Erdemann Properties Ltd is losing over Sh10 million daily after the National Environmental Tribunal stopped further construction of its multi-billion project, a court heard on Monday.
NET stopped Edermann’s construction of Great Wall Garden Estate Phase III in Athi River over pollution in their sewer lines.
On August 12, London Distillers Ltd filed an appeal at NET and later got orders stopping any further construction and developments by Erdermann in Athi River.
In a case filed in court, the company wants the court to suspend the order dated September 6.
It is their argument that they are incurring losses on account of the violations of their fundamental rights, further claiming that in the two weeks before the mention of the case, they will lose Sh140 million.
It is also their argument that more than 2,000 of their employees are currently out of jobs on account of the constitutional violations.
According to the real estate firm, the actions of the tribunal have occasioned grave prejudice to their company and amounts to a violation of their rights.
“The impugned actions and decisions have resulted in the halting of their construction of Great Wall Garden Estate Phase III, a remarkable investment accelerating access to affordable quality housing which is also in line with the government's Big Four agenda on affordable housing,” they said.
Erdermann says it employs in excess of over 2,000 people who now run the risk of losing their jobs. They say the move further exposes the firm to a myriad of legal claims from its investors who have now withdrawn and are demanding a refund of their deposits.
“Erdermann is exposed to serious pecuniary and irreparable reputational damage, unjustifiably so as our fundamental rights and freedoms protected by the Constitution are abridged and threatened with a further violation,” they argued.
They further said that the tenure of the current members of the tribunal expired on October 21 and hence, they don’t have the quorum to conduct a hearing.
In an affidavit, Erdermann Director Zeyun Yang says the land in Athi River is theirs. He said the third phase of the project will comprise 576 units, adding that that Phase 1 and 2 have been sold and already occupied.
The firm was granted five days to complete the construction of the pillars supporting its sewer line.
Edited by R.Wamochie
