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A Kenyan High Court has lifted contempt orders against Charles Kerich, former Nairobi County Chief Executive Committee Member (CECM) for Finance and Economic Affairs, in relation to a Sh106 million legal fees dispute.
The court had earlier sentenced Kerich to three months in prison after finding him guilty of contempt of court.
However, the sentence was set aside after the parties reached a settlement that included a payment plan and an immediate payment of Sh30 million.
Earlier this month, the court ordered Kerich to surrender within three days to begin serving his jail term, warning that he would be arrested and treated as a fugitive if he failed to comply.
When the case came up for mention, the court was informed that the parties had reached an agreement outlining a payment schedule.
According to Nation Kenya, Kerich had personally paid Sh30 million to Kwengu and Company Advocates, while the balance would be settled in line with the payment schedule presented to the court.
The court noted that Kerich had shown remorse and subsequently lifted the contempt orders.
Kerich was taken to court over unpaid legal fees owed to Kwengu and Company Advocates, a law firm that represented the Nairobi City County Government in several cases.
Following his arrest and imprisonment, Kerich’s whereabouts became unclear, prompting the Nairobi County Assembly to demand an explanation from Governor Johnson Sakaja.
At a subsequent meeting of the Assembly’s Implementation Committee, members were informed that the former finance chief was out of the country on official duty and would appear before the committee upon his return.
In a letter to the committee last month, Acting County Secretary Godfrey Akumali said Kerich was in the United States on an official assignment and therefore could not honour the committee’s invitation.
Akumali requested that the committee, chaired by Majority Leader Peter Imwatok, reschedule Kerich’s appearance until July 10, when he was expected to return.
“We wish to inform you that the County Executive Committee Member is currently in the United States of America on official assignment. We kindly request that his appearance before the Committee be rescheduled,” part of the letter read.
Although the committee agreed to issue a fresh summons, members directed the Sakaja administration to provide evidence that Kerich was indeed on an official assignment abroad.
Kerich’s absence delayed the county’s budget appropriation process, and Nairobi County is yet to pass its budget for the current financial year.
