A ruling by the Milimani High Court in Nairobi has temporarily blocked the appointment of Bruno Oguda Obodha as the Managing Director of East African Portland Cement Company (EAPCC). Justice Bahati Mwamuye issued a conservatory order halting the appointment made on December 20, 2024, following an application filed by Carolina Mwangi, who raised concerns about potential conflicts of interest tied to Obodha’s position.
Mwangi’s petition argues that Obodha’s appointment breaches corporate governance principles and ethical standards. The crux of the issue lies in his directorship at Geoner Systems & Massel Real Property, a company that was contracted by EAPCC in December 2023 to act as a selling agent for a portion of LR No. 10424. This relationship, according to the petition, creates a conflict of interest that undermines the integrity of Obodha’s appointment.
In response to the court’s intervention, the EAPCC board, led by Brig. (Rtd) Richard Mbithi, admitted that it was unaware of Obodha’s directorship when the names for the position were submitted. The board contended that the selection process did not account for potential ethical breaches and corporate governance concerns. Furthermore, a government circular from April 2022 advising against the appointment of individuals with unresolved integrity issues has added another layer of complexity to the case.
The controversy has sparked unrest among EAPCC employees, leading to a shutdown of the company’s Athi River plant on December 23, 2024, in protest of the appointment. While operations have since resumed, the uproar underscores growing dissatisfaction with the decision.
As the case is scheduled for an inter partes hearing on February 12, 2025, the matter is expected to continue drawing attention to the processes surrounding state appointments. It has raised questions regarding the adherence to ethical standards and corporate governance in the public sector, particularly within President William Ruto’s administration. The court’s ruling serves as a critical reminder of the importance of transparency and accountability in public sector recruitment.