Nairobi Property Director Charged Over Ksh28 Million Housing Fraud

Bildad Wambua, the director of Gladdens Homes Limited, appeared before the Milimani Anti-Corruption Court on Monday facing a 22-count charge sheet that accused him of obtaining money by false pretences from buyers who paid deposits for housing units in a development that was never built.

The alleged fraud, which prosecutors say unfolded between 2023 and 2025, targeted middle-income buyers drawn by marketing materials showing artist impressions of a 48-unit residential development in Ruiru, approximately 20 kilometres from Nairobi's CBD. Buyers paid deposits ranging from Ksh800,000 to Ksh2.2 million — significant portions of savings that many had accumulated over years or borrowed from SACCOs.

When completion dates passed without construction beginning and calls to Wambua went unanswered, buyers formed a WhatsApp group that eventually connected all 22 victims and led to a joint complaint to the DCI. Investigators found that the land on which the development was marketed had never been purchased by Gladdens Homes, and that the company had no building permit applications on file with Ruiru Urban Area.

Wambua denied all charges before the court and was released on Ksh3 million cash bail. His lawyer described the case as "a business dispute that has been criminalised" — a characterisation that drew visible anger from the victims seated in the public gallery.

The case underscores ongoing vulnerabilities in Kenya's off-plan property market, which has seen a significant volume of fraud allegations in recent years as housing demand has grown faster than regulatory oversight. The Housing Regulatory Authority, established under the Housing Act amendments of 2023, has powers to inspect developers and escrow deposits but has been slow to operationalise enforcement mechanisms. Buyers' advocates are calling for mandatory deposit protection insurance as a baseline requirement for all off-plan sales.