000 tuck shops at designated locations in Kisumu for a period of 10 years. Under the commercial arrangement recorded by the High Court, each tuck shop was expected to generate KSh10,000 in monthly rent. The Kisumu City Board was to receive KSh500 from each unit while Spacebuster retained KSh9,500. SheriaHub Those numbers would eventually become extraordinarily expensive for the county. Justice M.S. Shariff awarded Spacebuster KSh363.33 million in direct expenditure and losses and another KSh6.84 billion in projected income , bringing the principal award to KSh7.20333 billion , before interest and legal costs. Kenya Law Kisumu Walked Away From the Trial Perhaps the most striking aspect of the case is how Kisumu City and the County Government handled their defence. Court...