Sources told The Weekly Vision that Kabways Merchants Ltd had already been debarred through a gazette notice No. 1399 dated 10th January 2023 signed by Mr Njuguna Ndung’u, Cabinet Secretary for the National Treasury and Economic Planning
Top procurement officers at two state corporations, Geothermal Development Company (GDC) and Kenya Electricity Generating Company (KenGen) are under the spotlight for awarding multimillion-shilling tenders to a company which had been debarred by the Public Procurement Regulatory Authority and the CS treasury.
The Geothermal Development Company GDC awarded tender No.GDC/GRM/OT/02112O-2L for the supply of Well Logging & Testing Equipment to Kabways Merchants Limited valued at Ksh. 9,997,800, while KenGen awarded the same company tender No.KGN-GDD/065/2020 for Well Stimulation Equipment Accessories and assorted mechanical tools for the Olakria Reservoir Management valued at Ksh. 12,768,000.
Sources told The Weekly Vision that Kabways Merchants Ltd had already been debarred through a gazette notice No. 1399 dated 10th January 2023 signed by Mr Njuguna Ndung’u, Cabinet Secretary for the National Treasury and Economic Planning.
The Gazette Notice reads in part “It is notified for the general information of the public that, pursuant to the powers conferred on the Cabinet Secretary under regulation 22 (5) (k) of the Public Procurement and Asset Disposal Regulations, 2020, that— KABWAYS MERCHANTS LIMITED has been debarred by the Public Procurement Regulatory Authority from participating in public procurement and asset disposal proceedings, on the grounds specified in section 41 of the Public Procurement and Asset Disposal Act, 2015, for a period of three (3) years, with effect from the 19th July, 2022”.
The two tenders awarded separately by both KenGen and GDC had raised serious issues as the procurement entities were accused of favouring Kabways Merchants Ltd. Sources say the directors of Kabways Merchants Ltd are shrewd business people who use the power of money to win whatever tenders they are interested in, especially state corporations.
Sources added that procurement officers at the two state corporations are on the spot over the two tenders. Pressure is now mounting on investigating agencies to move with speed and carry out investigations on the tendering process of the two tenders by KenGen and GDC.
According to Public Procurement and Asset Disposal Act, 2015, Section 41, it reads in part “The Board shall debar a person from participating in procurement or asset disposal proceedings on the ground that the person has committed an offence under this Act; has breached a contract for a procurement by a public entity including poor performance; has, in procurement or asset disposal proceedings, given false information about his or her qualifications; has defaulted on his or her tax obligations or is guilty of corrupt or fraudulent practices”.
