Nairobi contractor cries over 40 million ‘State House debt’

A Nairobi contractor is claiming that State House owes him Sh40 million from a construction project.

Menelik K Makonnen, the Managing Director of NASCA Construction allegedly won Pures Village Project, tender No.84/17/2013-14 to construct a children’s hostel at State House at a cost of Sh90 million. They had a 90-day deadline.

According to Makonnen, the project manager later instructed them to construct a boy’s hostel with 28-bed capacity in an existing house and so, “we started by demolishing the interior part of the house in December and by January 2014, we were ready to begin but the managers of the project later said that we construct a girl’s hostel with two blocks and 14 rooms on both sides with new designs contrary to the ones submitted in the tender.”

The new structure was to have a multipurpose hall, dining hall for 18 people, clinic and a coordinator’s house with a servant’s quarter and garage.

“Initially, I was not aware that there is a certificate we must fill so that we can be paid on a monthly basis. I therefore made an application for Sh16 million and Sh14 million was approved, but we only received Sh12 million,” said Makonnen.

They did not beat the 90-day deadline due to the structural alterations and had to apply for a one-month extension.

“When we applied for the sixth certificate for Sh10 million, we did not receive any payment on grounds that we were behind schedule,” he said.

He added that, “All hell broke loose around September 2014 when we were informed of another contractor who would complete a job that was almost 95 per cent done.”

The payment certificate which The Nairobian has seen indicates that the contractor was supposed to be paid Sh91,473,080.00, but received Sh53,597,223.93 only.

“It has been a painful experience because suppliers have been using police and even detectives to intimidate me, but it is not my fault. My efforts even to meet the President and the First Lady who were impressed by my previous work have been totally blocked. We have sent several letters and emails but have not received any response” said Makonnen.

Makonnen’s contract was terminated due to alleged unrest by his workers, lack of insurance and performance bond, 22 weeks delay of project and liquidated and ascertained damages at Sh250,000 per week.

While Sam Gitau, Pures Village Project Manager kept off the matter, Simon Njoroge, the quantity surveyor of the project said, “I know Makonnen, but that’s a private matter that can only be deliberated by concerned parties.”

When contacted, Lawrence Lenayapa, the State House Comptroller, declined to comment on the matter saying, the project manager was best placed to comment.