The Auctioneers Licensing Board has suspended a prominent auctioneer following the controversial sale of two trucks belonging to a businessman, despite evidence that the debt at the center of the dispute had already been paid.
In a ruling delivered at the Milimani Law Courts, Board Chairperson Njeri Thuku ordered the suspension of Eliud Chai Wambu of Chador Auctioneers for six months after investigations found the auction to be illegal.
The board also directed Wambu to compensate businessman Stephen Nganga Njuguna with KSh50,000 and pay an additional KSh100,000 penalty to the board.
According to the tribunal, the businessman had fully settled the outstanding debt before the auction was conducted, making the seizure and sale of the trucks unlawful.
The board further advised Njuguna to file a civil suit to recover additional losses linked to the disputed auction.
The case attracted national attention after videos and reports of the truck auction spread widely online, triggering outrage and raising concerns over misconduct within the auctioneering industry.
Speaking after the ruling, Njuguna welcomed the decision, describing it as a victory for justice. He said he would proceed to court to seek further compensation for damages suffered.
The ruling comes amid an ongoing crackdown on rogue auctioneers. The Auctioneers Licensing Tribunal disclosed that seven auctioneers have been suspended and 15 companies fined within just two days over professional misconduct and procedural violations.
The latest action is being viewed as a warning to auctioneers accused of abusing debt recovery procedures and ignoring legal safeguards meant to protect property owners.