The Court of Appeal has lifted the orders barring implementation of Finance Act 2023 pending the hearing and determination of the matter.
In a ruling delivered on Friday, July 28, Justice Mohammed Warsame said the appeal filed by Treasury Cabinet Secretary Njuguna Ndung’u has merit.
“The upshot of our decision is that the application has merit and the same is allowed as prayed with the effect that the order made on July 10, 2023 suspending the Finance Act 2023, and the order prohibiting the implementation of the Finance Act 2023, be and is hereby lifted pending the hearing and determination of the appeal. Costs shall abide the outcome of the appeal,” read part of the ruling.
The High Court last month suspended temporarily the implementation of the Finance Act, 2023 from taking effect.
This followed a petition tabled by Busia Senator Okiya Omtatah challenging the Finance Act, 2023 seeking to have some sections of the law purged.
Lady Justice Mugure Thande ruled in Omtatah’s favour suspending the law from taking effect tomorrow, July 1, 2023, pending the hearing and determination of the suit filed by Mr Omtatah.
“That I am satisfied that the Application meets the test for conservatory orders and I do grant prayers 2 and 3 of the Application until 5.7.23 when the matter is scheduled for mention for directions,” ruled Justice Thande.
In his petition, Omtatah said that the Finance Bill contains amendments to several laws that have nothing to do with raising revenue and laws that affect the work of the Senate to protect the interests of counties and their governments.
“Forcing employees to contribute an amount of money based on the applicable blanket deductible percentage without consideration of their existing contractual obligations on their salaries is not reasonable,” said Omtatah.
He further argued it is a mandatory condition precedent that, before the Bill can be introduced for consideration in the originating House, a Speaker of one House of Parliament must first seek the concurrence of the Speaker of the other House of Parliament.
