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Economy

Health ministry in Sh316m row with supplier of equipment

Attorney General Githu Muigai. file photo | nmg
Attorney General Githu Muigai. file photo | nmg 

Medical supplies firm Rockey Africa has sued the Ministry of Health for failing to pay Sh316 million for equipment supplied to hospitals in Kisumu, Mombasa and Nakuru in 2012.

Rockey Africa says the Health ministry has since 2012 been just promising to pay the debt.

The firm now wants the High Court to compel the government to pay the sum.

Attorney General Githu Muigai has on behalf of the Health ministry denied owing Rockey Africa the sum, arguing that the firm breached the supply contract by delivering defective and substandard goods.

Prof Muigai has also denied that payment for the supplies was to be done within 60 days of delivery as claimed by Rockey Africa.

“Indeed the ministry has duped Rockey Africa after Rockey Africa performed all its obligations under the contract on deliberate false promises by the ministry to immediately pay the plaintiff within 60 days after delivery of the said products...,” the supplies firm says.

Rockey Africa was contracted to supply needles, gauges, drugs trollies, refrigerators among other equipment following a procurement process.

The AG now says some of the equipment ordered were not delivered, and that there is no proof the medical supplies shipped in by Rockey Africa were received by an authorised ministry official.

“Rockey Africa was in breach of the contract by failing to deliver quality goods.

Rockey Africa was aware of these defective goods and as such ought not to seek payment for defective goods. There was no delivery of some items as there is no proof that goods were received by the designated officer,” Prof Muigai says in his response to the suit.

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