• Oyiembe said the due process of appointing a new CEO is currently ongoing yet Chelugui has sabotaged it by appointing Odede
Image: MAURICE ALAL
Water Cabinet Secretary Simon Chelugui has been petitioned for irregularly appointing the Chief executive officer of Lake Victoria South Water Works Development Agency Board.
Michael Oyiembe, a Kisumu resident, in a petition dated September 11, 2019, termed the appointment of George Odede as unprocedural and wants it quashed.
Oyiembe through Owiti Mwalo Odhiambo and Associate Advocates said the appointment was against the directive dated August 5, 2016, circulated by the Executive Office of the President to all Cabinet Secretaries regarding appointment of CEOs of State Corporation and Board Chairpersons.
He said it is a requirement that persons being appointed as CEOs be within the specific State Corporations and that the board be firmly in charge of making any respective acting appointments whole ensuring that such appointments are approved by the CS of the Ministry responsible.
Oyiembe said the due process of appointing a new CEO is currently ongoing yet Chelugui has sabotaged it by appointing Odede, his choice, currently occupying the office.
“Take note that Odede is neither an employee of agency thus his appointment violates the Executive directive,” reads part of the letter.
“This is therefore to demand your office, as we hereby do, in the interest of transparency and good governance to follow the due process of appointment,” the letter added.
Image: MAURICE ALAL
Oyiembe warned that failure by the CS to comply with the demands within the next seven days from the date of the demand letter, then he will file a suit against him without any further reference to him whatsoever at his own risk and costs.
He sent the petition to Chief of Staff, Executive Office of the President Nzioka Waita, Head of Public Service Joseph Kinyua and Water Principal Secretary Joseph Irungu.
Odede’s appointment has seen leadership standoff as the board of directors had appointed Daniel Oronje as the acting CEO on July 1 pending the recruitment of a substantive boss as per the advertisement dated June 25.
This is after the board sent former CEO Petronila Ogut on terminal leave to allow the recruitment of a new boss.
But in a letter dated September 13, 2019, PS Irungu instructed the CEO that any change of existing bank account signatories should not be effected without his authority for prudence and risk mitigation.
“You should adhere to this directive until further instructions are received,” the letter read in part. Irungu noted that concern has been raised on how the bank accounts of the agency are being handled during the transition period.
Irungu said the position of the CEO carries a lot of weight and influence in the operations of an organisation and is expected to be wary of all financial matters and to exercise due diligence in all operations.
On July 3, the board chairman Paul Bii said Ogut went on leave following a resolution by a full special board of directors meeting.
“In the event that the board does not recommend renewal of the contract, the CEO will be required to proceed on terminal leave. This is to ensure a smooth transition,” Bii said.
He said the decision was arrived at after extensive responses and guidance by the agency chief to the board of directors on resolutions on June 21.
This, Bii said, was particularly in compliance with the Fair Administrative Action Act (2015) which requires that each party is heard before a determination is made.
While on terminal leave, Ogut was entitled to all her benefits until the expiry of her current three-year contract which expires in August.
On July 1, the board directed handing over the process to commence with immediate effect. According to a 2014 government circular, any serving CEO in state corporations keen on reappointment, should indicate interest by writing to the board at least six months before the expiry of the current term.
The board will evaluate the performance of such CEO and make a report to the appointing authority with a recommendation on either renewal or termination of the contract upon expiry.
In the event that the board does not recommend renewal of the contract, the CEO will be required to proceed on terminal leave to allow the recruitment and appointment of a new CEO.
The board will then recruit an acting CEO in consultation to the parent ministry and the state corporations advisory committee as provided in the law, in a caretaker position.