Two rival firms are embroiled in a legal procurement dispute over the supply of Sh1.3billion drugs meant for HIV patients across the country, placing their health at risk.
The Kenya Medical Supplies Authority (KEMSA) has petitioned the High Court to overturn the decision made by the Public Procurement Administrative Review Board (PPARB) requiring re-evaluation of the tender that was awarded to Simba Pharmaceuticals Ltd against Questa Care Ltd.
The State agency states in its urgent application that the anti-retroviral drugs are urgently needed to offset the deficit currently being experienced in public medical facilities.
The Treasury had allocated a 20 per cent counter-funding for the 2016/2017 financial year for the procurement and distribution of HIV/Aids, Tuberculosis (TB) and Malaria drugs.
Quest Care Ltd had suffered a technical knock-out at the evaluation stage when its bid was declared non-responsive but applied for a review before the tribunal on January 27. The firm argued that it was entitled to preferential treatment being a Kenyan manufacturer of anti-retroviral medication, according to court papers.
The tribunal had ordered the procuring entity to re-evaluate the bids and to apply a 15 per cent margin of preference against the price quoted by the aggrieved firm, Quest Care Ltd. But Simba Pharmaceuticals Ltd has now filed a judicial review application in the High Court challenging the tribunal’s findings by dismissing them as unreasonable, illogical and full of errors.
The tribunal had ordered the procuring entity to re-evaluate the bids and to apply a 15 per cent margin of preference against the price quoted by the aggrieved firm, Quest Care Ltd. But Simba Pharmaceuticals Ltd has now filed a judicial review application in the High Court challenging the tribunal’s findings by dismissing them as unreasonable, illogical and full of errors.
Lawyer Waweru Gatonye, who is representing Simba Pharmaceuticals Ltd, says the rival firm is only engaged in the packaging, labelling and storage of drugs that are manufactured by a firm in India. The tribunal misdirected itself and was influenced by material error of facts, he says in the petition.
Gatonye has explained that KEMSA and the public are likely to lose Sh38million in the disputed procurement exercise upon the invalidation of the initial tendering process. He is seeking the suspension of the re-evaluation of the financial bid by Questa Care Ltd pending the outcome of the dispute.
The twin petitions by KEMSA and Simba Pharmaceuticals will be heard this morning.
