The Ethics and Anti-Corruption Commission (EACC) revealed how Deputy President Rigathi Gachagua’s company was irregularly awarded a Ksh 3.7 billion mosquito net tender, which Global Fund later cancelled.
The scandal came to light hours after former Kenya Medical Supplies Authority (Kemsa) CEO Dr. Andrew Mulwa implicated Mr Gachagua in the tender irregularities. EACC Deputy CEO Abdi Mohamud informed senators investigating the impeachment motion against the DP that Shobika Impex Limited, represented locally by Crystal Kenya, had been favoured to secure the lucrative tender.
Mohamud disclosed that EACC’s investigations uncovered efforts by Josephine Mburu, the sacked Principal Secretary of the State Department for Public Health and Professional Standards, to alter the tender specifications provided by Global Fund. These changes were allegedly made to match the requirements of Shobika Impex Limited, thereby giving the company an unfair advantage.
Global Fund eventually canceled the tender, citing irregularities in the procurement process, which appeared skewed in favor of Shobika Impex Limited. The mosquito nets, treated with polyethylene and polyester, were supposed to be distributed as part of a mass malaria campaign from November 2023 to July 2024, but due to delays, distribution only began this year.
EACC’s investigation revealed that two different types of chemicals were used in the nets, and Mburu had written to the Kemsa CEO to amend the specifications to fit Shobika Impex’s product. “There were serious procurement challenges, with the major issue being the change of specifications to suit Shobika Impex Limited, whose local agent was Crystal Kenya Ltd,” Mohamud told senators.
Additionally, Mohamud revealed that Shobika Impex submitted its bid bond well after the official deadline. To accommodate this, Kemsa extended the submission deadline, raising further concerns about the fairness of the process. When the tender was eventually cancelled, Dr Mulwa requested the return of Shobika’s bid bonds and recommended disciplinary action against Kemsa officials involved.
The tender, originally launched on January 31, 2023, had a submission deadline of February 23. However, the deadline was extended to March to allow Shobika Impex more time to submit its documents, further raising suspicions.
Dr. Mulwa, who had previously testified, claimed that Gachagua had personally interfered with the tender process through intimidating phone calls. “For the record, I had never received a call from anyone higher than my Cabinet Secretary. This was the first time I was contacted by a sitting Deputy President, asking for documents under investigation,” said Mulwa. He recounted feeling coerced into retrieving the bid bond from EACC, where he spent five hours waiting.
Senators questioned how the tender was awarded and Gachagua’s alleged role in influencing its outcome. Nominated Senator Hamid Kibwana inquired whether the country incurred financial losses due to the tender’s cancellation, while Kakamega Senator Bonny Khalwale asked Dr. Mulwa to provide more details on the conversations he had with the Deputy President.
Dr. Mulwa reiterated that bid bonds had been submitted outside the stipulated timelines, a clear irregularity. He also detailed how Gachagua’s phone calls had exerted pressure on him during the tender process, adding further weight to the claims of interference.