Court of Appeal Dismisses Assets Recovery Agency Bid Against Sonko

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The Court of Appeal of Kenya has dismissed an application by the Assets Recovery Agency seeking to halt the execution of a High Court decision involving former Nairobi Governor Mike Sonko Mbuvi Gideon Kioko.

In a ruling delivered in Nairobi on March 25, 2026, a three-judge bench comprising K. M’Inoti, E. C. Mwita and B. Ongaya dismissed the Agency’s application, terming it as lacking merit.

In courts

The Agency had moved to the appellate court under Rule 5(2)(b) seeking a stay of execution of a High Court judgment delivered on October 1, 2025, by Prof. Sifuna. 

The lower court had dismissed its case, finding insufficient evidence to prove that the funds in question were proceeds of crime.

In its application, the Agency argued that under Section 97 of the Proceeds of Crime and Anti-Money Laundering Act (POCAMLA), preservation orders should remain in force pending the outcome of an appeal.

However, Sonko’s legal team countered that the High Court decision was a “negative order” — meaning it merely dismissed the case without directing any action — and therefore could not be stayed.

The Court of Appeal agreed with this position, emphasizing that a dismissal does not constitute an executable order.

The judges cited past decisions, including Western College of Arts and Applied Sciences v. E. P. Oranga (1976) and George ole Sangui v. Kedong Ranch Ltd (2015), to support the principle that courts cannot stay negative orders.

As a result, the court dismissed the application dated January 22, 2026, and awarded costs to Sonko.

“The applicant’s notice of motion… has no merit and is hereby dismissed with costs to the respondent,” the judges ruled.

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