A legal case filed by Jamal Ahmed, chief executive officer of MIDROC Investment Group, and prominent businessman Belayneh Kinde against the Ethiopian Sectoral Associations Council's leadership has been withdrawn. The lawsuit emerged amid concerns over governance and institutional functioning. The plaintiffs had argued that the March 2026 election failed to comply with legal and procedural requirements.
The withdrawal of the lawsuit follows constructive discussions between the plaintiffs and the Ministry of Industry, which established a clear path toward a fresh vote. Abebeyahu Girma, the council's former vice president and one of the plaintiffs, confirmed that the plaintiffs fully withdrew the case. He commended the ministry's new leadership for taking responsibility to resolve the dispute peacefully.
The lawsuit was filed with the Fifth Commercial Bench of the Federal First Instance Court's Commercial and Investment Division, arguing that the March election was flawed. The plaintiffs sought to annul the meeting and compel a fresh election. The court had scheduled a hearing for November 2, 2026, but the ministry-facilitated agreement rendered further court proceedings unnecessary.
An internal assessment by senior Ministry of Industry officials, experts, and the legal department identified serious administrative shortcomings in the council's leadership. The assessment highlighted the failure of the newly elected president and vice president to attend their offices for roughly six months following the vote. There was also a complete breakdown in communication with the secretariat.
The Ministry of Industry's intervention aims to restore normal operations in the council. Under Article 3 of the council's governing rules, one-third of member councils can request the convening of an extraordinary general assembly. More than half of the constituent councils submitted signed written requests calling for an urgent session.
The extraordinary general assembly, anticipated in the coming days, will provide member associations with an opportunity to elect new leadership through an agreed process. This move is expected to resolve the impasse and facilitate a peaceful transfer of power. The new election will be crucial in determining the future of the council.
The Sectoral Associations Council plays a vital role in promoting the interests of various industries in Ethiopia. The council's leadership is responsible for overseeing the sector's growth and development. A peaceful and transparent election process will be essential in ensuring the council's continued effectiveness.
Key points
- The lawsuit was withdrawn following an agreement with the Ministry of Industry to pave the way for a new election.
- The new election aims to resolve governance and institutional functioning concerns in the Ethiopian Sectoral Associations Council.
- The extraordinary general assembly will provide member associations with an opportunity to elect new leadership through an agreed process.
