The former owner of Kilig company, which is linked to a controversial KSh4 Billion tender at the Kenya Medical Supplies Association (KEMSA), has explained his decision to sell the company six days after the deal.
Wilbroad Gachoka appeared before the National Assembly Public Investments Committee (PIC) on Thursday, April 29, where he shed light on the dealings of the company he registered in January 2020, before landing a commitment letter to a multi-billion tender four months later.
Gachoka explained that his company did not have the capacity to supply 450,000 kits to the medical supplies body - which is why he sold the company.
The company reportedly received a commitment letter from KEMSA on April 9, 2020, and six days later sold it to another company to manage the deal.
"We (referring to other directors) sold the company on April 14, 2020, for nominal shares. The deal with KEMSA was a liability, not an opportunity.
"We transferred shares when the letter demonstrating the financial ability of another company Collins Bush Wanjala came. We sold the company so that the transaction could be fulfilled," he stated.
Gachoka added that due to the Covid-19 pandemic, there was a problem in supplies globally.
"If you do not fulfill a deal, it can be a liability - it is only after delivering that it becomes an asset," he added.
He, however, failed to mention who he negotiated with to transfer ownership of the company after he received a commitment letter from KEMSA.
The businessman further told the MPs that despite ceasing being a shareholder of the company, he was still a signatory of Kilig financial account.
"Once we transferred the company to Bush, he was unable to make the fulfillment of being able to supply these kits to KEMSA," he added.
Earlier in the day, Jubilee Vice-chairperson David Murathe appeared before the parliamentary committee where he sought to clear his name after he was accused of influencing the tender process and standing in as a signatory of Kilig Company, accusations he has denied.
