Reprieve for Ruto as Court Extends Housing Levy Deduction
The Court of Appeal has prolonged the deduction of the 1.5 percent Housing Levy until a decision is made on January 26th.
Following an appeal presented by the National Assembly and Speaker Moses Wetangula, the three-judge panel of the Appellate Court decided that workers must continue to contribute deductions to the fund, despite its previous declaration of unconstitutionality by the High Court.
The bench consisted of Justice Lydia Achode, John Mativo, and Paul Gachoka.
“Upon hearing the parties, all the applications are consolidated as they arise from the same judgment of the High Court dated November 28, 2023. Civil Application No. E577/2023 is designated as the lead file. The ruling on these consolidated applications will be delivered on January 26, 2024,” read the ruling in part.
“In the meantime, the status quo obtained as of today shall be maintained until the delivery of the ruling. Made at Nairobi January 3, 2024.” read the ruling in part.
Significantly, before the verdict was issued, the government, represented by Attorney General Justin Muturi, requested the court’s permission to permit the deductions to persist until a final decision was reached on the issue.
As per the government’s statement, President William Ruto’s initiative proved advantageous for Kenyan citizens due to the employment opportunities it generated.
The three-judge panel consisting of Justices David Majanja, Christine Meoli, and Lawrence Mugambi ruled the Housing Levy as unconstitutional on November 28.
As per the three-judge panel, the imposition went against the constitution because it targeted solely employed individuals in Kenya for deductions.
Significantly, the Affordable Housing Bill was introduced by the government’s Majority Leader Kimani Ichung’wah, aiming to include a provision for a 1.5 percent deduction for individuals in Kenya who lack formal employment.
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Nevertheless, the advancement of the bill is anticipated to face delays in court following the decision of the Vihiga High Court in December 2023, which halted the public engagement procedure until the issue is resolved through a hearing.
Kenyans were required to give their views on the Bill by December 28, 2023.
At the same time, Ruto alleged that certain people within the Judiciary were actively working against his development plans. He suggested that the government might disregard specific court rulings.
“Our Judiciary, we respect you but judicial impunity by corrupt judicial officers must stop in Kenya…we’ll stop it and whatever it takes,” Ruto stated during a funeral in Nyandarua County.
Nevertheless, the President faced strong criticism from the opposition, the Law Society of Kenya (LSK), and Chief Justice Martha Koome.
In her rejoinder, Koome asked judges to continue with their work without intimidation from anyone.
“Where a citizen obtains a court order against the State and that court order is deliberately ignored or disobeyed by State officials, the right of access to justice is undermined because it attacks the effectiveness of the legal system on which ordinary citizens rely to have their rights and legal duties enforced,” she stated.
Reprieve for Ruto as Court Extends Housing Levy Deduction
