Kenya: Court Halts KTDA's Multi-Million Security Tender Over Transparency Dispute

Nairobi — The High Court has temporarily stopped the Kenya Tea Development Agency (KTDA) and its subsidiary, Chai Trading Company Limited, from executing or implementing a multi-million shilling security tender pending the hearing and determination of a case challenging the award process.

The suspension follows an urgent application filed by Anthony Manyara and Youth Advocacy Africa, who accuse KTDA of irregularly awarding the tender for the Provision of Security Services (Tender Reference No. CTCL/127/2025 - KTDA/127/2025) to a preferred bidder in violation of principles of fairness and transparency.

In court documents filed through Okoth Elly & Company Advocates, the petitioners claim KTDA and its subsidiary had already initiated steps toward signing or partially executing the contract, an action they argue could render the court case meaningless if not halted.

"The defendants have already initiated steps towards execution of a contract with the said bidder and are in the process of signing, or may have already partially executed, the contract, actions which may occur at any moment, thereby extinguishing the plaintiffs' rights and rendering this suit and application nugatory," reads part of the court papers.

The applicants, who are long-term service providers to KTDA, maintain that they have a legitimate commercial interest in ensuring the procurement process is conducted lawfully and competitively.

Through their lawyer Elly Okoth, they argue that they stand to suffer irreparable harm, including permanent loss of business opportunities, reputational damage, and loss of client confidence, should the tender be allowed to proceed.

"The defendants' actions constitute a breach of legitimate expectation and bad faith, as they have disregarded their own tender documents and internal procurement policy," the application adds.

While KTDA is a private entity and therefore not directly governed by the Public Procurement and Asset Disposal Act, the petitioners insist it remains bound by principles of fairness, transparency, and good corporate governance in its operations.

The High Court's temporary orders now restrain KTDA and Chai Trading from proceeding with the contract until the case is heard and determined. The matter will be mentioned on a later date for further directions.

Read the original article on Capital FM.