Sakaja gazettes committee to review Nairobi's Sh21bn pending legal bills

The Committee shall be chaired by Kamotho Waiganjo

In Summary

•In consultation with the Governor,  the committee will have the power to co-opt any person or to appoint sub-committees as it deems fit only for specialized aspects of its terms of reference.

•Law firms are owed Sh21.2 billion, government-guaranteed loans stand at Sh15.3 billion while water and foreign loans account for Sh3.8 billion.

Nairobi County Governor Johnson Sakaja speaks during the handing over of the Nairobi City County Health task force report on January 5, 2023.
Nairobi County Governor Johnson Sakaja speaks during the handing over of the Nairobi City County Health task force report on January 5, 2023.
Image: WILFRED NYANGARESI

Nairobi Governor Johnson Sakaja has gazetted a 14-member committee to review the county’s legal pending bills which stands at 21 billion.

Through a gazette notice dated January 16, 2023, Sakaja said that the purpose of the Committee is to address the matter of pending legal bills claimed against the County Government.

“Pursuant to the provisions of the Constitution of Kenya, the County Governments Act, 2012 and the Public Finance Management Act, 2012, I, the Governor of Nairobi City County, establish a committee to be known as the Committee on the Review, Scrutiny and Verification of Pending Legal Bills,” reads the notice.

The Committee shall be chaired by Kamotho Waiganjo while  Sylvia Mueni Kassanga will be its Vice-chairperson.

Waiganjo is the husband of Kirinyaga Governor Ann Waiguru while Mueni was a former nominated Senator.

Other members include Law Society of Kenya Eric Theuri, Aldrin Ojiambo, Dulma Farah Mohamed, David Kabeberi, Dickson Mwenze, Elias Mutuma, Jackson Onyango, Emily Chelule, Victor Swanya and Wangechi Wahome Ng’ayu.

The committee will also have a joint Secretariat to the committee whose members are  Beatrice Auma Otieno and  Francis Njoroge.

In the performance of its functions, the committee will be expected to have access to reports of any previous investigations relevant to its mandate and submit monthly progress reports, and a final report to Governor Sakaja.

The committee will also consider appropriate, carry out or cause to be carried out such studies or research as may inform the committee of its mandate and have all the independence necessary for carrying out its function for the proper execution of its mandate, including the power to regulate its own procedure without being the subject of control by any other.

Within three months, after scrutiny and analysis of the County Government’s stock of legal pending bills (or such longer period that the Governor may authorize), the committee will submit to Sakaja a report with recommendations for a settlement of the said pending bills.

The Waiganjo-led committee within four months will also submit to the Governor a final report detailing recommendations towards the streamlining of the procurement of legal services within the County Government and ensuring that future escalation of pending legal bills is avoided.

Also, in consultation with the Governor,  the committee will have the power to co-opt any person or to appoint sub-committees as it deems fit only for specialized aspects of its terms of reference.

According to the notice, the Secretariat of the Committee will be based at the City Hall and shall be responsible to the committee for providing appropriate background briefing and preparing the Committee’s reports and disseminating any information deemed relevant to the Committee.

“The Secretariat of the Committee will also undertake research and liaise with the relevant National and Nairobi City County Government Departments and any other institution to gather relevant information necessary for the Committee,” reads the notice further.

Nairobi's total pending bills stands at  Sh100.2 billion 

After getting to office, Governor Sakaja questioned the county’s legal pending bills.

He said the legal pending fees were an area of concern yet the county rarely wins court cases.

“My administration will look into the pending bills because Sh21 billion only from the legal department doesn’t add up. If you look at some cases they are very timid but have their quotation very high,” Sakaja said.

Legal payment from City Hall has been in the spotlight attracting investigation agencies.

In January 2021, the Ethics Anti-Corruption Commission commenced investigations on the payment of legal fees to 26 law firms by City Hall.

In a letter dated January 21, 2021, EACC  asked the county secretary to furnish it with the specific case files handled by the 26 law firms between 2013 and 2020, including details of the cases, letters of instructions and contract agreements. 

“The commission is undertaking investigations at the Nairobi City County in respect of payments of legal fees to the following firms,” reads the letter.

Also, the county assembly has over time lamented and raised concerns over money paid to legal firms.

In the 2016-17 financial year report, then Auditor General Edward Ouko was concerned by the money that the legal department spent, citing Sh592.4 million in unauthorised payments.

In the period under review, the department’s legal costs were Sh645.3 million against the approved budgetary allocation of Sh105 million.

According to the report, the department paid 12 law firms Sh314.4 million.

The money was spent outside the Integrated Financial Management Information System.

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