In a hurry? Here’s a quick summary…
- Busia Senator Okiya Omtatah and others have moved to court to block the launch of the Social Health Insurance Fund (SHIF), citing legal and constitutional issues.
- They also challenge a Ksh.104 billion healthcare IT contract awarded to a Safaricom-led consortium, alleging corruption and fraud.
Busia Senator Okiya Omtatah, along with Eliud Matindi and Magare Gikenyi, has filed a court petition to block the implementation of the controversial Social Health Insurance Fund (SHIF), which is set to be launched on Tuesday.
The trio has approached the High Court seeking temporary orders to suspend the fund’s roll-out, arguing that the necessary subsidiary legislation to operationalize the Social Insurance Health Act is yet to be put in place.
In their urgent application, the petitioners are calling for the court to nullify the subsidiary legislation, claiming it is being used illegally and unconstitutionally to enforce the new health insurance program.
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Furthermore, they are seeking a suspension of the government’s decision to contract a Safaricom-led consortium to provide the Ksh.104 billion healthcare information technology system for Universal Health Care (UHC).
The Safaricom consortium, comprising Safaricom Plc, Konvergenz Network Solutions Limited, and Apeiro Limited, was awarded the tender through direct procurement.
In their petition, Omtatah and his co-petitioners allege the deal is riddled with corruption, revealing what they describe as a fraudulent scheme between corrupt government officials and powerful figures within the Safaricom consortium.
According to court documents, the consortium will not make any investment in Kenya, but will retain all intellectual property rights and charge Kenyans for using the system, with the option to sell the software to other third parties.
Additionally, the petitioners argue that there is no valid reason to award the consortium the contract.
The SHIF requires all Kenyans to contribute 2.75% of their income, with a minimum contribution of Ksh.300. However, the proposed program has faced widespread criticism from the public, with many questioning why the government is pushing for the Ksh.100 billion scheme to replace the National Health Insurance Fund (NHIF), rather than improving the existing system.