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According to Vincent Mugaba, Senior Public Relations Officer Public Procurement and Disposal of Public Assets Authority (PPDA), “when a company is suspended from public procurement, its directors too are suspended.”
He further pointed out that such companies “cannot be involved in public procurement and disposal on behalf of that company or any other company they represent.”
In addition, the Public Procurement & Disposal of Public Assets Authority (PPDA) has removed 12 companies and their directors from the suspension list after expiration of their suspension.
In accordance with PPDA Regulation 16 (l) of the PPDA Regulations, 2014, the Authority notifies Government Entities (Local & Central) of the suspension of providers.
The list of all suspended providers can be downloaded from www.ppda.go.ug.
Mugaba said the suspensions apply to any successor in interest, which includes any Entity (company) that is substantially similar to a suspended Entity (company) or which employs or is associated with any partner, member, officer, director, responsible managing officer or responsible managing employee of a suspended business Entity (company) in accordance with Regulation 12 (5) of the PPDA Regulations, 2014;
Under Regulation 12 (4) of the PPDA Regulations 2014, the suspension does not relieve the provider of responsibility or obligations under any existing contract placed prior to the suspension; and Under Regulations 12 (9) and (10) of the PPDA Regulations 2014, after the expiry of the period of suspension, a provider may apply to the Authority, in writing, to be removed from the list of suspended providers and the Authority shall remove the provider from the list of suspended providers within fifteen (15) working days after the application.
During the suspension period, all Procuring and Disposing Entities shall not award contracts to the suspended companies; sell or issue solicitation documents the suspended companies or in any way solicit bid s from them; and enter into any other dealings or communication with the suspended companies except in respect to existing contracts placed prior to the suspension from Public Procurement and Disposal.
For example M/s RON Engineering Company Limited whose directors are Ronald Ddungu and Andrew Muganga were blacklisted for submitting forged income tax clearance certificate for works at Wakiso District Local Government.
M/s Faw Construction Co. Ltd was not spared for submitting a forged bid security to Uganda National Roads Authority.
This means the construction company which PPDA says belongs to Capt. Mike Mukula and his son Michael Mukula will not be able to do business with government for two years starting June 26, 2014.
Contacted for comment, Mukula said he has no authoity over the company. “This company belongs to my son. It’s not mine. I am just a Director,” Mukula told Chimpreports on Thursday morning.
However, insiders say Mukula, whose name has appeared in several high profile corruption scandals, runs the company with his son acting as an admnistrator.
In most cases, contractors were faulted for forging Certificate of Registration on the Register of Providers (RoP), bank guarantees and security bids.
PPDA took a stronger action on M/s Amman Industrial Tools & Equipment Ltd belonging to NRM chief treasurer, Mr. Mohinder Singh Chal, and Ms. Nishita Maini, Mr. Rajaserakan Arjun and Mr. Andrew Kyangwa for causing financial loss of USD1, 719,454.58 to the Government.
The company was banned indefinitely. This website was unable to reach Singh by Thursday morning.
Companies Suspended from Public Procurement in Uganda 2014 (Suspended Providers as of July 2014)