The Football Kenya Federation (FKF) is facing the real possibility of having its assets auctioned after failing to comply with a court-ordered payment plan meant to compensate 14 former employees who were dismissed nearly a decade ago.
The dispute dates back to 2016 when the employees, led by former FKF Chief Executive Officer Michael Esakwa, were dismissed from the federation with the group challenging their termination before the Employment and Labour Relations Court (ELRC), arguing that their dismissal was unlawful.
In 2023, the court ruled in favour of the former employees and awarded them approximately KSh15 million in compensation, however, the prolonged delay in settling the decree has resulted in the accumulation of interest, pushing the total amount owed to nearly KSh31 million.
Court records indicate that FKF has already paid about KSh13 million towards the settlement, but an estimated KSh18 million remains outstanding. The unpaid balance continues to attract interest, increasing the financial burden on the federation with every passing month.
To ensure the judgment was honoured, the Employment and Labour Relations Court directed FKF to pay KSh1.5 million every month until the entire debt was cleared. The federation initially complied with the repayment schedule, making several monthly installments before reportedly defaulting on the court-approved arrangement.
The latest default has prompted the former employees’ legal team to take fresh enforcement measures. Their advocates have issued FKF with a 48-hour ultimatum to settle the outstanding balance, warning that failure to do so will trigger the next legal step of executing the court decree.
If the federation fails to honour the demand within the stipulated period, auctioneers could be instructed to attach and sell FKF assets in a bid to recover the remaining debt. Such a move would mark a significant escalation in one of the federation’s longest-running legal disputes and could have far-reaching financial and operational consequences.
The potential auction comes at a critical time for Kenyan football, with FKF overseeing domestic competitions, national teams, and preparations for upcoming international assignments. Any disruption to the federation’s operations could raise concerns among stakeholders, including clubs, players, sponsors, and football administrators.
The case also highlights the financial implications of prolonged legal disputes and delayed compliance with court orders. As interest continues to accumulate, the overall cost to the federation has risen substantially beyond the original compensation awarded by the court.
Attention now shifts to whether FKF will settle the outstanding amount within the 48-hour deadline or risk enforcement proceedings that could see its assets auctioned to satisfy the court judgment.
