Top government officials, including East Africa Community CS Adan Mohamed, have been implicated in an alleged procurement scandals at the Export Processing Zone Authority.
The Star has established that the Public Procurement Regulatory Authority has launched investigations and is demanding answers from the EPZA following a dossier from a whistle-blower.
Among those named to have benefitted from the tenders are CS Mohamed and former EPZA chief executive officer Fanuel Kidenda. This amounts to conflict of interest. A
man identified only as Abdi is among the suspects.
“Pursuant to provisions of Section 34 of the Public Procurement and Asset Disposal Act, 2015, submit your responses to the allegations cited above,” PPOA ordered in a letter dated October 30.
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Yesterday, acting EPZA chief executive officer George Makateto told the Star they had received the letter but declined to comment, saying the issue is under active probe. “For now, I have no comment,” he said.
PPOA is also demanding tendering documents, including approved budgets, procurement plans and tender opening registers.
Under the law, PPOA is allowed to initiate procurement investigations and may make recommendations for graft prosecutions of suspects.
On the radar of the authority is a Sh146.2 million tender for the extension of roads and maintenance of new roads. The whistle-blower says it was awarded to a firm associated with CS Mohamed.
“Ballast was supplied and later taken away with no work done at all,” the PPOA letter says.
At the time, Adan was the Industrialisation CS with direct oversight over the EPZA. In July, he was moved to the East Africa Community docket in what was linked to the importation of tones of illicit sugar.
Yesterday, the CS dismissed the allegation and dismissed themas a fishing expedition.
“I have no company doing anything in the EPZ and I am not aware of PPOA investigations. That is the biggest fishing rod you are using,” he told the Star.
Also queried is the construction of internal access roads and civil works at Leather Park Kinanie awarded to Marcann Construction Ltd at Sh120 million. The firm accused of doing shoddy work is alleged to belong to Kidenda’s brother.
Another questionable Sh150 million tender for the decommissioning of a dumpsite was awarded to Marnn Contractors Ltd.
“There is suspicious repeat award to a firm suspected to be associated with the CEO’s brother,” PPOA’s letter reads.
A firm called Ken Bright Health Administrators
bagged two tenders irregularly. One was a Sh26 million tender for the provision of EPZA staff cover.
Abdi who also served in the board is said to have gotten a tender worth more than Sh310 million for construction of water infrastructure.
PPOA is also investigating Sh200 million construction of the Trunk Sewer Pipeline and Sh165 million construction of a perimeter wall at the EPZ Athi River.
Others are acquisition of lifts, installation of CCTV cameras, installation of floodlights and purchase of radio calls.