The Supreme Court has declared Constituency Development Fund illegal. In the ruling the judges ruled that allowing MPs to manage funds offends division of revenue and public finance law.
“A declaration is hereby made that the Constituency Development Fund Act, 2013 is unconstitutional,” the verdict given by the five-judge bench read in part.
The case was taken to the Supreme Court after the Court of Appeal in 2018 overturned a 2015 High Court judgment that had declared CDF unconstitutional.
The Institute for Social Accountability and the Center for Enhancing Democracy and Good Governance have argued that CDF is unconstitutional.
Tisa said the act undermined devolution and went against principles of the rule of law, good governance, transparency, and accountability.
It also said the act contravened the division of powers between the national and county government and the public finance management and administration.
Justice David Majanja said the process leading to the enactment of the CDF was not legitimate on grounds that the Senate was not involved in its enactment.
They added that MPs are involved in implementing tax-payer funded projects, which is a preserve of the executive arm of government.The kitty, which has since been renamed the National Government Constituency Development Fund has been a political lifeline for MPs at the grassroots.