The Court of Appeal has granted Nairobi County a temporary reprieve by staying the execution of a High Court ruling that declared the Nairobi Alcoholic Drinks Control Fund unconstitutional.
A three-judge bench comprising Justices Gatembu Kairu, Jamila Mohammed, and Weldon Korir issued the interim stay order, which will remain in effect until the court delivers its ruling on November 7, 2025.
In March, High Court Judge Lawrence Mugambi ruled that Sections 43 and 44 of the Nairobi City County Alcoholic Drinks Control and Licensing Act were unconstitutional, citing violations of the Public Finance Management Act. He directed that all funds in the account be transferred to the County Revenue Fund until a compliant structure is established.
Nairobi County, through lawyer Duncan Okatch, appealed the decision, arguing that the judgment had paralyzed key operations of the Alcoholic Drinks Control Board.
The final ruling in November is expected to have significant implications for the management of public funds across counties.
