Kemsa has been in the headlines for all the wrong reasons from -dispatching banned ARVs to theatrics in procurement.
Kemsa was in the limelight last year when over Sh7.8 billion funds were misappropriated in procurement of PPE in the war on Covid-19.
Investigations have uncovered evidence of tenders being allegedly given to politically connected individuals and businesses.
Kemsa has also been accused of purchasing substandard mosquito nets and dispatching banned ARVs after a back and forth with USAID.
The culmination of sagas led to the revocation of Kembi Gitura's appointment as chairman of the Kemsa board.
Here are some of the scandals that have rocked the Agency.
“Before walking to Kemsa, the situation in my company was so bad and I had prayed about these Covid-19 supplies. I prayed about it. And I can tell you without fear this is God’s doing. I prayed for it. God does miracles,”
BANNED ARVs
Early in the week, a consignment of 29 types of ARV drugs worth Sh1.2 billion was flagged off by Kemsa to 31 counties in 24,800 packs.
These drugs were found to be toxic.
The drugs were phased out in 2019 and were from old stock donated by Global Fund that could have adverse side effects on patients.
Some HIV patients reported adverse reactions which were not normal after using the drugs, which they had never experienced.
The phased-out drug was Zidovudine/Lamivudine/Nevirapine, which the Ministry of Health had indicated would no longer be used in the country.
The country has been facing an acute shortage of ARVs, with Homa Bay being the most affected county.
The shortage had been caused by a tax row between Kenya and USAID, which eschewed Kemsa and shipped ARVs and test kits through a private US company, Chemonics International.
SUBSTANDARD MOSQUITO NETS
An investigation by Global Fund found out that millions of Kenyans were issued with substandard mosquito nets between 2017 and 2019.
The nets are partly blamed for spikes in malaria cases in Kenya and other countries that were affected.
In Kenya, approximately 14.9 million substandard mosquito nets were distributed countrywide in 2017 and 2018.
Pakistani-based manufacturer of the Dawa-Plus nets was accused of using ineffective chemical amounts and shabby fabric.
The Kenya Medical Supplies Authority has also been fingered for continuing to buy the nets directly from the Pakistani manufacturer, known as Tana Netting, in total disregard of quality control reports.
The Global Fund notified affected countries of the defective nets in March last year, and has now published its full findings.
Mosquito nets act as a physical barrier, preventing insect bites. Adding insecticide enhances protection, killing or disabling mosquitoes through contact with the chemical.
However, the nets sent to Kenya tear off easily, and might not kill or disable mosquitoes.
IRREGULARITIES IN PROCUREMENT
A Senate report last month accused the Board of Kemsa of failing to oversee the operations of the management in the procurement of Covid-19 items.
The report blamed suspended CEO Jonah Manjari for having single-handedly run the show at the Kenya Medical Supplies Authority leading to the Sh7.63 billion scandal.
The report by the Senate Health Committee called for investigation of senior Kemsa officials for their role in the lost funds.
In addition to Manjari, officers recommended for investigation include: Charles E. Juma, director, procurement; Eliud Mureithi, director, commercial services; Fredrick Wanyonyi, corporation secretary/director, legal service; Edward Njoroge, director, operations; and Waiganjo Karanja, director, finance and strategy.
Also targeted is any other officer of Kemsa who was involved in the procurement processes and who is, upon investigation, found culpable.
The committee report examined allegations regarding irregularities in the procurement of pharmaceutical equipment and products by Kemsa
The committee identified at least 16 companies that were awarded tenders but were registered less than three years prior to the award. They include Shop ‘N’ Buy, which was awarded a Sh970 million tender for supply of KN95 face masks and PPE.
The committee wants the ODPP and DCI to investigate the companies to determine if there was collusion among the CEO, Kemsa, the board of management and the directors in the contravention of PPAD Act and PFM Act.
In addition, the committee observed Kemsa only prepared and approved procurement plans months after the Authority had already spent Sh5 billion in the haphazard procurements without a budget.
The scandal led to some of the suppliers resorting to theatrics.
From ‘God led me to Kemsa’ to a passerby who won multi-million tenders.
These are some of the scheming conspiracies that the tenderpreneurs of the Kemsa scam treated Kenyans to.
"God led me to Kemsa"
A nurse told members of the Public Investments Committee that God led her to a Sh42 million tender at KEMSA.
Eunice Cherono invoked the name of God saying her persistent prayers delivered the tender, which is among those under probe by the House team.
“Before walking to Kemsa, the situation in my company was so bad and I had prayed about these Covid-19 supplies. I prayed about it. And I can tell you without fear this is God’s doing. I prayed for it. God does miracles,” Cherono told the MPs.
Passerby who landed Sh124m deal
Petrel Agencies director Lucy Mutema was on a routine visit to Kemsa to check if there were new tenders when she saw hordes of people along the corridors.
“I found a large group of people and asked the security guard who sent me to the reception where I learned of ongoing bids for supplies of Covid-19 items,” she told MPs during a probe on the irregular tenders.
MPs were further shocked to learn that her sample was approved within minutes, raising questions on how that would ascertain if the items were of good quality.
Supplier tells of Covid prediction
Joel Ndegwa told the Public Investments Committee that he in December 2019 projected that there would be a business at the medical supplies authority.
He sent word to his wife Lydia who secured a contract of Sh225 million.
They have been paid Sh117 million for the purported supplies or protective equipment for medical workers.
Anonymous phone call led supplier to Sh180 million masks tender
A Kemsa supplier walked her way to a Sh180 million tender after a call from an anonymous client who wanted her firm Bennet Ventures to supply them with bulk quantities of face masks.
Molly Cheruto told the National Assembly Public Investments Committee that the call was from among many enquiries to her company at that time.
