CBK wins round 1 in security tender suit

September 25, 2014
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Ndung’u, who has since obtained temporarily orders stopping his prosecution, insists that he was not in any way involved in the tender process as set out.
Ndung’u, who has since obtained temporarily orders stopping his prosecution, insists that he was not in any way involved in the tender process as set out.

, NAIROBI, Kenya, Sep 25 – The Central Bank of Kenya (CBK) has been given the greenlight to proceed with the signing of the Sh1.2 billion security system installation tender with Horsebridge Networks Limited.

On Thursday, High Court judge Weldon Korir directed CBK to do so within the next 30 days as there was nothing irregular with the Public Procurement Appeals Review Board (PPARB) awarding the tender to Horsebridge Limited.

However, the judge stayed his decision for the said period to allow Ethics and Anti-Corruption Commission (EACC) which has since been dissatisfied with the tender award to lodge an appeal.

“Since this matter involves public funds, a stay for a period of 30 days will do no harm to the applicant and CBK,’’ Korir ruled.

The judge ordered the CBK to formalise the contract after it emerged during the hearing that it was in process of implementing the decision of the review board but only failed to do so upon learning of the investigations by the EACC.

Before the judge could reach his determination EACC was given 45 days to conclude its investigations but the fruits of the exercise according to the judge are yet to been seen.“We cannot speculate on why investigations have not been concluded.”

The tender awarded to Horsebridge Limited is set to revamp the security surveillance system at the Central Bank and according to EACC, it needed more time to investigate the conduct of Horsebridge Network Ltd during the tendering process.

Two unsuccessful bidders namely ORAD and Indra Systems participated in the tendering process but lost to Horsebridge.

The office of the Director of Public Prosecutions (DPP) has questioned the security tender and claims it would cost the tax-payer an extra Sh400 million as it was not the lowest bid.

In the evaluation process Horsebridge emerged the lowest bidder having quoted Sh1.2 billion.

The DPP had recommended that Governor Njuguna Ndung’u be prosecuted for abuse of office saying that based on the evidence, he improperly and unlawfully conferred a benefit to Horsebridge Network System EA Limited.

But Ndung’u, who has since obtained temporarily orders stopping his prosecution, insists that he was not in any way involved in the tender process as set out.

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