Sonko gets relief as Tribunal orders KRA to unfreeze his bank accounts

Former Nairobi Governor Mike Sonko has secured a major legal reprieve after the Tax Appeals Tribunal ordered the Kenya Revenue Authority (KRA) to unfreeze his bank accounts.

In orders issued on Friday, the Tribunal directed KRA to lift agency notices that had frozen several of Sonko’s accounts held at Equity Bank Kenya Limited, granting him access to the funds pending the hearing and determination of his tax appeal.

The decision was reached by consent of both parties and follows earlier interim orders issued on April 14, which had temporarily barred KRA from enforcing the same agency notices.

At the time, the Tribunal certified the matter as urgent and halted enforcement actions, including the freezing of accounts, ahead of an inter partes hearing scheduled for April 17.

Friday’s ruling effectively affirms that temporary relief, offering Sonko breathing space as the substantive tax dispute proceeds.

The development comes a day after the Central Bank of Kenya (CBK) launched a probe into Equity Bank over allegations that it failed to comply with a High Court order to lift restrictions on accounts linked to the former governor.

In a letter dated April 16, CBK confirmed it had received a formal complaint accusing the bank of defying directives issued by the High Court’s Anti-Corruption and Economic Crimes Division in a case involving the Asset Recovery Agency and Sonko.

The regulator said it has sought clarification from the bank and will issue a comprehensive response once investigations are complete.