Nakuru County lost Sh300 million in undefended court cases

Nakuru County faces a costly legal bill after repeated failures to defend cases. [Courtesy]

Nakuru County has lost over Sh300 million in court cases between 2024 and 2026, court records and audit reports reveal the same.

According to the report, the cost incurred in court in 2024 and 2025 could be avoided because, in several cases, the county government was ordered to pay Sh180 million to litigants.

“In the circumstances, prudent management decisions in handling legal cases cannot be confirmed,” read the Auditor General Report 2024/2025.

Despite the audit report flagging loss of money in court disputes due to poor management decisions in handling cases, the trend has repeated itself in 2025/2026.

Three court decisions sampled this year show that out of the Sh300 million, about Sh120 million was awarded to litigants and law firms in court cases.

The county government did not participate or defend itself in the case despite being served by the litigants.

Early this month, the High Court ordered the county government to settle a legal fee of Sh83.86 million within a

month, or else prepare for contempt proceedings.

Judge Julius Nangea ruled that the county government owed M.J Okumu and Associates Advocates Sh53 million principal sum in the legal fees and Sh30.86 million interest on the legal fees, calculated at 12 per cent per annum

year, accumulated since January 19, 2021.

The judge noted that despite service, the county did not participate in the case. He ruled the case as unopposed and allowed all the prayers made by the Law firm.

“Despite evidence of service of this application, the respondents (county government) have not filed any replies. The Application is therefore deemed as unopposed,” Nangea ruled.

He directed the county to settle the quoted Sh83.86 million within 30 days, failure to which the court may issue a notice to show cause why serious action should not be taken against county officials.

To add to the misery, the court also directed the county government to shoulder the cost of the application.

According to the law firm, the principal sum owed was Sh53 million, interest calculated at 12 per cent per annum from January 19, 2021, was Sh30.85 million and the court fees were Sh2,000.

“In default, a notice to show cause should be issued against the respondents to explain why they should not be cited for being in contempt of the court orders,” the firm deposed.

Lawyer Okumu testified on December 10, 2024 and said he had a retainer agreement with the county government of Nakuru.

A settlement deed dated December 8, 2020, was executed, with the county fixing his law firm’s remuneration for services offered at a sum of Sh78.18 million.

Okumu averred that the county government only paid the debt partially, leaving a balance of Sh53 million, plus the applicable interest.

“The defendant defaulted from January 19, 2021, causing us to lose an opportunity to purchase a property we desired, resulting in embarrassment,” testified Okumu.

On June 3, 2026, Senior Lawyer Wilfred Konosi won a dispute against the county government and was awarded Sh35.2 million.

Judge Nangea ruled that Konosi was owed by the county government for offering services to them between 2014 and 2021.

“The applicant is granted interest at 14 per cent from January 9, 2021, to January 2026 at the rate of 16 per cent. He is also awarded Sh446,445 in unpaid VAT,” ruled Nangea.

Konosi deposed that he offered legal services to the county government in 2014 and 2015 and thereafter represented the county in various matters and legal fee notes were raised for settlement.

He said that as at April 2020, the county owed him Sh30.1 million, exclusive of VAT.

After discussions, Konosi deposed that a Settlement Deed Certificate of fees Settlement was executed on December 8, 2020, and he was to be paid Sh21.18 million within 30 days.

“The respondent failed to keep its part of the bargain even after I issued a Notice of Intention to sue over the debt,” he submitted.

Unfortunately, the county did not enter an appearance and the court ruled in Konosi's favour and he was also awarded the cost of the case.

On July 10, the county was also compelled to pay Alfred Owino Sh2.98 million within 30 days, as compensation for a work-related accident he suffered in 2017.

Judge Anna Mwaure also ordered the county to pay accrued interest from September 8, 2020, to date, calculated at 14 per cent per year.

The court noted that Owino’s injuries were assessed at 50 per cent permanent incapacity and he was awarded compensation by the Directorate of Occupational Safety and Health Services (DOSH).

“Despite the compensation by DOSH being adopted by the court and being served, the respondent (county) has provided no evidence of compliance,” she ruled.

The county government never responded to Owino’s application despite being notified of the same through legal service.