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High Court in Kakamega reversed the orders that it initially issued on January 11, 2022 to Kakamega County government in regard to a suit filed by the county to stop KCB receiver manager PVR Rao and Tumaz and Tumaz Enterprises from interfering with Mumias lease.

The High Court judge Justice W. Musyoka ruled that the County failed to disclose that Tumaz had already received orders from Milimani High Court on December 29, 2021 suspending the Mumias lease to the Ugandan firm Sarrai Group, and that no other orders can be issued contradicting lease suspension stay orders issued to Tumaz in Nairobi.

“Order of stay in Nairobi HCJR/E178/2021 was not exhibited to the motion herein dated 7/1/22 when it was placed before me on 11/1/22, yet the same was relevant to the extent that it relates to the same lease that is the subject of the motion dated January 7,” Justice Musyoka said in a ruling on January 12.

“The order of January 12 should have been disclosed by the applicant, and since it cannot be possibly in operation at the same time with the order that I made herein on January 11, and being the first in time and to avoid a scenario of conflicting orders, I hereby vacate and discharge the order of January 11,” Justice Musyoka ordered.

The reversal of the orders dealt a blow to the County which had filed a suit in support of the Ugandan firm.

Earlier this week on January 10, Milimani High Court Judge Justice Anthony Ndung’u issued a warning to the parties in Mumias lease to stop disobeying lease suspension orders he issued on December 29.

The orders were issued after Tumaz moved to High Court to challenge the Mumias bidding process by PVR Rao, claiming that the process was done in secrecy and was marred by fraud, mistakes and illegalities.

Justice Ndung’u further ordered Tumaz to serve contempt of Court application to Sarrai and Rao for a hearing on January 24.

Tumaz has filed to jail Sarrai directors and Rao for disobeying the lease suspension orders.

Tumaz which is associated with Mwale City investor Julius Mwale was the highest bidder with Ksh 27.6 billion vs Sarrai group’s Ksh11.5 billion according to court papers.

France’s Kruman Finances which was the 2nd highest bidder with Ksh19.6 billion has also protested the lease award to the Ugandan firm which is associated with Rai family.