The Kenya Port Authority (KPA) has again [See Kenya Forum December 3rd and 19 July 2021] been investigated by the Ethics and Anti-Corruption Commission over allegations of the irregular procurement involved with the tender and supply of two Copoco Compressors by MIS Alootek Systems Limited at an inflated cost of Ksh.8,400,000 which was beyond the allocated Ksh 8. Million budget.

EACC investigations found that in the 2017-2018 procurement plan KPA had allocated Ksh.8 million for the two compressors, one being fixed the other mobile.

No Procurement, No Competition

Before the procurement process commenced, Alootek Systems Limited wrote to the KPA requesting to be considered for the supply of compressors, generators, demolition equipment, light towers and compaction equipment.

Investigations revealed that officials of the KPA agreed to the request and recommended that Alootek be contracted for the supply of Atlas Copoco Compressors. No procurement was done to allow other competent firms to bid.

Alootek Systems Limited ‘Misrepresented’

Further investigations established that officials of Alootek Systems Ltd misrepresented to the KPA that they were the sole distributor of Atlas Copoco equipment in Kenya so as to influence the tender award to their company.

On 1st September the EACC sent a report to the DPP with recommendations that the officials at the KPA, Directors of Alootek Systems Ltd and the company itself be charged with the following offences:

• 2 Counts of willful failure to comply with the law applicable, regulations and guidelines relating to procurement contrary to section 45(2) (b);
• 1 Count of fraudulent practice in procurement contrary to section 66(2)(b) as read with section 177 of the Public Procurement and Disposal Act 2015;
• 1 Count of wilful failure failure to perform official duty contrary to section 128 as read with 36 of the Penal Code.

The DPP’s response is awaited.

Source: The Kenya Gazette 3rd December, 2021.