The Employment and Labour Relations Court in Nairobi has ordered the Agricultural Finance Corporation (AFC) to pay its former employee, Eurry S. Mabonga, KSh3.3 million after finding that his termination was procedurally flawed and unlawful.

Justice ruled that the disciplinary process leading to Mabonga’s dismissal in January 2025 was compromised, noting that investigators who probed him also sat on the panel that decided his fate.

The Court also faulted AFC for withholding critical documents that Mabonga needed to defend himself during the hearing.

Mabonga, who served as a Legal Officer from April 2013 and later rose to Senior Legal Officer, was accused of operating a private law firm, Mabonga & Co. Advocates, while still employed by the state corporation.

Despite AFC’s argument that this amounted to a conflict of interest, the Court found that due process was not followed in his dismissal.

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Flawed Disciplinary Process and Denied Rights

The Court observed that the employer failed to adhere to fair administrative procedures required under employment law.

It ruled that the panel’s composition created bias and violated the principle of impartiality.

In the ruling, the judge declared that Mabonga’s termination “was procedurally flawed and unlawful.”

The Court added that while AFC had valid concerns about his private practice, the investigation and disciplinary proceedings were tainted by irregularities that rendered the decision null.

Mabonga told the Court that he had worked diligently for over a decade, earning promotions and serving on several committees due to his exemplary performance.

He argued that his removal from office was “inhumane and procedurally improper.”

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Court Awards KSh3.3 Million in Damages

In total, the Court awarded Mabonga KSh3,332,743.50, covering compensatory damages, leave pay, long service award, and unpaid allowances.

The breakdown of the compensation included KSh431,829 in damages equal to three months’ gross salary, KSh215,914 for accrued leave, and KSh35,000 in unpaid leave allowance for five years.

Additionally, the Court awarded KSh2.64 million as non-practice allowance for 88 months from April 2013 to July 2020, at a monthly rate of KSh30,000.

The Court, however, rejected some of Mabonga’s claims, including his demand for KSh1.7 million in salary difference between his position and that of a Head of Department, stating that there was no legal or factual basis for the claim.

The claim for meal allowances also failed, as the Court ruled that Mabonga had not shown proof that he applied for the allowance or that AFC declined to pay it.

The Court ordered that AFC pay the total award with interest at court rates from the date of judgment until full settlement.

Mabonga was also granted the costs of the suit.

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Court Symbol PHOTO/ DPP X ACCOUNT