26 November 2018

Uganda: PPDA Cancels Busega-Mpigi Road Deal

Kampala — A report released by the Public Procurement and Disposal of Public Assets Authority (PPDA) has concluded that the company preferred by Uganda National Roads Authority (UNRA) to construct Busega-Mpigi Expressway had inconsistencies in its bid documents.

The November 8 investigative report was done after the Inspector General of Government (IGG) wrote to the procurement Authority, directing it to investigate the procurement process following numerous whistleblowers' complaints that the bid documents submitted by CMC Di Ravenna/Advent were inconsistent with the bidder's name and where the company is registered.

"The bid of CMC-Advent Busega Joint Venture had inconsistencies in the bidder's name, submitted a non-compliant bid security, five proposed key staff i.e Asphalt specialist, pavement foreman, Quarry Manager and the Human Resources Manager for CMC-Advent Busega JV did not meet the requirement for key personnel and the projects provided by the bidder as evidence of specific experience had inconsistencies with the amounted misrepresentation by the bidder," the report reads.

In 2010, government awarded a contract to Eutaw Mississippi to construct Mukono-Katosi-Kisoga-Nyenga road but the bid documents showed it was Eutaw Florida which was later found to be a fraud. The PPDA report also says top executives of CMC Di Ravenna have also been charged in of criminal cases of bribery, project irregularities across Europe and other countries.

The IGG wrote to PPDA on August 15, asking the procurement authority to investigate complaints by the whistleblowers that the procurement process was marred by irregularities. After the IGG request to investigate the procurement process, the PPDA Executive Director, Mr Benson Turamye wrote to the UNRA boss Allen Kagina on September 4, to review the process.

But on September 7, Ms Kagina wrote back to PPDA, saying the request to review the process be stayed until they get response from African Development Bank which is funding the project.

"The bid evaluation report was approved by the UNRA Contracts Committee and has submitted to the AfDB for a NO Objection prior to display of the Notice of the Best Evaluated Bidder," the letter reads.

PPDA now wants the UNRA evaluation committee to review the validity of the CMC-Advent bid because of the inconsistencies.

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