July 5, 2024

Court blocks Ruto bid to privatize state parastatals

2 min read
Court blocks Ruto bid to privatize state parastatals

President Ruto suffers a setback after the High Court blocks the planned privatization of eleven key state parastatals

President Ruto suffers a setback after the High Court blocks the planned privatization of eleven key state parastatals.

High Court through Justice Chacha Mwita on Monday, December 4 issued the conservatory orders following a petition filed by the Orange Democratic Party (ODM).

The High Court Judge noted that he was satisfied that the petition by the ODM party raises substantial constitutional and legal issues of public importance that require critical examination and consideration by the court.

“A conservatory order is hereby issued suspending implementation of section 21(1) of the Privatization Act 2023 and or any decisions made pursuant to that section, until 6th February 2024 given under my hand and seal of the Honourable court this 4th Day of December 2023,” Justice Mwita stated.

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The High Court also directed the respondents to file responses to the petition within five days after service after which the petitioner will have five days to file and serve a supplementary affidavit together with written submissions to the petition not exceeding 10 pages.

The order is a huge setback for President William Ruto’s administration which has lined up eleven state parastatals for sale.

The state agencies include; the Kenya International Conference Centre (KICC), Kenya Literature Bureau, National Oil Corporation, Kenya Seed Company Limited, Mwea Rice Mills, Western Kenya Rice Mills Limited, and Kenya Pipeline Company.

Others are; Kenya Vehicle Manufacturers Limited, Rivatex East Africa Limited, New Kenya Co-operative Creameries (KCC), and Numerical Machining Complex.

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