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{
"id": 1174367,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1174367/?format=api",
"text_counter": 1112,
"type": "speech",
"speaker_name": "Mvita, ODM",
"speaker_title": "Hon. Abdullswamad Nassir",
"speaker": {
"id": 2433,
"legal_name": "Abdulswamad Sheriff Nassir",
"slug": "abdulswamad-sheriff-nassir"
},
"content": "Aero-Technology International Engineering Corporation were given possession of the site through a letter dated 6th December, 2013, before a project financier had even been identified. There was also the element of Value Added Tax (VAT). One of the issues was very clear. The tender document said that the cost was meant to be inclusive of all taxes, including VAT. The letter of notification dated 16th December 2011 was clear that the contract sum of USD 653,782,814 was inclusive of all taxes. However, on the 13th of November, 2013, the management entered into a contract and an extra 16 per cent was added to it. Therefore, that is a loss to tax payers’ money. This is outright theft. Hon. Temporary Deputy Speaker. We met the Chinese companies that were involved. I say “Chinese companies” with a lot of objectivity, as not all Chinese companies are bad; some have done a sterling job. However, when the joint venture team from Anvil Construction Engineering with China Aero Technology came to the Committee on the 2nd of March, they suggested that the idea of how the Value Added Tax (VAT) matter should be treated was an initiation not on their part, but on the part of Kenya Airports Authority (KAA). What they are saying is that this is a contract that we signed. We were aware we were signing into something that was inclusive of taxes. However, the good gentlemen at the KAA gave us a letter indicating that we add the 16 per cent VAT, and we simply obliged. It is totally theft. A review of the project file showed that an amount of Kshs75 Million was paid to the contractors on 9th June, 2014, on a contract variation. I want to state clearly that this was for nothing else except for ground breaking, whereby they were part and parcel of the Bill of Quantities (BQs). Therefore, they went and said that amount was for ground breaking. The Kshs75 Million was nothing else except levelling out the field. Hon. Temporary Deputy Speaker. In addition, the Auditor-General has queried this matter. In a letter referenced KAES/JKIA/658/DBCS Vol.2 dated 29th March, 2016, the management informed the contractor – kindly bear in mind the dates on which this happened, 2011, and 2013... By the time they informed the contractor that we are now terminating this agreement, it was the year 2016. I want to congratulate my Members, the Office of the Auditor-General and equally the Clerks who did this. It is this committee that actually ended up prompting, and asked whether these people had responded. Furthermore, the response came on 4th and 6th April, 2016, 16th and 27th August, and in all of them, the contractor was declaring a dispute on those particular cancellations. Hon. Temporary Deputy Speaker, we take concern. I want Members to hear us very clearly on this. We take concern that this particular company was paid Kshs4.3 Billion. Hear me out. I am truly glad that amongst my last days as a Member of Parliament (MP), I am honoured and blessed to have been in a position to move such kind of a Report that shows the level of rot in which we are in. Kshs4,310,901,806 has already been paid to this contactor, but up to now, there has been zero work done. Kshs4,216,100,000 has been paid. This project wants to be called famous Greenfield, but history will judge it as the infamous Greenfield Project. I am glad that we have said that during our tenure, we need to put an end to these kind of matters. My hope and prayer is that the EACC will take action. I hope and believe strongly that the next Executive will be firm on this particular matter. I also hope that the current Executive will start. We have done our part as Members of Parliament. I ask Members, with a lot of humility, not to allow this level of corruption to be in this country. Our children and grandchildren will judge us on what we did. They will equally judge us on what we did not do for this country when we saw these things happening."
}