, NAIROBI, Kenya, Feb 12 – A health insurance tender dispute worth Sh836 million for civil servants and national police service staff has been lodged in court.
CIC Life Assurance has sued the Public Procurement Administrative Review Board following its decision to annul the multi-million tender initially awarded to Britam Life Assurance and Pioneer Assurance.
CIC, now wants the tender which has since been awarded to UAP Life Assurance Ltd for the year 2017/18 halted on grounds that it was unlawfully awarded.
The health insurance firm wants the court to intervene before NHIF and PPARB can enter into any binding contract with UAP assurance Ltd.
It has faulted February 2 decision by the review board insisting that it acted outside its jurisdiction by awarding the tender to UAP Assurance.
“The respondent exceeded its powers given to it by law and acted outside its mandate by purporting to award the contract to interested health insurance firm,” the applicant states.
By doing so, the applicant argues that it purpoted to amend the tender documents in violation of the tender rules.
The tender review board is said to have annulled the tender upon finding that the tendering process was irregular due to failure on the part of NHIF in complying with the law.
Having found e tender process irregular, CIC Ltd argues that a fresh bids ought to have been made.