High Court Declines to Lift Orders Barring Implementation of Finance Act

The high court has dismissed the government’s request to set aside the order suspending the Finance Act that she had previously issued.

According to Judge Mugure Thande, the state did not provide enough justification for her to lift the orders.

The order has been extended pending the hearing and determination of the matter.

Additionally, the judge forwarded the file to Chief Justice Martha Koome for appointment of a bench to hear the case.

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“The petitioners have proved that they have a prima facie case….there’s merit in granting conservatory orders,” the judge ruled.

“Upon evaluation of the submissions, I have no difficulty finding that the petitioners have established a case with a probability of success.”

The respondents asked for a seven-day abeyance (temporary suspension) so they may appeal the ruling.

National Treasury CS Njuguna Ndung’u and the office of the Attorney General were among the respondents who pointed out that it was unknown what would happen to the Legislature, Executive Branch, and Judicial Branch while the Finance Act 2023 was suspended.

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Justice Thande heard that the government would face crises regarding income mobilization and expenditure approval as a result of the orders.

The respondents had requested for the High Court to use its secondary jurisdiction in this situation and suspend the conservatory orders.

However, the defense contended that the orders could not stop government operations.

“It is already 12 days since you suspended Finance Act 2023 and the government has not shut down. Our colleagues should stop scaremongering. The law provides for mechanisms of continuity through the Finance Act 2022. All that has stopped are the new taxes,” defence lawyer Otiende Amollo argued. 

The case was filed by Busia Senator Okiya Omtatah challenging the constitutionality of the Act which has since been assented into Law by President William Ruto.