Kenya Maritime Authority's Former DG Arrested Over Ksh1.8B Scandal

Director of Public Prosecutions (DPP) Noordin Haji addresses a press conference at his office in Upperhill, Nairobi on Thursday, March 5, 2020.
Director of Public Prosecutions (DPP) Noordin Haji addresses a press conference at his office in Upperhill, Nairobi on Thursday, March 5, 2020.
Simon Kiragu
File
Kenyans.co.ke

Director of Public Prosecutions Noordin Haji ordered the arrest of former Kenya Maritime Authority Managing Director Cosmas Cherop for awarding an illegal tender worth Ksh1.8 billion. 

According to a statement seen by Kenyans.co.ke on Tuesday, June 9 Haji plans to prosecute Cherop and 12 others over the inflated tender.

“Upon conclusion of the investigations, the EACC forwarded the investigation report under section 35 of the Anti Corruption and Economic Crimes Act, 2003 with a recommendation that the suspects identified therein be charged with various offences.

Former Kenya Maritime Authority Managing Director Cosmas Cherop
Former Kenya Maritime Authority Managing Director Cosmas Cherop
File

“It is clear from the investigation file that the evaluation committee acted in disregard of section 82 of the Public Procurement and Asset Disposal Act, 2015 by irregularly altering the tender sums that were submitted by the bidders and read out in the tender Opening Committees” Haji’s document read.

The tender of the construction of an office block had been awarded to EPCO builders at Ksh1.8 billion while the initial tender submission was pegged at Ksh1.7 billion. 

The investigation revealed that the tender had been inflated by Ksh97million. 

Another tender that was under scrutiny showed that Master Power Systems had been awarded Ksh224 million for electrical works, while the original tender documents read Ksh115 million, a difference of ksh108 million. 

“The acting director-general of Kenya Maritime Authority in disregard of the Public Procurement and Asset Disposal Act, 2015 caused KMA to enter a contract with the bidders based on irregularly altered tender prices,” Haji accused

The third tender that was being investigated revealed that Plumbing Systems Limited was awarded a tender worth Ksh79 million whereas the tender submitted was worth Ksh80million, which was a reduction of Ksh 783,000.

“It is clear that from the investigation file that although KMA attempted to rectify the aforementioned errors, the action of the Tender Evaluation Committee, the procurement head and the acting director general has caused KMA to be at risk of losing millions of shillings,” the DPP noted. 

As at the date of the investigations, KMA had paid the contractors Ksh1.1 billion.  

The maritime regulator would have lost Ksh 205,000 in inflated costs were it not for EACC’s intervention. 

Others who were found culpable alongside the former Director-General include; Head of Procurement  Edwin Momanyi. Tender Evaluation Committee Chair Joel Kiprono, his members Seth Oluoch, Bakari Omar, Juma Ahmed, Francis Okello and Jemimah Mkaluma.

Dennis Kipkorir Ng’eno of the State Department of Public Works, Robinson Mwangi of Bill Consults Limited and Peter Kimani & Jared Biwott both of Mengi Designs are also wanted. 

 Director of Criminal Investigations George Kinoti, Ethics and Anti-Corruption Commission CEO Twalib Mbarak and Director of Public Prosecutions Noordin Haji at an end-corruption conference at Serena Hotel on May 29, 2019.
Director of Criminal Investigations George Kinoti, Ethics and Anti-Corruption Commission CEO Twalib Mbarak and Director of Public Prosecutions Noordin Haji at an end-corruption conference at Serena Hotel on May 29, 2019.
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