NAIROBI, Kenya, Nov 24 – An Advocate of the High Court has called on the Law Society of Kenya (LSK) to intervene and stop the government from investing Sh72 billion in pension funds in the proposed Rironi–Mau Summit Highway project without prior approval from workers.
In a letter dated November 20 and addressed to senior LSK officials, the advocate accused President William Ruto’s administration of illegally committing pensioners’ savings held under the National Social Security Fund (NSSF) to the toll-road project, warning that the move risks violating the Constitution and breaching fiduciary duties imposed on trustees.
According to the advocate, only Kenyan workers—who contribute to the NSSF—have the right to determine how their retirement savings are invested, not the government.
The letter urges the LSK to use its constitutional oversight mandate to compel full disclosure of the project’s financial structure before any binding agreements are signed with foreign investors.
“Article 43 of the Constitution of Kenya protects the right to social security and recognizes the fiduciary duties imposed by the NSSF Act to trustees to ensure that beneficiaries’ retirement savings are protected,” the letter reads.
“Investing about 72 billion of pensioners’ savings in 25–30 year toll concessions without a demonstrated, independent value-for-money and actuarial justification risks breach of trustees’ fiduciary duties,” it adds.
The advocate warned that committing NSSF savings to a long-term toll concession without worker approval exposes contributors to market, traffic, and renegotiation risks.
He further argued that the government has withheld key details—including loan covenants, guarantees, procurement terms, and traffic forecasts—hindering proper risk assessment and informed consent by trustees and contributors.
“PPP deals often contain hidden promises such as guarantees, minimum-revenue clauses, or bailout options that do not appear as debt at first. If the project underperforms, those promises become real bills for taxpayers, thereby hurting the national budget and likely violating Article 201 duty to manage public money prudently,” the letter states.
The advocate also criticised the plan to toll motorists using the highway, warning that the charges will raise transport costs, push up food prices, and limit access to markets and jobs.
