Economy

Senate to investigate sale of NBK building to Uasin Gishu

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Uasin Gishu Senator Margaret Kamar. FILE PHOTO | NMG

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Summary

  • The county government in May mooted plans to buy the property in Eldoret at Sh568 million.
  • Members of the county assembly, however, questioned the plan after it emerged that the initial cost of Sh568 million could have been inflated.
  • Uasin Gishu Senator Margaret Kamar wants the House to establish whether other options for office space were explored and if procurement laws were adhered to.

The dispute over Uasin Gishu’s planned purchase of a National Bank of Kenya (NBK) building for office space has escalated to the Senate amid claims that procurement laws were flouted.

The county government in May mooted plans to buy the property in Eldoret at Sh568 million.

Members of the county assembly, however, questioned the plan after it emerged that the initial cost of Sh568 million could have been inflated.

Uasin Gishu Senator Margaret Kamar wants the House to establish whether other options for office space were explored and if procurement laws were adhered to. “Given the alternatives available to the County Government for office space, it is clear that no feasibility study was carried out and further that there is no evidence of competitive sourcing/bidding which would have involved a bid for purchase by the County Government, but instead, there was only a single offer which casts doubts concerning how the offer was arrived at,” reads the petition.

Efforts by residents to get satisfactory responses from relevant authorities on the matter have failed hence their move to involve the Senate.

In October 19, 2018, the County Government valued the building at Sh568 million with a breakdown of Sh450 million being purchase cost and Sh118 million for improvements.

Prof Kamar noted that the building is in a bad state despite renovation.