The Kenyan government, through the Kenya Airports Authority (KAA), is now demanding a Ksh4.3 Billion refund from a Chinese firm for work not done.
The company, identified by NTV as Anhui Construction Engineering Group, was awarded a contract to construct Greenfield Terminal at Jomo Kenyatta International Airport before the project was canceled in 2016.
KAA officials, therefore, on Tuesday, appeared before the Public Investments Committee led by Nassir Abdullswamad Shariff to explain why the government had not gotten the refund and that no work was done by the company in question.
In its defense, the officials, led by the Chief Executive Officer Johnny Andersen, argued that they were trying to solve the issue amicably.
"We are in discussion with them right now and we have have been seeking advice from the Attorney General," Andersen told the panel.
In 2012, Anhui won a case against the government and was awarded the tender to construct the terminal whose main goal was to expand JKIA.
The tender was valued at Ksh56 Billion dollars and by its completion, JKIA was expected to expand its capacity to be able to serve up to 20 million passengers annually.
According to a report by Construction Kenya, the building plans of the ultra-modern terminal were shelved since the country could no longer bankroll the project.
It was reported that the country failed to raise 15 per cent funding of the total cost of the entire project which could unlock more funding for its completion from a consortium of local and foreign banks, including the African Development Bank (AfDB).
A section of the Cabinet also claimed that the total cost was too high and that it was not economically viable.
