Acting CEO Edward Njoroge shocked MPs with details of how firms were given tenders to supply Covid-19 equipment without bidding or pre-qualification.
Kenya Medical Supplies Agency (Kemsa) officials admitted to the National Assembly’s Public Investment Committee (PIC) that representatives of companies would walk in and ask to supply Personal Protective Equipment (PPEs).
What is shocking is that Kemsa gave the said companies letters with what to supply without any technical or financial assessment to ascertain their capability to deliver.
Kemsa did not even know the number of PPEs they required as they had not done a needs assessment to give them projections on the demand.
Mr Njoroge's admission explained how Kemsa ended up stuck with equipment worth Sh6.3 billion.
The p[arastatal is expected to make losses in excess of Sh2 billion if they sell the equipment at the current market price.
Kemsa officials admitted before the parliamentary committee that the multi-million shilling procurement deals were done without the approval of the board.
“The only approval we had was in relation to the expenditure of Sh758 million, which was a funding from the World Bank. The expenditure was approved by the Ministry of Health Principal Secretary (Susan Mochache),” said Njoroge.