Court halts Sh7 billion pension payout to 629 Stanchart retirees
Courts
By
Nancy Gitonga
| Sep 26, 2025
Over 600 retired Standard Chartered Bank workers have been dealt another blow after the High Court blocked the release of Sh7 billion pension dues owed to them since 1999, after a city lawyer sought to have her legal fees settled first.
Justice Moses Ado issued temporary orders following an urgency case filed by pensioners’ lawyer Ruth Wanyonyi, barring the bank and its pension trustees from implementing a September 12 public notice announcing payment of the dues, as she claimed she had yet to be paid her legal fees.
“Pending further directions on October 2, 2025, a temporary order of injunction is hereby issued restraining the Interested Parties (Standard Chartered Bank and trustees of its two pension schemes) from implementing the Public Notice of September 12, 2025,” the judge ruled.
Thursday’s court decision has left the retirees, who have been waiting for nearly three decades to access their funds, in limbo.
The orders were triggered by an application by Wanyonyi, who represented the retirees in a series of court battles, which have been pending in court for years.
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She wants half of the decretal sum frozen to secure her firm’s legal costs before full disbursement.
Wanyonyi told the court her fees arose from years of litigation, including Supreme Court Petition Number E011 of 2025, Court of Appeal Civil Appeal Number E847 of 2023, and Nairobi High Court JR Misc. No. E110 of 2022, and Retirement Benefits Appeals Tribunal (RBAT) Appeal Number 8 of 2021.
She argued that releasing the entire payout before she is paid her costs would prejudice her law firm, insisting that at least half of the funds should be withheld until the bills of costs are settled.
The order means hundreds of pensioners, some of whom left the bank in 1994, will have to wait longer to access their retirement benefits, despite having won a landmark case before the Retirement Benefits Appeals Tribunal.
The retirees, through Lawyer Danstan Omari, gave the lender seven days to pay them or file contempt of court proceedings.
They stated that many have taken loans, while others died before ever receiving their pensions.
“This is a devastating setback for pensioners who have fought for justice for over 26 years,” said one retiree outside court.
“We are broke, sickly, and tired of waiting. Every delay means more of us die without dignity.”
In 2021, the Tribunal had ruled in favour of the retirees in RBAT Appeal No. 8 of 2021: Abdalla Osman & 628 Others vs Retirement Benefits Authority & 5 Others, ordering recalculation of their benefits to include cost-of-living adjustments and allowances that had been excluded.
The Tribunal also faulted the trustees for using obsolete salary scales and unlawfully withholding pension increments, a finding that was later upheld by both the High Court and the Court of Appeal.
Standard Chartered and its pension trustees had escalated the matter to the Supreme Court, but on September 9, 2025, a five-judge bench led by Deputy Chief Justice Philomena Mwilu dismissed their appeal, ruling that the case did not raise constitutional questions to justify the court’s jurisdiction.