The Supreme Court of Kenya, in its ruling on the Finance Act 2023, issued conservatory orders suspending and staying the Court of Appeals’s declarations and findings pending the hearing and determination of the appeal.
Several appellants, including the Attorney General, the National Assembly, the Kenya Revenue Authority, and the Cabinet Secretary for the National Treasury, filed a consolidated appeal to suspend the Court of Appeal’s declaration on the Finance Act 2023.
Led by Supreme Court Chief Justice Martha Koome, the seven judges of the Kenyan Supreme Court issued a conservatory order that suspended and stayed the declaration and conclusions of the Court of Appeal’s July 31, 2024, judgment.
“A conservatory order is hereby issued suspending and staying the declarations in the Orders iii, iv, vii & ix(i) issued in the Court of Appeal judgment dated 31st July, 2024 in Civil Appeals Nos. E003, E016, E021, E049, E064 & E080 of 2024 (Consolidated) pending the hearing and determination of the consolidated appeal before this Court,” SCoK Declaration.
On July 31, 2024, the Court of Appeal ruled that the Finance Act 2023 was unconstitutional due to the flaws in the enactment process. The ruling set enormous blows on the government’s operations six months after it was enacted.
The National Assembly, CS for National Treasury, KRA, and the Attorney General moved to the Supreme Court to challenge the ruling between August 1 and August 5 after it became apparent that most of the government services would be stalled.
The Court of Appeal’s judgment will remain temporarily suspended until September 10th and 11th, 2024, a date set by the Supreme Court for a virtual hearing.
However, Kenyans have maintained that the Finance Act 2023 is unconstitutional and should be completely withdrawn. It was enacted earlier this year, after the bill was introduced in June last year. A far-reaching consequence awaits the government should the Supreme Court declare the Act unconstitutional in its entirety.
