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Court halts KTDA and Chai Trading from executing multi-million security tender over alleged irregular award process

The High Court has issued temporary orders barring the Kenya Tea Development Agency (KTDA) and its subsidiary Chai Trading Company Limited from implementing a multi-million-shilling security tender following claims of irregularities in the award process.

The order came after Anthony Manyara and Youth Advocacy Africa filed an urgent application alleging that KTDA unlawfully awarded the tender reference number CTCL/127/2025 (KTDA/127/2025) to a preferred bidder without following due process.

In court documents filed through Okoth Elly & Company Advocates, the petitioners argued that KTDA and Chai Trading had already begun steps toward signing or partially executing the contract, actions they claimed would render their suit meaningless if not stopped.

“The defendants have already initiated steps towards executing a contract that may extinguish our clients’ rights and render the case nugatory,” the petition read.

The applicants, who said they are long-term service providers to KTDA, insist they have a legitimate commercial interest in ensuring fair and transparent procurement.

Through their lawyer, they maintained that the agency’s actions amounted to bad faith and breach of legitimate expectation, warning that the move could cause them permanent loss of business and reputational damage.

While KTDA is a private entity not directly subject to the Public Procurement and Asset Disposal Act, the petitioners argue that it must still uphold the principles of fairness, transparency, and good corporate governance in all its operations.

The case will be mentioned in the coming weeks for further directions.

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