LSK opposes bid to stop Sh1.2bn project
What you need to know:
- Mr Abdullahi, who was making his submissions before High Court Judge Mumbi Ngugi, noted that although the petition was filed on the basis of violation of members constitutional rights, the petitioner did not give specific areas of breach.
- LSK chairman Eric Mutua had, in the special general meeting held on September 27, announced that each of the more than 7,000 members would contribute Sh39,000 to raise Sh250 million for the project.
The Law Society of Kenya wants a case seeking to stop the construction of a Sh1.2-billion arbitration centre thrown out.
The society told the High Court in Nairobi Monday that the petition against LSK International Arbitration Centre was driven by “political interests”.
Lawyer Ahmednassir Abdullahi argued that those opposed to the centre did not cite specific violations of their rights by the LSK Council in directing that members contribute Sh39,000 towards the project.
Mr Abdullahi, who was making his submissions before High Court Judge Mumbi Ngugi, noted that although the petition was filed on the basis of violation of members constitutional rights, the petitioner did not give specific areas of breach.
“This is an angry petition in which the petitioners claim they were not given time to talk during the Special General Meeting (SGM). It is nothing but the usual politics within the LSK and I therefore ask the court to dismiss the case with costs,” said Mr Abdullahi.
But the petitioners’ lawyer, Mr Kamau Waweru, questioned the manner in which the LSK Council arrived at the decision to charge members Sh39,000 and even went ahead to demand that it forms part of the payment for one to qualify for a practising certificate.
Mr Waweru said it was wrong for the LSK to peg the renewal of the certificate on payment of the charges.
“The LSK is bypassing the Registrar of the High Court, whose mandate includes the issuance of practising certificates, to use the certificate as a weapon to get development funds illegally,” Mr Waweru told the court.
He went on: “The SGM was choreographed to suit the interests of the LSK because there was no vote as provided for in law to pass the resolution allowing for payment of the money to finance the project.”
WANT PROJECT STOPPED
More than 1,000 LSK members want the project stopped, saying it was being forced on them.
LSK chairman Eric Mutua had, in the special general meeting held on September 27, announced that each of the more than 7,000 members would contribute Sh39,000 to raise Sh250 million for the project. The balance was to be taken out of a Sh1 billion loan to that would be repaid over a 25-year period.
The announcement followed a vote in favour of the project by advocates in the meeting. The centre was to be completed within two years and was to have 48 five-star rooms, a hall to accommodate 660 people and a business centre.
Justice Ngugi directed all the parties in the case to submit relevant documents before her ruling, expected on January 9.
