High Court awards former KVDA boss Sh23.4 million for wrongful dismissal

The High Court in Eldoret has cleared former Managing Director of Kerio Valley Development Authority (KVDA) David Kimosop of any wrongdoing and awarded him Sh23.4 million as damages.

The court also ordered KVDA to pay Mr Kimosop three months’ salary in lieu of notice, six months salary for unfair termination, salary for the remainder of his contract, gratuity and leave allowance.

Employment and Labour Relations Court Judge Nelson Abuodha ruled that the board terminated Kimosop’s contract on basis of perceived irregularity to Mwongozo, a code of governance for government-owned entities, which directs that a parastatal chief can only serve for a maximum of two three-year terms.

In a virtual court session on Friday, Justice Abuodha ruled that the termination of the former MD’s contract was unfair and unlawful.

Kimosop sued KVDA after his removal in May 2019. The judge said the board sacked him in spite of a circular by Head of Public Service Joseph Kinyua that suspended implementation of Mwongozo as far as government operations ware concerned.

Prior to his sacking, Kimosop was serving a two-year term before the board argued that it was unprocedural because he had completed two terms at the helm of KVDA.

The board argued that Kimosop’s appointment had not been subjected to the directive of the maximum two terms. The board during the proceedings said they had been directed by the Head of Public Service to terminate the contract.

KVDA Board Chair of Human Resource Committee Andrew Njenga told High Court that termination of Kimosop’s contract was not based on performance or misconduct. He said Kimosop’s performance had been rated by the KVDA Board as excellent.

Abuodha ruled that the Head of Public Service had no authority to direct the board to terminate a legal contract of the boss, particularly after issuing a circular in February 2018 indicating that parastatal boss’ contracts are not subject to Mwongozo on the terms served or age, as those were contracts whose renewal was based on performance.