PPARB Overturns Multi-Million Security Tender Award, Orders Investigation Into KEFRI Procurement Irregularities

The Public Procurement Administrative Review Board (PPARB) has annulled the award of a lucrative security contract initially granted to Canon Security Services Ltd. and directed that the tender be awarded to Papaton Security Services, the lowest evaluated bidder.

The contentious contract, tender No. KEFRI/ONT/006/2024-2025, was advertised by the Kenya Forestry Research Institute (KEFRI) for the provision of security, guarding, and reception services. According to tender documents dated 31 December 2024, 17 firms submitted proposals, of which 9 were declared non-responsive and disqualified during the preliminary evaluation phase.

Following a comprehensive assessment, Papaton Security Services emerged as the lowest bidder with a bid of KSh 49,790,662.34. The tender evaluation committee, in a report dated 25 January 2025, recommended awarding the contract to Papaton.

However, in an unexpected turn, Dr Paul Nyathore, KEFRI’s Head of Procurement, disregarded the committee’s recommendation and advised awarding the contract to the second-lowest bidder, Canon Security Services. Dr Nyathore cited a tax compliance certificate marked “withdraw” submitted by Papaton as the basis for his decision.

The PPARB has since found Dr Nyathore’s actions questionable and called for an inquiry into his conduct. It has directed that a formal investigation be conducted and appropriate disciplinary or legal action recommended based on the findings.

Additionally, the board has instructed that the Director-General of the Public Procurement Regulatory Authority (PPRA) be informed of potential fraudulent activities associated with KEFRI’s tendering process.

The board further ordered the procurement entity to reinstate Papaton Security Services in the tendering process and award the contract to them, as they were fairly evaluated as the lowest bidder. The evaluation committee has been directed to conclude the process within 21 days of the board’s decision, dated 24 April 2025.

This decision underscores the PPARB’s commitment to ensuring transparency, fairness, and accountability in Kenya’s public procurement processes.