The Court of Appeal has upheld a High Court ruling ordering the Assets Recovery Agency (ARA) to unfreeze bank accounts linked to former Nairobi governor Mike Sonko. The decision, delivered on March 25, 2026, dismissed ARA's appeal for lacking merit. The accounts, holding over Ksh 537 million, had been frozen over suspected money laundering.
On March 25, 2026, the Court of Appeal dismissed the Assets Recovery Agency's (ARA) appeal against a High Court ruling from October 2025. That earlier decision had ordered ARA to unfreeze accounts linked to former Nairobi governor Mike Sonko, citing a lack of evidence to support money laundering claims. ARA had argued that under Section 97 of the Proceeds of Crime and Anti-Money Laundering Act (POCAMLA), preservation orders remain in force pending appeal. The judges, however, ruled that any stay could only apply to costs and that they could not halt a judgment requiring no action. 'There is nothing arising out of the High Court judgment for this court, in an application for a stay, to enforce or refrain by injunction,' the court stated. The ruling clears Sonko's accounts, previously holding over Ksh 537 million and frozen on suspicion of being proceeds of crime. Sonko has faced legal battles since his 2020 ouster from City Hall. The appellate bench noted it could not stay execution against a mere dismissal of the suit.