The Court of Appeal in Nairobi has suspended the initial decision by the High Court to charge Uganda-based Sarrai Group Limited over contempt of court.
Sarbit Singh Rai, Rakesh Kumar and Stephen Kihumba were cited for contempt of court after continuing with the operations at Mumias Sugar Company (MSC).
But in a ruling on October 13, 2023, the appellate court stated that the company was not served with the orders barring their operations in Mumias company.
The court of appeal further faulted the decision by the high court on grounds of withdrawal of some judges from the case without viable reasons.
"In the circumstances, the Notice of Motion dated 10th May 2023 is hereby allowed. There will be stay of execution of the ruling and order of the High Court dated 27th April 2023, as well as stay of further proceedings, pending the hearing and determination of the applicant’s appeal," Court of Appeal ruled.
High Court ordered Sarrai Group to pay Ksh100,000 and Sarbit Singh Rai, Rakesh Bvats and Stephen Kihumba to appear before the court on May 18, 2023, to be sentenced to jail for contempt.
The high court issued orders stopping any dismantling, stripping, removing, transferring, or disposing of any movable or immovable assets of Mumias.
It further ordered the return of all moveable assets, machinery or equipment that had been removed from the premises of Mumias.
It directed Sarrai Group, its agents, employees, servants, subsidiaries, or affiliates to cease any and all activities including operation of machinery, dismantling, vandalising machinery removing assets, or any other activity of whatever nature stored and situated within the premises of Mimias Sugar Company.
The court further ordered the Mumias Police Station to facilitate the safe return of all assets of the MSC.
Since the award of the lease, the matters including individuals challenging the process have been engaged in a protracted legal battle.
