Nairobi, July 18, 2025 — A bombshell Supreme Court ruling has exposed a brazen scheme by the Kenya Ports Authority (KPA) to illegally award a lucrative Sh5.9 billion grain handling tender to Portside Freight Terminals Ltd, a company linked to powerful political figures, including Mining CS Ali Hassan Joho.
The Shadowy Deal
For over 30 years, Kenya’s grain imports have been controlled by a single monopoly—Grain Bulk Handlers Ltd (GBHL). To break this stranglehold, KPA planned a second facility under its 2017-2047 master plan, promising competition and lower costs for Kenyans.
But instead of an open, competitive process, KPA’s managing director fast-tracked a shady deal with Portside Freight Terminals Ltd—bypassing procurement laws in a shocking display of favoritism.
How the Scheme Unfolded
- July 2020: KPA’s MD handpicked a “technical committee” to review Portside’s unsolicited proposal—ignoring six other firms.
- March 2021: The MD wrote to the Treasury, secretly seeking approval for a Specially Permitted Procurement Procedure (SPPP)—a rarely used method meant for emergencies.
- July 2021: In a blistering 48-hour window, KPA:
- Invited Portside to bid (July 15).
- Evaluated their proposal (July 26).
- Awarded the tender (July 28).
Supreme Court’s Scathing Verdict
The apex court, led by Deputy Chief Justice Philomena Mwilu, quashed the tender, declaring the process illegal, opaque, and discriminatory. Key findings:
- No public interest justification: KPA failed to prove why standard bidding rules were ignored.
- No security vetting: Claims that Portside had “special security clearance” were unproven.
- No competition: Six rival firms (Kilindini Terminals, Mombasa Grain Terminal, Kapa Oil Refinery, etc.) were deliberately sidelined.
Political Connections & Hidden Motives
Portside’s ties to CS Joho raise serious questions:
- Did political influence override the law?
- Why was the Treasury’s approval rushed without due diligence?
- Who stands to profit from 30 years of exclusive grain handling rights?
What Now?
With the tender cancelled, KPA must restart the process—this time, legally. But Kenyans are left wondering:
- How many other tenders are awarded in backroom deals?
- Who else is benefiting from Kenya’s ports monopoly?
One thing is clear: Corruption in high places remains alive—and the courts are watching.
There's no story that cannot be told. We cover the stories that others don't want to be told, we bring you all the news you need. If you have tips, exposes or any story you need to be told bluntly and all queries write to us [email protected] also find us on Telegram
