The High Court has dismissed a petition by Athanas Wafula Wamunyinyi challenging the leasing of the Nzoia Sugar Company.
The clearing has paved the way for the West Kenya Sugar Company, a subsidiary of the Rai group, to proceed with its Ksh 5.76 billion investment in the struggling miller.
In a ruling delivered virtually by Justice Lawrence N. Mugambi , the court upheld preliminary objections filed by the State and other parties, ruling that Wamunyinyi’s petition was res judicata.
In addition petition No. E065 of 2024, the Court found that the issues raised, particularly the alleged lack of public participation in the leasing process, had been conclusively settled in Martin Nyongesa Barasa, Vice Cabinet Secretary , Ministry of Agriculture, and others.
However, the Rai group of West Kenya Sugar secured the lease of Nzoia Sugar under the government’s plan to revitalize state-owned millers.
The company stated that it has committed Ksh 5.76 billion to modernize the factory and boost production.
Recently, Cabinet Secretary for Agriculture, Livestock, and Development, CS Sen. Mutahi Kagwe commended West Kenya Sugar for its farmer-friendly policies, including;
- Weekly payments to over 120,000 contracted farmers , totaling KS 14 billion annually.
2. Timely monthly wages for employees.
3. Ksh 7billion annual investments in canedevelopments initiatives,
The court’s decision solidifies the leasing process( Tender No MOALD/ SDA /IT/2024-2025), ensuring Nzoia Sugar’s transition to private management under West Kenya Sugar’s stewardship.
In related developments, the Government yesterday disbursed Ksh 200 million to settle part of the outstanding salaries of sugar factory workers, bringing total payments to Ksh 800 million.
