A legal storm has erupted over a Sh1.2 billion tender dispute at the Kenya Ports Authority (KPA), with former Attorney-General Justin Muturi at the heart of the controversy.
Documents obtained by Kenya Insights reveal that Muturi’s legal advisory during his tenure as AG has become the linchpin in a bitter court battle between KPA and contractor Wilfak Engineering Limited, raising questions about accountability, public procurement integrity, and the handling of hazardous materials in Kenya.
The tender, awarded to Wilfak Engineering Limited in October 2019, involved the removal of asbestos roofing from KPA premises in Mombasa, alongside reroofing, demolitions, rainwater harvesting, and solar backup systems. Initially valued at a significant sum, the contract’s execution was delayed until September 2022 due to financial constraints at KPA, sparking a cascade of disputes that have now escalated to the Court of Appeal in Nairobi.
At the center of the saga is a letter dated July 13, 2023, penned by Muturi, then Attorney-General, to KPA Managing Director William Ruto. The correspondence, responding to Ruto’s request for legal guidance, advised that varying the contract to reflect current market prices was “legal and allowable” under Section 139 of the Public Procurement and Asset Disposal Act (PPAD). Muturi argued that price adjustments based on the prevailing Consumer Price Index or monthly inflation rates, as provided by the Kenya National Bureau of Statistics or the Central Bank of Kenya, were within the law. “The proposed variations are within the confines of Section 139 of the PPAD Act and thus allowable,” he wrote.
This advisory has ignited a fierce legal and financial tug-of-war. Wilfak Engineering contends that without these price adjustments, rising costs of materials and labor have rendered the contract unviable, threatening the company with significant losses. KPA, however, staunchly opposes the variation, warning that adopting Muturi’s recommendation would result in a loss of public funds. The authority further accuses Wilfak of breaching the contract by failing to remove the hazardous asbestos roofing, a critical public health concern given the government’s nationwide push to eliminate the material.
The dispute traces back to an out-of-court settlement in 2022, after Wilfak sued KPA for Sh900 million in compensation for delays, citing losses from idle land, machinery, and hired experts. The settlement paved the way for work to begin, but tensions flared again when Wilfak’s lawyers demanded amendments to reflect 2023 market rates, arguing that the original 2019 rates were outdated. KPA’s Captain Ruto sought Muturi’s advice, only to find the AG’s endorsement of the contractor’s position at odds with the authority’s stance.
Muturi’s letter went further, suggesting that the parties renegotiate the contract and sign an addendum incorporating the variations, a recommendation KPA has resisted. The matter landed in the High Court, where Judge Francis Gikonyo dismissed Wilfak’s application to amend the initial court agreement on March 6, 2025. Undeterred, Wilfak, represented by lawyer Kibe Mungai, has appealed to the Court of Appeal, arguing that Gikonyo ignored the public interest in removing asbestos and misinterpreted Muturi’s advisory as an attempt to rewrite the contract.
“The judge disregarded the fact that KPA solicited the advisory of the AG to effectuate the intention for the parties to rewrite the contract embodied in the court consent order dated September 9, 2022,” Mungai stated in court papers. He warned that with work stalled and the contract set to expire in September 2025, KPA might terminate it, leaving the asbestos issue unresolved.
Muturi, who served as Attorney-General from 2022 to June 2024 before a brief stint as Public Service Cabinet Secretary until his sacking by President Ruto last month, has inadvertently become a lightning rod in this saga. His advisory, intended to resolve a procurement deadlock, has instead fueled accusations of mismanagement and exposed cracks in Kenya’s public tender processes.
The stakes are high. The Cabinet has ordered the removal of asbestos from all government and private buildings to mitigate health risks
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