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Court suspends order halting Mumias Sugar lease

High Court had cancelled a 20-year-lease awarded to Sarrai Group to manage the company

In Summary

•Justice Dorah Chepkwony has stayed the execution of the judgement pending the hearing of the application.

•High Court had cancelled a 20-year-lease awarded to Sarrai Group to manage the company 

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Image: FILE

The court has suspended the order by Justice Alfred Mabeya that nullified the Mumias Sugar lease.

The order had been issued to the Ugandan firm Sarrai group.

But on Tuesday, Justice Dorah Chepkwony stayed the execution of the judgement pending the hearing of the application by Sarrai challenging the judgement.

“That pending the hearing and determination of this application inter parties, a stay of Execution and or enforcement of the order set out on Paragraph 150(h) of the Ruling made on 14th April 2022 revoking, cancelling and nullifying the lease issued to the applicant and directing the applicant to forthwith vacate the premise of Mumias is hereby granted,” the order reads.

The High Court had cancelled a 20-year-lease awarded to Uganda-based Sarrai Group to manage Mumias Sugar Company, delaying plans to revive the ailing miller.

Justice Mabeya froze the Sarrai Group deal on grounds it would benefit KCB Group and ignore the interest of Mumias shareholders.

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