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Ex-EACC boss entangled in Kemsa scandal

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Ex-EACC boss entangled in Kemsa scandal


Waqo

Ex-EACC boss Halakhe Waqo. FILE PHOTO | NMG

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Abstract

  • Mr Wago, previously the chief govt of the Ethics and Anti-Corruption Fee (EACC), stood as guarantor for Guarantee Business Companies Restricted within the deal which concerned the availability of face masks.
  • He assisted the agency to safe funds from First Neighborhood Financial institution to finance a neighborhood buy order (LPO) for the availability of fifty,000 bins of face masks.

Former anti-graft company boss Halakhe Waqo has been summoned by Parliament to clarify his hyperlinks with an organization that was awarded a Sh347 million State contract for Covid-19 emergency tools regardless of its restricted monetary capability and no expertise in medical provide.

Mr Wago, previously the chief govt of the Ethics and Anti-Corruption Fee (EACC), stood as guarantor for Guarantee Business Companies Restricted within the deal which concerned the availability of face masks to the State-run Kenya Medical Provides Company (Kemsa).

He assisted the agency to safe funds from First Neighborhood Financial institution to finance a neighborhood buy order (LPO) for the availability of fifty,000 bins of face masks, every containing 10 packs of KN-95 respiratory protectors that had been every bought to Kemsa at Sh690.

Although Mr Waqo just isn’t listed as a director or shareholder of Guarantee Business Companies, he was a signatory of the agency’s Kemsa transaction account at First Neighborhood Financial institution.

The Nationwide Meeting’s Public Investments Committee (PIC) now desires the previous EACC boss to clarify his hyperlinks with the corporate as effectively his function in serving to it to safe funding from First Neighborhood Financial institution as a substitute of its common banker, KCB Financial institution.

“We would like Mr Waqo summoned to seem earlier than this committee. We wish to know the way he was a signatory to an account of an organization that he’s not a shareholder,” Paul Katana, the MP for Kaloleni, mentioned.

Zubeda Nyamlondo Ngobi and Pharnice Adhigo Onsoti are listed as the present administrators of Guarantee Business Companies whereas Dorothy Undwa Omogi and Stanley Kithia Rimbere exited their directorships in June.

PIC chairman Abdulswamad Nassir mentioned Mr Waqo and the agency’s present and previous administrators can be summoned to make clear the Kemsa transaction.

“Your organization was utilized by some influential individuals to get this procurement. You’ll be able to’t stroll to Kemsa, get a dedication letter to produce items price Sh347 million if you had not equipped any product to authorities,” Mr Nassir informed Ms Ngobi when she appeared earlier than the committee.

Ms Ngobi informed the MPs that Guarantee Business Companies was prequalified by Kemsa as a provider of furnishings and fittings and never pharmaceutical merchandise.

“We have now by no means carried out enterprise with authorities. We had been registered as a provider at Kemsa and Kenya Railways Company (KRC) in 2017 however we had by no means carried out companies with them,” she mentioned.

Ms Ngobi mentioned the corporate noticed a possibility to produce Covid-19-related gadgets to Kemsa after Well being Cupboard Secretary Mutahi Kagwe introduced that the nation had a scarcity of non-public safety tools (PPEs).

“I merely walked into the Kenya Medical Provides Authority (Kemsa) and went to procurement workplace and informed them I may provide KN-95 masks. I went and noticed Mr Charles Juma, the top of procurement… Mr Juma requested me if I’m able to provide and I mentioned sure. He then requested me to carry a pattern,” she mentioned.

Ms Ngobi mentioned she returned to Kemsa the next day with a pattern and quoted the value, which Kemsa agreed to.

“I mentioned I may provide 50,000 bins in packs of 10 at a value of Sh690 for one KN 95 masks. After 4 days, they gave us a dedication letter to produce masks price Sh347 million as a result of it was an emergency procurement they usually wanted it with emergency,” she mentioned.

Kemsa used the reverse procurement methodology throughout Covid-19 emergency the place suppliers had been requested to place in a letter of intent quoting quantity of things and their costs earlier than they had been issued with letters of dedication upon negotiations. Contracts would then be signed after supply of things.

Guarantee Business Companies was, nonetheless, not subjected to the therapy because the agency didn’t put in any paperwork earlier than bagging the Sh347 million tender.

Ms Ngobi mentioned Kemsa paid her agency Sh176 million for the primary batch of masks and an extra Sh171 million in Could, a month after securing the contract.



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88E70B70D1Aa46A497A524Eca9E5C16A?S=96&D=Mm&R=G Ex-Eacc Boss Entangled In Kemsa Scandal
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