Business
KEBS blunder to cost taxpayers Sh2bn
Kenyans will pay Sh2.2 billion to a Dubai based firm after the government cancelled an oil inspection contract nine years ago. This comes after the Supreme Court on Thursday threw out a motion by Kebs that sought to review a last year’s judgement that found it liable for breaching the contract with Geo-Chem Middle East.
The suit dates back to 2009 when KEBS commenced an inspection and testing program of imported petroleum products and awarded Geo-chem Middle East the tender.
“It is clear to us that the application before us is a disguised appeal, which seeks to re-open matters already determined with finality by this court…..An application for review was not intended to give a party an opportunity to appeal or relitigate its case. Where such a review is sought, an applicant must lay a basis to the satisfaction of the court that the application for review satisfies the set criteria.” read part of Supreme Court ruling.
Supreme Court of Kenya [p/courtesy]
But when the firm asked for payments for its services four months later, KEBS turned its back on Geo-Chem as it directed the Kenya Revenue Authority (KRA) to collect inspection levies from oil marketers on its behalf.
Documents filed in court show that KRA collected the oil inspection fees and deposited the money with the National Treasury between March 1, 2010 and March 1, 2012 but KEBS did not remit any funds to Geo-Chem for the services offered.
Kebs only wrote to Geo-Chem 3 months to the expiry of the contract in March 2012 claiming that the government had suspended the contract until further notice.
The Supreme Court ordered the Kenya Bureau of Standards (Kebs) to pay Geo-Chem Sh2 billion for breach of contract after the Dubai based firm sought arbitration.
Kenya Insights allows guest blogging, if you want to be published on Kenya’s most authoritative and accurate blog, have an expose, news TIPS, story angles, human interest stories, drop us an email on [email protected] or via Telegram
Denial Under Duress: The Untold Collapse Threatening David Lagat’s DL Group’s Empire
Stung By West Africa Rejections, France Courts Rest Of Continent at Kenya Summit
THE INSURER THAT TOOK YOUR PREMIUM AND FORGOT YOUR NAME: How ICEA Lion Left a Client Begging for Sh7.8 Million Across Four Months
Safaricom’s Sh1.4 Billion Reckoning: How Kenya’s Most Profitable Company Stole a Man’s Idea and Got Caught
Bush Air Safaris Founder John Ndiritu Risks Losing Property Over Disputed Loan Claim
Bia Tosha’s Claim For Injunction Is Designed To Sabotage The Sh300bn Sale of EABL Shares
KDC Accelerates the Creative Economy, Innovation and Youth-Led Enterprise Growth at Africa Forward Summit
Luxury Play for Influence: Inside Kempinski’s High-Stakes Bet on Brazzaville
Kenya Rallies Behind Justice Njoki Ndung’u in Historic Bid for ICC Judgeship
The $24 Million Heist at the End of the World
How Did a Sh468K KRA Salary Allegedly Turn Into Sh30 Billion? Questions Deepen Over Commissioner George Obel and Ciala Resort Owner’s Wealth
Nairobi Freezes Binance Accounts in Sweeping Anti-Fraud Crackdown as Global Scandal Record Haunts World’s Largest Crypto Exchange
The Man Behind the Badge: How Prof. Erastus Kanga Turned Kenya’s Premier Wildlife Agency into a Theatre of Corruption, Fear and Impunity
THE UNTOUCHABLE CLERK: How Fatuma Mwalupa Allegedly Turned Kwale Assembly Into a Personal Treasury and Outsmarted Scrutiny
THE BRAZEN RETURN: Triton Thief Yagnesh Devani, Who Pillaged Kenya of Sh7.6 Billion and Fled, Now Asks the Same Courts He Escaped to Restore His Stolen Wealth
Green Gold, Rotten Roots: How Kenya’s Biggest Avocado Firms Hijacked a Sh5.8 Billion Harvest Ban
Kenyan Motorists Stare At Possible Engine Damage And Heavy Losses As Report Confirms Substandard Fuel In Circulation
TotalEnergies Moves to Sue TikToker for Sh10 Million Over Contaminated Fuel Claim as Kenya’s Petroleum Sector Burns
KETRACO CEO Advert Marred By Controversies As Fears Grow That Kipkemoi Kibias Is A Predetermined Candidate
Why the April 21 Flopped Protests Expose Kenya’s Rudderless Opposition
-
Investigations2 weeks agoHow Did a Sh468K KRA Salary Allegedly Turn Into Sh30 Billion? Questions Deepen Over Commissioner George Obel and Ciala Resort Owner’s Wealth
-
Business1 week agoGreen Gold, Rotten Roots: How Kenya’s Biggest Avocado Firms Hijacked a Sh5.8 Billion Harvest Ban
-
Africa1 week agoThe $24 Million Heist at the End of the World
-
Investigations2 weeks agoSerial Scammers Strike Again: How Kelvin ‘Sonko’ Onyango and Seth Steve Okute Built a Gold Fraud Empire on Kenya’s Reputation
-
Business2 weeks agoHigh Court to Set the Record Straight in Long-Running Bia Tosha Petition
-
Investigations1 week agoThe Greek Heist: How Inform Lykos Allegedly Robbed Kenyan Taxpayers of Sh650 Million While Printing the Nation’s Exams and Ballots
-
Investigations1 week agoThe Judge, The Disgraced Magistrate, The Auctioneer-Husband, The Fixer And The Lawyer: Anatomy Of A Sh16 Million Judicial Bribery Racket
-
Business2 weeks agoFly 748 Returns to Kenya’s Skies With Fresh Push for Affordable Coastal Travel