Activist Group Sheria Mtaani Files Urgent Bid to Halt Three-Year Terms for Privatisation Commission Leaders

Nairobi -  A high-stakes legal confrontation is unfolding in Kenya's Employment and Labour Relations Court as the public interest lobby group Sheria Mtaani launches a fierce challenge against the government's decision to extend the tenure of seven key appointees to the Privatisation Commission. The move, spearheaded by activist Shadrack Wambuli on behalf of the group, accuses the administration of flouting statutory limits and risks plunging the oversight body for state corporation sales into a legitimacy crisis.

At the heart of the dispute lies Gazette Notice No. 5054, issued on April 25, 2023, by the Cabinet Secretary for the National Treasury. This official proclamation granted the appointees a three-year renewable term, a duration that Sheria Mtaani argues directly violates Section 6(1) of the Privatisation Act of 2018. Under the law, both the chairperson and members of the commission are explicitly entitled to only a one-year term. The group's urgent judicial review application, certified as extremely pressing by the court, demands immediate intervention to prevent what it describes as an "irregular and unlawful" extension that could undermine public trust and expose taxpayers to unnecessary risks.

The named appointees at the center of the storm include Edward R. Kobuthi, Irene Njeri Wanyoike, Celine Anyango Orata, David J. O. Nyakang'o, and Wellington Pakia Godo, with two additional members yet to be specified in public filings. These individuals were recently sworn in and have already begun engaging in official duties, including a familiarization tour of the Kenya Pipeline Company, a state-owned entity that falls under the commission's purview. Sheria Mtaani contends that proceeding with their roles under the contested terms would "legitimise an illegality," potentially rendering any decisions they make during this period null and void in future challenges. This could cascade into broader legal battles, financial losses for the public purse, and disruptions in the government's ongoing privatisation agenda.

In its petition, Sheria Mtaani seeks a trio of powerful court orders to enforce compliance. First, an order of prohibition to bar the commissioners from assuming or continuing in their positions until the tenure issue is resolved. Second, an order of certiorari to quash the gazette notice entirely, stripping it of legal force. And third, an order of mandamus to compel the Treasury Cabinet Secretary to revise the appointments in line with the one-year statutory cap. The group emphasizes that the extension represents a "blatant disregard" of the law, affording the appointees an undue advantage and eroding the foundational principles of accountable governance in the management of state assets.

The respondents in the case are the Cabinet Secretary for the National Treasury and the Attorney General, who bear responsibility for the gazette notice's issuance and defense. While the government's stance remains unarticulated in initial court documents, the challenge places scrutiny on the executive's interpretation of the Privatisation Act, particularly how it balances operational continuity with rigid legal timelines. The Act itself establishes the Privatisation Commission as the central authority for overseeing the divestiture of state corporations, a process aimed at enhancing efficiency, attracting investment, and reducing fiscal burdens. With Kenya's economy navigating post-pandemic recovery and fiscal pressures, the commission's role in streamlining asset sales has never been more critical, making this tenure dispute a flashpoint for broader debates on regulatory integrity.

Presiding over the matter is Justice Byram Ongaya, who on Tuesday morning certified the application for expedited handling. In a procedural directive, the judge ordered immediate service of the petition to all parties and slotted an inter partes hearing, or further directions, for later the same day at 9:30 a.m. Ongaya also invoked Sections 5 and 6 of the Privatisation Act to underscore the legal framework at play, while encouraging the litigants to explore an out-of-court settlement. "The parties are urged to consider amicable resolution," the judge noted, highlighting the potential for consent orders on the next mention date. The hearing could proceed via video link if logistical needs arise, ensuring swift progression regardless of location.

For Sheria Mtaani, the stakes extend far beyond this single commission. Represented by Wambuli, a vocal advocate for constitutional adherence, the group has positioned the case as a bulwark against executive overreach in public appointments. "This is not just about terms of office; it is about safeguarding the rule of law and preventing a slippery slope where statutes bend to convenience," sources close to the activist emphasized in pre-filing statements. By prioritizing the matter, they argue, the court can avert scenarios where invalid decisions during the extended period lead to costly reversals, including stalled privatisations and eroded investor confidence.

As the clock ticks toward the afternoon hearing, the Privatisation Commission's operations hang in a delicate balance. The appointees, now thrust into the spotlight, must navigate not only their nascent roles but also the shadow of potential suspension. For the Treasury and Attorney General's offices, the challenge tests their commitment to legislative fidelity amid pressing economic reforms. Observers suggest that a ruling in favor of Sheria Mtaani could set a precedent for stricter enforcement of term limits across other quasi-judicial bodies, while a dismissal might embolden similar extensions elsewhere.

This unfolding drama underscores the perennial tension between administrative efficiency and legal precision in Kenya's public sector. With the court poised to delve deeper into the gazette notice's validity, all eyes remain on Justice Ongaya's bench, where the fate of the commission's leadership—and perhaps the trajectory of state asset reforms—will be decided. Updates from the 9:30 a.m. session are expected to clarify the path forward, potentially averting or igniting a protracted battle that could reshape governance norms for years to come.