County seeks to delay Sh45m payout to ferry agency

The Mombasa County government is seeking to suspend the execution of a judgement in which a court ordered it to pay the Kenya Ferry Services (KFS) approximately Sh45 million as compensation for lost revenue from vehicles using its landing facilities and terminuses.

Through an application filed at the High Court, the county government argues the people of Mombasa will be affected by moving funds to and from the county’s accounts without a budgetary provision.

“It is in the interest of justice that the suspension be granted so as not to affect the position of public finances,” the application says.

The county government says that since it is a government, there is no fear of defaulting in settling a decretal sum.

It says it has already filed a notice of appeal at the Court of Appeal and served it to the KFS.

However, the parastatal, through its legal director Elijah Kitur, opposed the application, saying the county government was still at its facilities.

Mr Kitur said an order suspending the judgement would not only deny the KFS the “fruits” of justice but extend unnecessary suffering and hardship as it denies it 30 per cent of income it generates from its facilities on which it relies to meet recurrent expenditure.

“The national government finances about 70 per cent of KFS recurrent budget and 100 per cent of development expenditure. The shortfall is financed through revenue collected from motorists and facilities it developed,” Mr Kitur said.

He said the parastatal would be in a position to refund the money if the county government appeal succeeds.

Mr Kitur said the court had already found the actions of the county government illegal and a violation of the Constitution.