By Milton Were | Kenya-Today.com
Matatu operators have sounded the alarm over an emerging crisis involving rogue auctioneers who are allegedly working with corrupt officials to fraudulently seize and auction off public service vehicles (PSVs), threatening the very survival of many Saccos.
Speaking to Kenya-Today.com, several matatu owners and Sacco members revealed a coordinated network of auctioneers, traffic police officers, and unscrupulous lawyers exploiting loopholes in the legal system to take possession of matatus purchased on loan.
“Many vehicles bought through financing are being taken away without due process,” said a matatu Sacco member who requested anonymity for fear of victimization. “These auctioneers bypass the law and use forged documents and fake court orders.”
The operators say that these schemes have become increasingly common, with some auctioneers targeting Saccos already under financial strain. The result is a wave of losses that threatens to destabilize the public transport system.
Auctioneers Board Accused of Looking Away
The operators have accused the Auctioneers Licensing Board (ALB) of failing to act on numerous complaints lodged over the past three years. They say that the board has ignored mounting evidence of fraud and has continued to renew licenses for auctioneers known to abuse their powers.
“We’ve submitted case after case to ALB and the DCI,” one operator said. “Yet no one has been held accountable. The rogue auctioneers are getting bolder.”
The most prominently named in the complaints is Naomi Wanjiku Mwangi, the licensed face of Mamalo Auctioneers, who holds License No. 007852, allowing her to operate in Nairobi, Kiambu, Nyeri, Murang’a, Laikipia, Nakuru, and Kajiado counties.
But the operators allege that it is Naomi’s husband, Martin, who actually carries out the auctioning activities—an act that directly contravenes the Auctioneers Act, which requires only licensed individuals to conduct auctions.
Impunity and Collusion
“Martin is the one who shows up with goons to take the vehicles,” the operator claimed. “He intimidates owners, uses doctored accident reports, and quickly obtains questionable court rulings that green-light the seizures.”
The matatu owners say that these operations often happen without proper notification, valuation, or court hearings. Some vehicles are towed in the dead of night. Others are taken in broad daylight with little resistance due to the auctioneers allegedly being backed by corrupt officers.
The operators claim that Naomi continues to act with impunity, reportedly shielded by a senior official at the Auctioneers Licensing Board who frustrates investigations and shields her from disciplinary action.
Call for Government Action
The matatu sector is now calling on the Insurance Fraud Unit of the Directorate of Criminal Investigations (DCI) and the ALB to act decisively.
“We need immediate investigations and arrests. This is no longer just about auctioning—this is theft,” a Sacco representative stated.
They are also urging Parliament to review the Auctioneers Act and introduce stricter penalties for individuals found to be engaging in fraudulent seizures.
A Widening Threat
The impact of these fraudulent auctions is already being felt:
- Saccos are losing vehicles and income.
- Loans remain unpaid, placing strain on borrowers and lenders.
- Insurance companies are unknowingly dragged into court cases based on fake accident reports.
Some operators have resorted to pulling vehicles off the road for fear they’ll be snatched without warning.
“We’re suffering in silence,” said a Nairobi-based matatu driver. “You pay a loan for years, only for a stranger to take your vehicle in minutes using fake documents.”
What Next?
As the number of complaints grows, the industry is demanding transparency, protection, and regulatory reform.
The matatu sector, a lifeline for millions of Kenyans, now finds itself at the mercy of cartels posing as licensed professionals. Without urgent action from the ALB, the DCI, and the Judiciary, more vehicles will be lost—and with them, the livelihoods of thousands of drivers, conductors, and investors.
Kenya-Today.com will continue to follow this developing story. If you or someone you know has been affected, share your experience confidentially.
