The High Court has declared the National Health Insurance Fund (NHIF) pending claims verification committee unconstitutional, effectively ending its operations just four months after it was established.

The committee, which had been formed through a Gazette Notice by Health Cabinet Secretary Aden Duale, was found to have violated the Constitution by taking over duties that are legally reserved for the Auditor General.

In a ruling delivered by Justice Ruben Nyakundi, the court found that Duale had no authority to set up such an Ad Hoc committee.

The judge stated that the CS had overstepped his legal mandate by creating a body that interfered with the independent functions of the Auditor General, contrary to Articles 226(3) and 229 of the Constitution.

“The process adopted in forming the committee through an executive decision and gazette notice contravenes the Constitution,” ruled Justice Nyakundi. He added that the creation of the committee not only ignored the legal structures in place but also eroded the oversight role meant for the Auditor General’s office.

The ruling came after a petition filed by Nakuru-based doctor Magare Gikenyi, who challenged the legality of the committee’s formation. Gikenyi argued that the CS failed to take into account both budgetary and financial compliance before putting together the team. He pointed out that such an action was a violation of the law, stating that “such an act by the CS made him liable to impeachment as it was a violation of the law through abuse of power.”

The committee had been appointed on March 28, with a 90-day mandate to assess and verify medical claims made under the now-defunct NHIF scheme before any payments could be approved.

During the inauguration of the committee on April 6, Duale stated that the team was meant to address concerns over delayed payments and suspicious disbursements associated with the previous scheme.

The CS had also tasked the group with developing clear criteria for evaluating claims, identifying any fraudulent submissions, and making policy suggestions to avoid future malpractice in the system. However, the High Court's decision means that none of those tasks can proceed under the current committee framework.

Before the final ruling, Justice Nyakundi had already issued conservatory orders on May 13, temporarily suspending the committee’s operations until the case was heard and determined.

The latest decision now brings the matter to a close, marking a legal blow to the Health Ministry’s efforts to restructure the way NHIF claims are handled.