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Appellate Court Holds Pending Trial of Nairobi Hospital Administrators

High court case regarding Nairobi Hospital management disputes temporarily halted, with CEO Felix Osano facing a contentious hearing.

Court case involving Nairobi Hospital's top officials temporarily halted by Appeals Court.
Court case involving Nairobi Hospital's top officials temporarily halted by Appeals Court.

Appellate Court Holds Pending Trial of Nairobi Hospital Administrators

Court Suspends Contempt Hearing Against Nairobi Hospital Officials

In a significant development, the Court of Appeal has suspended the hearing of the contempt application against Nairobi Hospital CEO Felix Osano, Secretary Gilbert Nyamweya, and Chairman Dr Barcley Onyambu.

The decision comes after a bench headed by Justice Patrick Kiage ruled that a temporary order should be issued staying the orders issued by High Court Judge Prof Nixon Sifuna and any further proceedings until a ruling is delivered.

The suspension was agreed upon by Justices Jamila Mohammed and Weldon Korir.

The proceedings in question stem from a suit filed by the hospital against Osano, Nyamweya, and Onyambu, which was later withdrawn by the hospital's board. However, Justice Sifuna declined to strike out the case and instead directed the defendants to explain why they should not be punished for allegedly holding a meeting contrary to court orders.

Dr Duncan Okubasu, the hospital's lawyer, argued that the orders issued by Justice Sifuna had crippled the hospital's operations. He further asserted that the orders barring his clients from calling a meeting or going to any retreats amounted to stalling the hospital.

Samson Mbuthia, the vice chair of the hospital's board, stated that on July 3, 2025, they were attending a board retreat in Naivasha, when they received court orders indicating that the board had filed a suit against Osano, Nyamweya, and Onyambu. Mbuthia did not mention any specific objections to the court's proceedings.

Dr Okubasu argued that the learned judge erred in law and in fact by finding that the High Court proceedings could be sustained against the defendants in spite of the Notice of Withdrawal of suit. He asserted that the continued conduct of the proceedings was highly prejudicial to the applicants.

It is important to note that the provided search results do not contain information about the chairperson of the board of the Kenya Hospital Association. However, it is inferred from the statement that there was nothing wrong with the hospital's board appointing Dr Okubasu's law firm to appear before the court.

The hearing has been suspended until the application filed by the Kenya Hospital Association's board of management is heard and determined. The decision by the Court of Appeal provides a temporary reprieve for the Nairobi Hospital officials, who were facing contempt charges. The outcome of the application will determine the future course of action in this case.

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