May 29, 2023

Summary

EACC Investigates Sh56 Million X-Ray Machines Deal in Kitui County. The allegation is based on a potential overpayment for sub-standard kit.

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EACC investigates Sh56 million X-Ray machines deal in Kitui County

EACC investigates Sh56 million X-Ray machines deal in Kitui County

The Ethics and Anti-Corruption Commission (EACC) has inquired into allegations that the Ministry of Health and Sanitation at the County Government of Kitui had flouted procurement procedures in the award of a tender to Marmut Supplies for the supply, installation, commissioning and training in respect to 10 X-Ray Machines.

The EACCs Investigations establishd that there was a need to replace the old x-ray machines with new digital mobile ones. The subject purchase was planned and budgeted for by the County Government of Kitui.

The procurement commenced and at evaluation, Marmut Suppliers was the lowest evaluated bidder and awarded the tender. A professional opinion was approved and a contract was signed between Marmut Suppliers and County Government of Kitui.

Wrong X-Ray Machines Delivered

However, investigations revealed that Marmut Suppliers delivered the wrong 10 X-ray machines which did not meet the contract specifications and were rejected.

The Chief Officer, Health and Sanitation- Kitui County forced staff to accept the said X-ray machines and authorized payment of KSh 56 million inclusive of VAT of KSh 8.9 million.

Investigations further established that Marmut Suppliers failed to remit taxes payable to Kenya Revenue Authority of KSh 8,960,000.

Chief Health Officer to be Charged?

On 9th February, 2023, a report was compiled and forwarded to the Department of Public Prosecutions (DPP) with recommendations to charge the then Chief Officer Health of County Government of Kitui with:

• Two counts of the offence of abuse of office contrary to section 46 as read with section 48 of ACECA;

• One count of wilful failure to comply with the procurement law contrary to section 45 (2) (b) as read with Section 48 of ACECA;

• One count of unlawful spending of public money contrary to section 196(1) of Public Finance Management Act;

• Charge the sole proprietor of Marmut Suppliers with the offence of failure to pay taxes contrary to section 45 (1) (d) as read with section 48 of ACECA;

• One count of fraudulent acquisition of public funds section 45 (1) (a) as read with section 48 of ACECA.

On 10th May, 2023, the DPP returned the file with recommendation for further investigations.

Source: The Kenya Gazette

 

The EACC’s job is never done. In recent months it has been forced to investigate irregularities in government procurement on two noteworthy occasions. Consider reading: 

‘Mandera County EACC Investigation Into Irregular Payment of Ksh107,481,060’

‘Kwale County EACC Inquiry Into ‘Procurement Irregularities’ of Ksh462 million’

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