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Two Japan firms face ban over fake papers in Kebs tender

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Kebs managing director Bernard Njiraini. FILE PHOTO | NMG

The Public Procurement Regulatory Authority (PPRA) has started the process of banning two Japanese firms from conducting business in Kenya.

This is after audit reports accused the two firms — M/s Autoterminal Japan and EAA Company — of providing forged and falsified documents in a bid to win lucrative deals with the Kenya Bureau of Standards (Kebs).

PPRA said it has written to Kebs to provide certified copies of tender documents submitted by the two firms.

Former Auditor-General Edward Ouko had flagged the two companies in a special report on the procurement of pre-export verification of conformity (PVOC) to Standard Services for used motor vehicles, mobile equipment and used spare-parts by the Kenya Bureau of Standards.

The audit recommended debarment of the two firms for falsifying documents and misrepresenting themselves in tender that was later won by Quality Inspection Services Japan (QISJ).

“A review of the said report shows that the bidders were alleged to have engaged in a fraudulent practice by providing forged and falsified documents.”

Mr Thomas Otieno, the PPRA Director-General, wrote to Kebs managing director Bernard Njiraini, directing him to submit the requisite documents for authentication by March 6, 2020. The letter is dated February 28, 2020, and was tabled before the National Assembly’s Trade and Industry committee by Lawrence Karanja, the Trade Chief Administrative Secretary (CAS).

Mr Otieno said section 24 of the Public Procurement and Asset Disposal Act, 2015 mandates PPRB to debar a person from participating in public procurement or asset disposal proceedings.

Kebs has been on the spot over its plan to expand the contract currently held by Quality Inspection Services Japan (QISJ) to other players.

The Public Investment Committee (PIC) chaired by Mvita MP Abdulswamad Nassir is investigating Kebs's decision to commenced expansion of PVOC on used motor vehicles, mobile equipment and used spare-parts.

Already, a law firm has warned Kebs against proceeding to award the multimillion shillings tender for procurement of additional PVOC partners for goods and motor vehicles.

Iseme Kamau and Maema Advocates said the existing contract should continue running its term without interference.

“The term of the existing contract remains as contracted unless validly and legally terminated as provided in the contract and applicable law,” Iseme Kamau and Maema law firm said in a legal opinion to Kebs. Kebs contracted the law firm to provide opinion on procurement of additional PVOC partners for goods and motor vehicles.