Court extends order suspending Kenya Re MD appointment

A labor and relations court in Nairobi has extended orders restraining Kenya Reinsurance Corporation Limited from appointing another person to replace sacked managing director Jadiah Mwarania.

The parties appeared before Justice Byram Ongwaya where the court directed respondents to file their submissions in 14 days.

Through lawyer Chacha Odera, Kenya Re said they are at a variance point and they require 14 days to file the response.

Through lawyer Judith Guserwa, Mr Mwarania said that he has filed all the documents and he would like the matter to be determined before Kenya Re holds its annual general meeting (AGM) on June 16, 2018.

In the application filed on March 13, 2018, Mr Mwarania said he served at the Corporation for close to 28 years during which time he has risen through the ranks from a management trainee up to Managing director.

In court papers, Mr Mwarania’s advocate added that his client’s performance cannot be in doubt because the Corporation results are exemplary due to his strong leadership and management.

He wants the court to determine whether or not his services were procedurally terminated by the Kenya Re.

The ousted managing director also wants the court to determine whether the Kenya Re board had any valid reason for terminating his services and if so were they proved before he was sent packing.

Kenya Re had filed a replying affidavit disputing the allegations by Mr Mwarania and stated that his employment was justifiably terminated for poor performance.

The reinsurer said it could not reinstate him nor consider his termination as unfair or wrongful.

“My contract was far from over with 37 months remaining and the action by Kenya Re was indeed aimed at shortchanging me and threatening my career with serious but fictious allegations of non-performance,” said Mr Mwarania in his affidavit.

Mr Mwarania moved to court to mitigate the loss and damages he is bond to suffer if he is kept out of employment when it is obvious that his contract has been prematurely terminated.

He is seeking Sh82 million as compensation for termination of his contact loss.

The case will be heard on May 17, 2018.