The African Development Bank has barred Mactebac Contractors from participating in its projects for committing fraud while bidding for an AfDB-funded water project in Malaba.
According to the bank, Mactebac Contractors and its director Joram Opala committed fraud during the tendering for construction works for Malaba Water and Sanitation Project. The Sh 1billion tender was under Kenya Towns Sustainable Water Supply and Sanitation Program.
The project, which sought to improve access, quality, availability and sustainability of water supply in 19 towns and waste water management in 17 towns, was co-financed by the AfDB.
โThe African Development Bank Group announces the 36-month debarment of Mactebac Contractors Limited, a company registered in Kenya and Mr. Joram Opala Otieno, the director and shareholder with effect from 15 December 2020. An investigation conducted by the Bankโs Office of Integrity and Anti-Corruption established that (Mactebac) and (Opala) engaged in fraudulent practices during a tender for the Construction Works for Malaba Water and Sanitation Project,โ said AfDB.
Cross-debarment
The debarment means Mactebac Contractors, its director and affiliates will not be allowed to participate in any AfDB Group-financed projects during three years. The action also qualifies for cross-debarment by other lenders under the Agreement for Mutual Enforcement of Debarment Decisions, including the Asian Development Bank, the European Bank for Reconstruction and Development, the Inter-American Development Bank and the World Bank Group.
Mactebac will only be allowed to participate in AfDB Group-financed projects after implementing an integrity compliance program consistent with the Bankโs guidelines.
In February, AfDB announced a 36-month debarment of Global Interjapan (Kenya) Ltd for engaging in fraud in an irrigation project meant to alleviate poverty in 11 counties of Kenya. The projectโs total budget was pegged at Sh6.8 billion, with the AfDB providing a Sh3.8 billion loan and an additional Sh2.3 billion grant, while Kenya contributed Sh690 million.
According to the AfDB, Global Interjapan was awarded a Sh73.3 million tender in 2017 for construction works at the Kalacha Irrigation Scheme in Marsabit County. An audit report on the project released by the Auditor General in February questioned irregular payments of Sh12 million made by the Kenyan government, as well as a balance of Sh385 million in loans and grants that could not be explained.
