Private Investor Secures Court Victory in Railways Land Row

The interim court orders, issued in favour of Boss Freight Terminal Limited (BFTL), part of the TAL Group, a privately held Kenyan logistics conglomerate, direct Kenya Railways to cease all operations at the disputed property in Mbaraki, Mombasa, and instruct the police to enforce the eviction.

The orders will remain in force pending the hearing and determination of the main suit filed by BFTL, which challenges what it describes as an unlawful and hostile takeover by the state corporation.

Delivering his ruling on 23rd July 2025, Justice S. M. Kibunja stated:

“The plaintiff, having been successful in the application, is awarded costs.”

The judge further ruled:

“In view of the foregoing, the court finds the said application has merit and orders as follows: a temporary order of injunction is granted. A mandatory order of injunction is also granted.”

According to the judge, the investor’s application met the legal threshold for interim relief. He found that the plaintiff had a strong prima facie case against the state corporation and that failure to grant the orders would render the main suit nugatory.

“The lower risk of injustice or inconvenience in the present case lies in granting the injunction, so as to prevent the plaintiff from suffering irreparable reputational, commercial, and operational losses, while holding title to properties that have not been successfully challenged.”

Boss Freight Terminal Limited holds a title deed dated 15th December 2014, and argues that Kenya Railways’ continued occupation not only disrupts its business but also creates new facts that could render its main legal claim ineffective.

The dispute arises amid recent efforts by Kenya Railways Corporation to reclaim several bonded warehouses in Mombasa, which it alleges were unlawfully acquired or encroached upon by private investors. The attempted seizure of BFTL sparked the ongoing legal battle, with the Attorney General also named as a respondent.

On 20th May 2025, BFTL moved to court seeking interim injunctive relief, requesting that the corporation be compelled to vacate the premises, restore possession, and respect its property rights.

The firm argued that its investment would suffer irreparable harm if urgent measures were not taken to preserve its interests pending the outcome of the main suit, where it seeks to establish itself as the legitimate owner of Land Reference Block XLVIII/173 and 174.

The investor emphasised that the site consists of sensitive, secure, government-regulated facilities handling transit cargo, designated as Customs Bonded Freight Stations, and must therefore be protected from arbitrary state interference.

The application alleges that Kenya Railways forcefully entered the premises on 18th May 2025, without prior notice or court orders, evicted the investor, and deployed armed police and guards to assume control. The invasion, the firm claims, paralysed operations, disrupted customs processes, and exposed it to significant commercial, contractual, and reputational losses, while also violating its constitutional right to property.

Kenya Railways and the Attorney General both opposed the application. Kenya Railways maintained that it is the rightful owner of the land and described the investor’s title as fraudulent.

The Attorney General argued that granting the orders would be contrary to the public interest, as Kenya Railways was already occupying and redeveloping the site. He further asserted that, should the investor succeed in the main suit, financial compensation would suffice. He insisted that the public interest, as represented by Kenya Railways, outweighs the investor’s private commercial interests.

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