The Anti-Corruption Court has barred the Kiambu County government from releasing Ksh166 million to a private firm at the centre of a Ksh230 million tender scandal.
Justice Lucy Njuguna issued the temporary order on Friday, restraining the county from making the payment for a period of 14 days as investigations go on, with the matter set to be heard on November 13.
The Ethics and Anti-Corruption Commission told the court that the firm won the lucrative contract irregularly and fraudulently for supplying and installing an Enterprise Resource and Planning-ERP system for the county government.
Investigators from EACC claimed that the company filed forged documents during the tendering process, including forged audited financial statements for the years 2020, 2021, and 2022, purportedly verified by an audit firm, which later denied ever working with the company.
The commission’s investigations also found that the firm had manipulated its bank statements to reflect a healthy liquidity and profitability that did not exist.
The bid documents also included CVs of two alleged employees who, investigators later established, were not members of the company.
Court filings show the Kiambu County government signed the Ksh230 million contract with the firm on April 24, 2023. The deal was to run for six months starting within two weeks of the date of signing.
The project started well but soon ran into trouble. In December 2023, a month after the contract had expired, the firm sought a 52-week extension, citing technical challenges and project complexity. Despite the lapse, county officials allegedly approved the extension on February 24, 2024.
According to the EACC, the extension was signed by the Chief Officer in charge of Revenue, Supply Chain Management, ICT, and Internal Audit even though there was no valid contract left to extend.
This means that with the new court orders, the remaining sum of Ksh166 million will remain frozen while the case takes its course.
