Kemsa says Kagwe has last word on Sh5.9b PPE

Kenya Medical Supplies Authority acting CEO Edward Njoroge when he appeared before the Senate Committee on Health in Nairobi, yesterday. [David Njaaga, Standard]

The Sh5.9 billion personal protective equipment (PPE) at the Kenya Medical Supplies Authority (Kemsa) will remain unused until Afya House issues formal communication on their release.

This comes as a company that bagged a multi-million tender to supply the items cited “connections” in explaining why they did not have a performance bond with the agency even as they transacted in billions of shillings.

Acting Kemsa CEO Edward Njuguna yesterday told the Senate Committee on Health that the coronavirus protective gears were available for sale, but at their original Sh9,000 price per unit. A kit contains N95 masks, body suits, goggles, waterproof shoe covers and gloves. “Not unless Health CS Mutahi Kagwe formalises his verbal order on them to be sold at prevailing market rates,” he said.

Last month, Kagwe directed Kemsa to sell the items at the current market price “instead of just holding them in bulk at the warehouses”.

“We have not released any item as we are yet to receive written instructions from the CS,” the CEO said.

Awaiting clearance

He said the agency had a stock of 115,000 PPE ready for sale and a difference of about 200,000, which are about to be processed.

Njuguna added that some stock was still held by the Ethics and Anti-Corruption Commission (EACC) awaiting clearance before they can be processed.

The commission is investigating Kemsa over alleged procurement irregularities.

“The goods that we have in stock amount to Sh5.9 billion. We were instructed by EACC to stop any procurement process and payments related to Covid-19 items until they are cleared by the commission,” Njuguna said.

Appearing before the same committee earlier, Shop N Buy Limited Director James Cheluley declared that the company did not have a performance bond with Kemsa as the whole process was based solely on trust.

“We did not go for the bond because we have good connections and we can be trusted by our suppliers. We did not need to have a performance bond,” he said.