By Reporter
The immediate former Chief Executive Officer of Consolidated Bank of Kenya suffered a blow after the Employment and Labor relations Court, in Nairobi declined a conservatory orders two days before expiry of his contract.
The petitioner, Samwel Muthemba Muturi had moved to court challenge the decision of Treasury Cabinet Secretary John Mbadi refusal to renew his contract after the board of directors had approved the renewal.
Justice Nduma Nderi in his ruling observed that the applicant did not seek for order for stay to remain in his office as the CEO upon the expiry of his contract, which was only t wo days away to elapse.
This he noted would create a power vacuum in the bank and without taking into consideration of period the petition was likely to take.
The Judge instead noted that the petitioner only sought the conservatory order to stop the filling of the CEO position pending the hearing and determination of the petition.
Seeking a temporary conservatory order stopping the advertisement, recruitment or appointment of an acting CEO. Does not conserve anything but injunct a future recruitment process.
The petitioner is due to elapsed on 11th October 2025. Had sought for a new renewal of his term.
In his application, the petitioner had sought renewal of his contract on 13 January 2025 which was six months before the lapse of his first 3 year term of contract.
The petitioner argued the board of directors on 21st March wrote to Mbadi and recommended for the extension of the contract due to his performance.
The petitioner said following correspondences from Mbadi to the board, the chairman wrote Muturi on 12th and 18th September informing him of the expiry of his contract.
In his prayers, that a declaration that the petitioner is eligible for renewal of his term for a further 3 years as the CEO of the bank
That an order of Mandamus to compel the Board to renew and the CS to confirm the reappointment of the petitioner as the CEO
That in the alternative, the petitioner be compensated for damages equivalent to salary for three years totaling to Sh 78,348,800.
That the cost of the petition and interest therein and any other further relief that this honorable court shall deem fit to grant.
