Employment and labour court has suspended an order requiring the Nairobi City County to pay a law firm Sh 6.2 million.
This came after Nairobi Governor Mike Mbuvi ‘Sonko’ appeared before Chief Magistrate Edna Nyaloti and informed her that the order was wrongfully obtained.
The magistrate set aside the order pending the hearing and determination of the case.
Ondabu and Company Advocates had obtained the order requiring the county’s Cooperative Bank Account at City Hall branch branch to release the funds to the law firm.
The Governor said that a consent order was entered without the county’s approval between the law firm and Borabu Mp Ben Momanyi, the lawyer who was representing the county in a matter between it and General Suppliers Limited.
The bank informed the county that it had received a garnishee order requiring it to release the funds to the law
In the dispute, General Suppliers limited had moved to court seeking payment from the county, and on Monday, April 16, the matter was settled after the lawyers signed a consent to pay Sh 6,234,829.65.
On April 17, the County’s acting chief Finance officer Ekaya Alumasi advised the county to forward the matter to the Pending Bill Committee which is still undertaking verification of all unclear bills, for scrutiny.
According to the finance officer, PFM Act 2012 requires all revenue collected by the county government be swept to Central Bank of Kenya and further mandates the controller of Budget to approve all payments drawn from the County revenue account.
The case will be heard inter parties on 25th April.