Whistleblower runs to IGG over Busega-Mpigi highway project

KAMPALA. A whistleblower has petitioned the Inspector General of Government, Ms Irene Mulyagonja, asking her to stop a “fraud” in the ongoing procurement process for the Shs576b Busega-Mpigi expressway project by the Uganda National Roads Authority.
The whistleblower in a letter dated June 21, also copied to the Works and Transport minister Monica Azuba and Secretary to the Treasury Keith Muhakanizi, claims that a decision by UNRA to award the fourth lowest-priced bidder will make government lose Shs143.2b, which would have been saved had the lowest-priced bidder been awarded.

Without mentioning the lowest-priced bidder who quoted Shs390.8b, the whistleblower alleges bribery involving top management in UNRA in awarding the contract to the joint venture of China Civil Engineering Construction Corporation (CCECC) and China Railway 19th Bureau Group Co Ltd (CR19BG) that quoted Shs534.1b.

“It should be brought to your notice that it is nearly one year since the UNRA Procurement Directorate opened the bids on August 31, 2017. The top management in UNRA has been frustrating the procurement by imposing on the agency’s Procurement Directorate and Evaluation Committee the 4th lowest evaluated bidder instead of the lowest, eligible, compliant and substantially responsive bidder as the PPDA Act directs,” the whistleblower’s letter reads in part.
The construction of the 23.7km Busega-Mpigi expressway will be financed by a loan the government acquired from the African Development Bank (AfDB) in 2011.

Much as the loan agreement was secured by then Finance minister Maria Kiwanuka, her successor Matia Kasaija, signed for it in 2016 and will be serviced over a period of 40 years at an interest rate of 0.75 per cent per annum on the amount disbursed and outstanding. At least 12 foreign firms each paying a bid security of Shs20b, expressed interest in executing the multi-billion Busega-Mpigi expressway project but ever since the bids were opened, UNRA has taken time to announce the bid award.
The whistleblower, who cited fear in not petitioning the procurement agency, also pointed to “strong links” between some PPDA officials and those of UNRA, and wants the IGG to investigate possible bribery in the process.

“Therefore, madam IGG, it is my humble request that you crack the whip as soon as possible and save the country from this loss because the illegal procurement is inevitable. I have information that UNRA officials are doing this in expectation of a huge financial award from the top officials of CCECC & CR19BG...,” the petitioner added.
The IGG’s spokesperson, Ms Munira Ali, yesterday confirmed to Daily Monitor that the Inspectorate had received the whistleblower’s petition pending action by their officials.

“The petition by a whistleblower about UNRA issues has been received. It came in last week, but what I’m not yet sure about is whether investigations have started or not. We investigate every complaint that comes to us,” Ms Ali said.
But UNRA spokesperson Mark Ssali refuted the claims that the multi-billion project has been awarded to any of the bidders, saying the evaluation process was still on-going.

“Yes, the letter was received I am told. There have been no awards yet. The evaluation process is still ongoing,” Mr Ssali said at the weekend.
However, Section 6 of a leaked copy of the procurement evaluation report indicates that the committee mid last month recommended the award of the contract to the joint venture of CCECC & CR19BG, the same consortium the whistle-blower claims was the fourth lowest priced bidder.
But Mr Bai, the country representative of the CCECC & CR19BG joint venture, yesterday said he was not aware of any progress of the procurement process at UNRA.

He also denied giving out any bribe to UNRA officials in quest for the contract award.
“I don’t know anything about the status of the procurement. Yes, we are one of the bidders for that project but I have not given any bribe to UNRA and I have not seen any official coming to me asking for that bribe,” Mr Bai said by telephone yesterday.

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