Court halts Nairobi Hospital AGM over Sh9.1 billion dispute

The Nairobi Hospital. [File, Standard]

The High Court has stopped the Nairobi Hospital’s Annual General Meeting slated for Friday over alleged Sh9.1 billion financial mismanagement and a deepening leadership crisis.

Justice Lawrence Mugambi issued the orders on Thursday pending the hearing of a petition filed by Busia Senator Okiya Omtatah alongside activists Bernard Muchiri Muchere and Naomi Nyakerario Misati.

They had sued the hospital’s top leadership over alleged financial mismanagement and governance chaos at the iconic medical institution.

The petitioners have named the hospital’s board chairperson Herman Manyora and CEO Felix Osano among the respondents in the case.

“A conservatory order is hereby issued restraining the 1st and 2nd Respondents (The Nairobi Hospital and Its board), whether by themselves, their agents, servants, employees, proxies, or any person acting under their authority, from convening, holding, conducting, facilitating, or in any manner whatsoever proceeding with the Annual General Meeting of the Kenya Hospital Association scheduled for February 6, 2026, or any adjournment or continuation thereof,” the Judge ordered.

The judge directed that the orders remain in full force until February 23, 2026.

Justice Mugambi further directed the hospital, its board members and top leaders, the Attorney General, Inspector General of Police, EACC, DCI, and other respondents listed in the suit to file responses to the case within seven days.

The orders were issued after Omtatah and his co-petitioners filed an urgent application under certificate of urgency at the Constitution and Human Rights Division in Milimani High Court on Wednesday.

In the petition, Omtatah and his co-petitioners are demanding immediate court intervention to prevent what they describe as an “irreversible governance catastrophe.”

The trio argue that allowing the AGM to proceed would be a travesty of justice.