Court stops Treasury from funding Nairobi pending negotiations
Former Nairobi Governor Mike Sonko when he appeared before the County Public Accounts and Investments Committee on July 15, 2020.
The High Court has stopped Treasury from releasing funds to Nairobi pending negotiations by the county government, MCAs and Nairobi Metropolitan Services (NMS).
Justice Anthony Mrima directed Attorney-General Paul Kihara or his representative to convene a meeting within seven days to negotiate a settlement and resolve issues raised by Mike Sonko’s government.
The county government moved to court after MCAs rejected Sonko’s memorandum and passed a budget of Sh37.5 billion.
Supporting the petition, Sonko challenged the legality of the Nairobi City County Appropriation Act, 2020, for lack of public participation and failure to address a deficit of Sh5 billion.
The ruling
Sonko, who was impeached by MCAs on Thursday but has challenged the process, also questioned the Deed of Transfer he and the national government signed in February, transferring some county functions to NMS.
“I have carefully read and understood the contents of the material before me. The allegations made by the county against the enactment of the Nairobi City County Appropriation Act are weighty and enormous,” said the judge.
“For clarity, the 11th (CS Treasury) and 14th (Controller of Budget) respondents are restrained from disbursing any funds on the basis of the Nairobi City County Appropriation Act, 2020,” the judge said.
Mr Mrima said although the legality of NMS taking over county employees has been addressed by another court, there are questions that deal with the transfer of functions, which the court has powers to determine.
He directed that all matters on the legality of NMS and the Deed of Transfer be consolidated and heard together.
Sonko had questioned the legality of NMS arguing that it was a parallel entity unconstitutionally and unlawfully entrenching itself to run all functions of the county and preventing him from executing his mandate.
The functions transferred to NMS, under Major-General Mohammed Badi, include health services, transport, public works, utilities and ancillary services, and county planning and development.
