Wednesday 27 March 2024

World Bank project steeped in grand scandal

 Pressure mounts as county
 defies orders, grants tender 


By Martin Masai,
Editor and Publisher


MACHAKOS Chief Officer for  Housing and Urban Development Collins Adipo is in a class of his own, given his level of defying lawful orders.

In one sweep, Adipo has defied orders of both a High Court  and Public Procurement Authority and usurped the role of his Municipal Manager to issue a Kes 88 million tender for the stalled World Bank upgrade project in Machakos Town.

The tender was initially won by Seluk Investment Limited in May last year but the Accounting Officer- Mr. Adipo declined to write a Letter of Award to the Winner. Seluk then petitioned the Public Procurements Authority for intervention who ruled in its favour. 

On-going works at Wholesale Market

Seluk then escalated the matter to the High Court via Judicial Review Applications against the actions of Mr Adipo where Justice Kayola Olel , sitting in Machakos, restrained both Mr Adipo and the County Government of Machakos in a 9-point order pending full hearing. Nevertheless, Adipo defied the orders.

The tender in question is GMC/KUSP/MKS MU /01/2023-2024 for upgrading of whole sale and Retail Market loop roads in Machakos Municipality KUSP 2023-2024.

Adipo, conferred the tender in a later drafted a day after the illegal process closed. It closed on February 20. The next day- February 21, he wrote a letter of award of the multi million project that has seen the stalling of a world Bank project under the Kenya Urban Support Program. The WB has been pressing for the use of funds to enable them provide a new grant  of Kes 2 b that is shared between the Machakos, Mavoko and Tala- Kangundo Municipalities.

Letter of Award

By granting the tender to two firms- Hayaty Enterprises Limited and Mashteck Limited, who share the same Nairobi Address and belong to Mr Ali Guliye, Adipo placed the firms where they truly belong- the Tenderers of Choice for Governor Wavinya Ndeti. Either by hook or crook, these firms have been winning tenders like no other- especially in the water sector of the county where a man claimed to be his brother- Yunis Guliye is Chief Officer.

Sources say that the twin firms were awarded the tender and instructed to swing into action at once and ensure the works are completed in record time. And immediately the award was granted, the firms. without erecting billboards on the sites as is required, begun excavating the Retail-Wholesale market section.

This comes as Machakos County continued to  miss out on World Bank funds for two years running- first being 2022, the last year under former Governor Alfred Mutua and second in 2023, being the first year under current Governor Wavinya Ndeti.

At the centre of the funding fiasco is Kes 89m that the Machakos Municipalities Board earmarked for the project. The Board is chaired by Mr Malcom Kateta. It had allocated the initial tender but Mr Adipo has since edged out the Board in the latest tender award.  The board, sources say, is on edge as it fights for autonomy to be able to run its programmes without interference from Central or the County government. 

Tired of this administrative dithering,  the World Bank has given an altimatum to recall the Kes 89m that has remained unused and pull out of funding the needy Municipalities of Machakos County. 

WB donates Kes 1b annually to Machakos County under the Kenya Urban Support Programme (KUSP) to be shared between Machakos,Mavoko and Tala / Kangundo urban areas.The programme targets improvement of Urban roads to bitumen standards to make the Municipalities dust free and boost standards of living.

The award comes hot on the heals of a finding by PPARB  that stated “the board finds that the procuring entity’s 2nd tender as published in its website and subsequent procurement processes such as opening of submitted tenders. Evaluation of submitted tenders issuance of the professional opinion in 2nd tender and notification of award dated 7th December 2023 is unlawful thus null and void.”

“The upshot of our findings therefore is that the instant Request for review succeeds in terms of following  FINAL ORDERS

In exercise of the powers conferred upon it by Section 173 of the public procurement and asset Disposal Act No. 33 of 2015, the Board makes the following orders in Request for review dated 10th January 2024 and filed on 11th January 2024:

A. The letter of notification of intention to award dated 7th December 2023 issued by the 1st Respondent with respect to tender No. GMC/KUSP/MKS MU /01/2023-2024 for upgrading of whole sale and Retail Market loop roads in Machakos Municipality KUSP 2023-2024 and hereby nullified and set aside.

B. The decisions by 1st Respondent to advertising and publish tender No. GMC/KUSP/MKS MU /01/2023-2024  for upgrading of wholesale and Retail Market loop Roads , St. Mary’s Girls Primary School to KWFT  link roads, St Municipality KUSP FY 2023-2024 including the subsequent procurement processes undertaken with respect to the said tender such as opening of submitted tenders, evaluation of submitted tenders, issuance of professional Opinion dated 22nd November 2023 and issuance of letters of notification of intention to award dated 7th December 2023 be and is hereby annulled and set aside.

C. The tender validity period tender No. GMC/KUSP/MKS MU /01/2023-2024  negotiations No. 1300044-2022-2023 for upgrading of whole sale and Retail Market loop Roads,  St  Mary’s Girls  Primary School to KWFT  link road in Machakos  Municipality KUSP FY 2022-2023 be and hereby extended for period of 148 days from 9th October 2023 to 4th March 2024.   

D. Further to order No.  C above the 1 Respondent is hereby directed to issue written notification to tenderer in tender No. GMC/KUSP/MKS MUN/01/2022-2023  negotiation No. 1300044-2023 for upgrading of whole sale and retail Market loop Roads, St Mary’s Girls Primary School to KWFT link road in Machakos Municipality KUSP FY 2022-2023 notifying them of extension of the tender validity period from 9th October 2023 to 4th March 2024.

E. The 1st Respondent is hereby ordered to ensure that the procurement proceeding of tender No. GMC/KUSP/MKS  MUN/01/2022-2023 negotiations no. 1300044-2022-2023 for upgrading of wholesale and retail market loop roads St. Mary’s Girl Primary School to KWFT  link road in Machakos Municipality KUSP FY 2022-2023 proceeds to its lawful and logical conclusion taking  into consideration the board’s finding herein, the provisions of the Tender Documents, the Act and constitutions.

F. Further to order E above the 1st Respondent is hereby ordered to submit a report to the public procurement regulatory Authority on compliance of the orders issued herein within twenty one (21) days from the date of this decision.

G. That the acting board secretary do immediately serve this decision upon the Director General, Public procurement Regulatory Authority to exercise its mandate under section 9(1) of the act with respect to procurement proceeding in tender  No. GMC/KUSP/MKS/MKS MUN /01/2022-2023 negotiation Retail Market loop Roads in Machakos Municipality KUSP FY 2022-2023 as ordered herein.

H. In view of the board’s findings and orders above, each party shall bear its own costs in the request for review.

Dated at Nairobi this 2nd Day of February 2024."


             

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