NYS Sh47M Tender Trial Kicks Off

The corruption trial involving former National Youth Service (NYS) deputy director-general Adan Gedow Harakhe, senior Devolution Ministry official Hassan Noor, and several others began on Tuesday at the Nairobi Anti-Corruption Court, with the prosecution outlining a complex scheme of procurement irregularities, abuse of office, and conspiracy amounting to a Sh47 million loss to the state.

In his opening address, State Counsel Joseph Riungu told Magistrate Felix Kombo that the supply of training materials for the NYS in Automotive Engineering was illegally awarded to Blue Star Enterprises, a firm that was not among the pre-qualified suppliers approved for the Ministry of Devolution.

Prosecution: Restricted Tender Was Illegal, Rushed and Done Without Due Diligence

Riungu said the prosecution will demonstrate that the officials violated procurement standards and breached the trust placed in them by awarding a restricted tender without meeting the legal prerequisites.

“This is a case of procurement irregularities, abuse of office and conspiracy. At the conclusion of the case, the prosecution shall have proved that the accused persons created an avenue through which the state would have lost millions,” Riungu stated.

He added that evidence will show the entire tendering process was rushed, lacked technical evaluation, and ignored basic due diligence requirements.

Blue Star Enterprises Received Sh47M Despite No Track Record

The court heard that Blue Star Enterprises, registered in 1998, had never supplied automotive engineering equipment, yet was awarded the tender and paid over Sh45 million on September 24, 2015 through its Paramount Universal Bank account.

The account, jointly owned by Betty Njoki Mureithi and Jennifer Muthoni Kinoti—the 17th and 18th accused—previously recorded only two cash deposits of Sh2,000 each since inception.

The prosecution claims this raises red flags about the company’s legitimacy and capacity to supply specialized training materials.

Prosecution Links Harakhe to Irregular Approvals

The state further said that former NYS deputy DG Adan Harakhe authorized both the Local Purchase Order (LPO) and the payment voucher, and also influenced the agenda of the Ministerial Tender Committee (MTC) meetings that approved the questionable tender.

Evidence will also show:

• Blue Star was not pre-qualified for relevant goods or services

• It lacked capacity and specialization in automotive engineering

• The Tender Evaluation Committee minutes were neither dated nor signed

• The committee still recommended awards without conducting a technical evaluation

Riungu said the ministerial tender team had a statutory obligation to review procurement methods, ensure compliance, and prevent misuse of public funds—an obligation he says was grossly violated.

Tender Process Timeline Raises Questions

The court heard that:

• Bids were opened on 29 January 2015

• The Ministerial Tender Committee reconvened on 30 January 2015 and approved awards

• The Tender Evaluation Committee was appointed on 2 February 2015

• Yet the evaluation minutes were invalid and no technical review was done

The prosecution says this rushed timeline proves the tender was improperly fast-tracked.

The trial continues.