MPs have launched investigations into claims that the government spent Sh3.2 billion to renovate KICC ahead of the Climate Summit last year.
This is despite Parliament appropriating only Sh1.9 billion to refurbish the iconic facility for the global meeting hosted by President William Ruto.
The revelation emerged yesterday during the National Assembly’s Tourism and Wildlife Committee session with several local contractors.
The committee is chaired by Maara MP Kareke Mbiuki.
The contractors, who claimed to have done 80 per cent of the work, said they signed a prorated contract with China Wu Yi based on the total contractual sum of Sh3.19 billion.
China Wu-Yi was the main contractor of the refurbishment which was supervised by the Kenya Defense Forces.
In the agreement signed on March 12, the Chinese Wu-Yi was to pay the 14 contractors 17 per cent of the contract sum (Sh3.19 billion).
“Wu Yi informed us on March 12 that our full payments were dependent on them receiving their full payment of Sh3.2 billion,” Mercy Meria told the committee.
She said the company has taken them in circles and has refused to give them their copy of the contract.
“They told us that they had only received Sh550 million of the Sh3.2 billion thus the prorated calculation of 17 per cent,” Meria said.
They petitioned Parliament to help them get their unpaid dues of Sh674.6 million.
The local contractors encompass architects, project managers, contractors, interior designers, fit out specialists and furniture suppliers.
They delivered their services and handed over the venue by September 4, last year.
Defense Ministry told the committee that renovation works cost Sh1.9 billion.
The contractors told the committee that they were also shocked to learn from media reports that the project cost approved by Parliament was Sh1.98 billion and not Sh3.2 billion that China Wu Yi was used to determine their prorated payments.
“We stand to lose 60 per cent of our payment if the project cost is determined to be 1.98 billion and not Sh3.2 billion because we are on a prorated contract,” Meria said.
“The situation is extremely dire and we seek your indulgence and intervention to segregate us from China Wu Yi to enable us receive our payments in full from KDF or KICC as early as possible. Your consideration shall be highly appreciated.”
The committee has summoned Defense Ministry and China Wu Yi to shed light on the matter.
They have been directed to furnish the committee with an original contract of the renovation works.
“We have written to the Ministry of Defense to supply us with a contractual agreement with the Chinese company to ensure the contract figure,” Mbiuki said.
“We have also instructed the secretariat to write to China Wu Yi to come and clarify the contract they signed with KDF and the local contractor.”
Kuresoi North MP Alfred Mutai expressed shock on the mutating figures, saying Sh3.2 billion is enough to build a new KICC.
“If it is true that Sh3.2 billion was used, we must be told if it was just renovation or construction of another KICC,” he said.
Folizz Contractors, Michelangelo, Frejed Engineering, Finetops Enetrprise, Homes & Natures, Muga Electricals and Global Exhibitions Incorporated are some of the local companies contracted.
Other firms in the profitable tender were Straight Media EA, Bi-Son Hygiene, Barlowood, Ecoscrub Surface Restoration, Industrial Protective Coating and Johncil World Enterprises.
Folizz contractors undertook refurbishment works worth Sh266.6 million while Michelangelo did interior design and remodeling works worth Sh80.38 million.
Frejed engineering supplied and installed air conditioning works worth Sh35.19 million and Finetops Enterprise was contracted to supply furniture worth Sh73.25 million.
Homes & Natures undertook landscaping gardening services worth Sh9.57 million, Muga Electricals installed CCTV cameras and did other electrical works worth Sh20.6 million.
Global Exhibitions Incorporated supplied the green turf carpet at the cost of Sh4.89 million while Straight Media EA provided way-finding signage worth Sh21,089 million.
Bi-son hygiene provided deep cleaning services before and after the conference at the cost of Sh16.65 million, Barloworld undertook general repair works, electrical and perspex works worth Sh47.8 million.
Kleenchamps Africa provided deep cleaning and sandblasting services worth Sh6.62 million.
Eco Scrub Surface Restoration Company also provided sandblasting services at Sh4.39 million.
Industrial Protective Coating provided sandblasting services at the cost of Sh11.5 million and Johncil world enterprises which undertook the facelift of Presidential lounge, VVIP lounge, First Lady’s lounge and all bilateral rooms on the first floor KICC building at the cost of Sh80.05 million .