Kenya: Court Suspends Leasing of Mumias Sugar Company

15 January 2022

Nairobi — The High Court has suspended any further leasing of Mumias Sugar Company properties pending the hearing and determination of a suit filed by aggrieved sugar cane farmers.

While giving directions, Justice Winfridah Okwany said that there has been a lot of interference on the revival of the company after the appointment of Ugandan Firm Sarrai Group as a receiver manager by the Kenya Commercial Bank.

The applicants, Gakwamba farmers through their lawyer Danstan Omari filed an urgent application before the commercial court seeking a conservatory order to stop any further interference by either companies that lost tenders or politicians who would want to use the company to gain political mileage.

Justice Alfred Mabeya had on Dec 19, 2021, allowed the appointment of an administrator/ receiver to revive the company.

The matter is due for hearing on January 25.

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