Record Kinisu deal raises eyebrows
Ethics and Anti-Corruption Commission chairman Philip Kinisu when he appeared before the Joint Select Committee on electoral reforms at Parliament in Nairobi on July 25, 2016. PHOTO | SALATON NJAU | NATION MEDIA GROUP
What you need to know:
- The company is owned by Mr Kinisu and his family and won the Sh150 million tender and the contract was awarded on April 24.
- Two Local Purchase Orders, one for Sh21,585,120 and the other for Sh128,583,000, were issued to Esaki Limited on June 10, 2015.
- The company issued two invoices, billing the ministry a total Sh150,168,120 on the same day.
- The company accepted its newly acquired contract on May 4, 2015 to display, distribute, pest control products.
A company owned by anti-graft agency boss Philip Kinisu was licensed, awarded a government tender and paid millions of shillings in record time.
Esaki Limited was issued a licence by the Pest Control Products Board on March 23, 2015, a day before the Health ministry opened tenders for the supply of insecticides to the malaria control unit.
The company is owned by Mr Kinisu and his family and won the Sh150 million tender and the contract was awarded on April 24.
Two Local Purchase Orders, one for Sh21,585,120 and the other for Sh128,583,000, were issued to Esaki Limited on June 10, 2015.
Documents seen by Nation show that Esaki delivered 25,728 bottles of insecticide for both orders in two batches on August 10, 2015.
The company issued two invoices, billing the ministry a total Sh150,168,120 on the same day.
On that same day, the ministry issued a “counter receipt voucher” and “completion interim certificate” acknowledging the company should be paid the money.
Seven days later, a payment voucher was issued to Esaki for the total amount.
It is perfectly in order for private entities to conduct business with the government and there is no proof Esaki was involved in irregular dealings.
In awarding the tender, a EM Thigah wrote on behalf of the Health Principal Secretary to the head of the malaria control unit on April 24, 2015.
RESIGNED FROM BOARD
“The Health ministry tender committee held a meeting on April, 23, 2015 and approved award to the lowest technically evaluated bidder. You are therefore advised to take the necessary action.”
The company accepted its newly acquired contract on May 4, 2015 to display, distribute, pest control products.
The licence was signed by the managing director of the Pest Control Products Board and its inspector.
Mr Kinisu last week said he had resigned from the Esaki board of directors on April 19 this year “on account of my commitment to the anti-graft agency.”
He has said he will not resign from the anti-graft agency because Esaki’s dealings with the government are above board.
Mr Kinisu revealed that the company has done business worth Sh277.5 million with other clients in the last three-and-a-half years.
But it is the company’s dealings with the scandal-hit National Youth Service that has aroused questions of conflict of interest.
The NYS is being investigated for the loss of Sh791 million in a scandal that has claimed the scalps of top officials, including former Devolution Cabinet Secretary Anne Waiguru.
On Monday Mr Kinisu was interrogated at the Directorate of Criminal Investigations concerning the NYS-Esaki dealings.
The Devolution ministry, through NYS paid to Esaki Sh 32,360,400 in 2014 and Sh 3,085,900 in 2015.
