Kenyan Treasury to probe Safaricom surveillance contract

Mergers, Acquisitions and Financial Results

The security surveillance contract awarded to leading Kenyan operator Safaricom will undergo a Treasury probe before the contract is signed, in accordance with the law, which requires the Public Procurement Authority to be notified of tender awards above KSh5 million (US$57,000).

HumanIPO reported last month the Kenyan parliament had frozen the contract awarded to Safaricom to supply a US$141 million national surveillance and communications system until an enquiry into the deal’s legality is completed.

A number of Kenyan members of parliament (MPs) had questioned the legality of the contract, saying it was single sourced, while two activists have gone to court to challenge the tender, naming the attorney general and the Ethics Anti Corruption Commission as defendants alongside Safaricom.

Business Daily reports Treasury cabinet secretary Henry Rotich told the Administration and National Security Committee a probe would be completed over the next two weeks.

“We shall have 14 days to conduct due diligence on the award of the project and we shall decide whether or not the contract will be signed,” Rotich said.