Richard Ngatia’s Megascope Limited secures another tender worth billion from NMS

Kenya National Chamber of Commerce and Industry (KNCCI) Chairman Richard Ngatia -Photo courtesy

By The Weekly Vision Team

A company with close links to the current President of Kenya National Chamber of Commerce and Industry (KNCCI) who also happens to be a very controversial businessman Richard Ngatia has been caught up in a fresh scandal involving a huge tender worth Ksh. 3.8 Billion floated by The Nairobi Metropolitan Service for construction of 19 level 3 hospitals within the informal settlements of Nairobi.

Mr Ngatia took advantage of his proximity to powerful people within government to bulldoze his way into securing the tender by locking out completion. The Nairobi Metropolitan Services (NMS) boss Major-General Mohamed Abdalla Badi awarded Mr Ngatia’s Megascope Limited the tender to construct the 19 hospitals to be spread across the city under a single-source agreement in clear breach of procurement laws and regulations of Kenya, the Public Procurement and Disposal Act of 2015.

Megascope Limited submitted documents to NMS for the construction of each hospital at a cost of Ksh. 200 million and since his firm has no expertise in constructing buildings, they sub-contracted the works to other firms at Ksh. 70 million each. Megascope Limited will end up making a cool Ksh. 130 million profit on each of the 19 hospitals, Ksh. 2.4 billion to be precise. The scandal comes barely a year since the businessman was involved in yet another huge scandal at the Kenya Medical Supplies Agency (KEMSA).  

Nairobi Metropolitan Service (NMS) boss Mohammed Badi had pledged to build 24 fully functional hospitals in Nairobi’s informal settlements particularly at Viwandani, Majengo, Mathare, Kayole, Soweto, Korogocho, Kawangware, Gitare Marigu, Mukuru Kwa Njenga, Mukuru Kwa Reuben, Kibera and Githurai.

Nineteen (19) out of the 24 health facilities would be built from scratch while the rest (five) would be rehabilitated. Late last year, President Uhuru Kenyatta witnessed the ground breaking event for the construction of 16-bed capacity hospitals at Muthua in Uthiru and Kianda in Kibra as well as a 24-bed facility at Maendeleo Village in Mukuru kwa Reuben, the President was received by respective MPs including John Kiarie (Dagoretti South), Imran Okoth (Kibra) and Julius Mawathe (Embakasi South) curiously Mr. Ngatia was part of the team that accompanied the president on those visits.

Megascope is about to present a new plan to NMS, indicating how they intend to fully equip the hospitals with medical equipment and related gargets probably worth billions of shillings once more.

 A few years ago, Mr Ngatia was involved in a huge scandal, currently a subject of investigations by officers from the Ethics And Anti-Corruption Commission (EACC) for procurement and supply of Computed Tomography (CT) Scanners and Medical Equipment. Investigations into the Ksh. 7 billion deal for CT scanners that were meant to have been supplied to 37 counties across the country has never been concluded. 

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