Case seeking to halt new budget moved to Nairobi

The High Court in Kisumu has transferred a case seeking to stop implementation of the national budget to Nairobi.

Lady Justice Wanjiku Cherere issued the directive after two activists appeared before her challenging the publicised national budget 2020 draft policy statement and the equitable national revenue share.

In the suit, activists Michael Kojo and Evance Oloo have sued Treasury Cabinet Secretary Ukur Yatani, his Ministry, the Attorney General (AG) and the Senate while the National Assembly, Council of Governors (CoG) and Commission on Revenue Allocation (CRA) are listed as interested parties.

While certifying the case as urgent, the judge pointed out that since the sued parties are based in Nairobi, the case will be better placed if heard at the High Court in the capital instead of Kisumu.

“...I am therefore persuaded that there is an advantage if this matter being heard in Nairobi will so far secure the just, most expeditious and least expensive determination,” said Justice Cherere.

The duo claimed that the national budget 2020 draft policy statement and the equitable national revenue share are in total disregard of the Public Finance Management Act and the Constitution.

They also claim that failure by the AG to approve the third formula for revenue in time after expiry of the second formula puts Kenyans at risk of not benefitting.

They argued that the Constitution requires that the formula must be approved first before the County Allocation of Revenue Bill is considered by the Senate, hence delay by the said house to pass the legislation will affect  Health and Water services in various counties amid the Covid-19 pandemic.

They protested against the fact that the estimated amount of Sh316.5 billion was allocated by the CS as the equitable revenue share yet the draft 2020 budget policy statement issued on February 2020 indicated Sh317.8 billion.

They alleged that there was no public participation carried out on the formula yet population is a key determinant to the sharing of this money.

They also alleged that this is a clear violation of the law because consumers bear the brunt of the variance.

The duo wants it declared that the National Treasury violated the law, that the national budget is invalid and that the select committee at Senate responsible for budget appropriation for county allocation be declared unfit to hold office for violating the Constitution.

They also want the ministry, the CS and the Senate to give the public clear information on which of the varying figures recommended in budget delivery is to be adopted by the National Assembly, CoG and CRA to benefit Kenyan taxpayers.