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Sarrai Group had secured the lease for assets of Mumias Sugar Company

Agriculture

Mumias sugar takeover in new twist

NAIROBI, Kenya, Jan 13- -The Mumias sugar takeover by Sarrai Group has taken another twist after a high court in Kakamega reversed orders it had issued to Kakamega county government which had filed a suit in support of the Ugandan firm.

The county, in its petition, had succesfuly sought to stop KCB receiver-manager PVR Rao(Rao) and Tumaz and Tumaz Enterprises (Tumaz) from interfering with Mumias lease.

Nonetheless, in his ruling, high court Justice Musyoka ruled that the County, erred by failing to disclose that Tumaz had already received orders from Milimani High Court on December 29 suspending the Mumias lease to the Ugandan firm Sarrai Group.

He, therefore, ruled that no other orders can be issued contradicting lease suspension Stay orders issued to Tumaz in Nairobi.

” Order of stay in Nairobi HCJR/E178/2021 was not exhibited to the motion herein dated 7/1/22 when it was placed before me on 11/1/22, yet the same was relevant to the extent that it relates to the same lease that is the subject of the motion dated 7/1/22,” said Justice Musyoka in a ruling on 12/1/22 in Kakamega.

“The order of 29/12/21 should have been disclosed by the applicant (County), and since it cannot be possibly in operation at the same time with the order that I made herein on 11/1/22 , and being the first in time and to avoid a scenario of conflicting orders, I hereby vacate and discharge the order of 11/1/2022, ” ordered Justice Musyoka.

 

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