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The day MKU founder was sued and later won the case

admin March 28, 2022

Mount Kenya University chairman Simon Gicharu

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On June 6th 2019,two businessman named  Bernard Gikundi Mwarania and Margaret Karirwa Mwongera, through their company Step Up Holdings Ltd, wanted the university’s founder Simon Gicharu (right) compelled to compensate them for loss of business opportunity.

The businessman and his partner had claimed that they had lost a multi-million shillings after being short changed in a business deal.

They moved to court and filed a case against MKU founder and businessman Simon Gicharu but Justice Joel Ngugi dismissed their case for lacking merit.

Justice Ngugi ruled that Mr Mwarania and Ms Mwongera were abusing the court process by filing several suits against the university and its founder when the dispute had already been decided in different Court.

Construction of Sh2.5bn MKU hostels to start in January

“It is really difficult to see any liability when one looks at the allegations made against the university. In the end, I find that the suit is an abuse of the court process, lacks merit and a misjoinder of parties, which should have not been sued in the first place,” ruled Ngugi in 2019.

The two had claimed in their application that they had entered into an agreement with Mt Kenya University to run a campus in Nakuru, which they established and the university agreed to pay them collaboration fees.

In March 2011, they reached another verbal agreement to open another branch in Kericho town, where they would also be paid collaboration fees.

But in April 2011, the two argued that Prof Gicharu ordered that the Kericho Town campus be closed and that the 3,807 students and 295 members of staff be relocated to the Nakuru campus.

Prof. Simon N. Gicharu (@SimonNGicharu) / Twitter

This, they said, caused them loss of millions of shillings for establishing the premises for the campus in Kericho and leaving the place deserted with no students. It is why Mwarania and Mwongera wanted Gicharu and Mt Kenya University to compensate them for loss of business opportunity.

Justice Ngugi agreed with Gicharu’s objection to the suit on grounds the dispute was pending before other courts and that it would be improper to hear the application.

Gicharu, in response, also stated that there was no collaboration agreement between the university and the two, and that the suit was only meant to embarrass him and the university’s management.

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