A former executive director of a Kenya-based industrial real estate developer has filed a lawsuit seeking more than US$2.8 million (approximately Ksh364 million) in disputed equity interests and damages linked to developments in Tatu City and Tilisi, part of an industrial portfolio valued at more than US$100 million (Ksh13 billion), according to court filings.
In pleadings filed in the Employment and Labour Relations Court (ELRC), Mr. Asbury Maruza Chikwanha has sued companies associated with British aristocrat, Charles George Barrington The Lord Tryon,who is the Chairman and Co-founder of ALP Management Kenya Limited (ALP) and its parent company, Africa Logistics Properties Holdings Limited (ALPH), alleging unlawful termination, discrimination and breach of contractual obligations intended to avoid fulfilling equity obligations under his employment contract.
According to court papers, Mr. Chikwanha alleges that he was headhunted by ALP’s former CEO to lead development operations in Kenya and the wider region but initially declined the role due to a significantly lower base salary compared with his previous position at AMSCO. He contends that he accepted the offer only after representations that he would participate in a long-term equity incentive plan linked to the industrial portfolio under his responsibility.
“This time I accepted the employment offer despite the significantly lower base remuneration on the basis of the inducement promised by Mr. Selman that I would participate significantly in the Respondent’s long-term equity incentive plan and/or in a profit share from major liquidity events of completed projects or assets with an anticipated benefit in the region of US$1,000,000 to US$2,000,000 over five years,” Mr. Chikwanha stated in his witness testimony.
Tatu City launches Porini Point, a modern hillside residential enclave
The claimant, a Zimbabwean and Australian dual national, further alleges that he was removed as a director from nine subsidiaries within the ALP Group in circumstances he says did not comply with due process. Court documents indicate that ALPH’s shareholder base includes institutional investors such as Maris Capital, British International Investment (BII), formerly CDC Group Plc, and the International Finance Corporation (IFC).
The lawsuit does not allege wrongdoing by any institutional investor. However, the pleadings place aspects of ALP’s corporate governance under the Companies Act, fair labour practices under the Constitution, compliance with the Employment Act, allegations of discrimination, contractual arrangements, and adherence to statutory obligations under judicial scrutiny.
According to the pleadings, Mr. Chikwanha disputes representations made to the Registrar of Companies regarding the convening of meetings that led to his removal, asserting that he did not receive the relevant notices which he claims were sent to addresses and email accounts inaccessible to him after his termination. He has also lodged a complaint with Kenyan authorities regarding the director removal process, which remains subject to ongoing legal procedures and active police investigation.
The dispute extends to Mr. Chikwanha’s termination. He alleges that ALP issued a redundancy notice in April 2023, later withdrew it, citing an impending meeting with a potential investor and subsequently issued a second redundancy notice in August 2023, followed by a termination letter the following month. He contends that statutory requirements governing redundancy were not complied with and that he was not provided with details of the long-term incentive plan despite repeated requests.
Mr. Chikwanha also alleges that his termination was discriminatory and in breach of Article 41 of Kenya’s Constitution on fair labour practices. In his pleadings, he claims that preferential terms were offered to other senior executives whom he describes as being of Caucasian ethnicity. He further alleges that his terminal dues were withheld and only partially paid six months later and that the cancellation of his work permit was expedited within four days, with directives from Immigration withheld from him, affecting his legal status in Kenya.
ALP denies the allegations. In its defence, the company states that Mr. Chikwanha’s employment contract superseded any prior representations and that his redundancy resulted from a restructuring aimed at maximising shareholder value. This despite Mr Chikwanha being a Shareholder at the time according to Share Certificates filed in court. ALP further argues that there was no offer, acceptance, or consideration in relation to the alleged profit-sharing arrangement and that the termination was carried out in accordance with applicable contractual and statutory frameworks.
Africa Logistics Properties Holdings Limited, in which Mr. Chikwanha is described as a minority shareholder, has received regulatory approval from the Capital Markets Authority to establish the ALP Industrial Real Estate Investment Trust (ALP REIT) which is expected to be seeded with existing assets contributed by the promoter in exchange for units and/or cash. Court filings indicate that some of the assets within the portfolio, including developments at Tatu City and Tilisi, were developed during Mr. Chikwanha’s tenure between 2017 and 2023.
The case is pending before Kenya’s Employment and Labour Relations Court. All claims are contested and subject to judicial determination.
Did you love the story? You can also share YOUR story and get it published on Bizna Click here to get started.
