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Government Blacklists 197 Companies Over Fraud

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Government Blacklists 197 Companies Over Fraud

Rwanda Procurement Authority (RPPA) has suspended 197 companies from submitting tender bids.

The decision is derived from allegations of breaching of contracts and providing wrong information by the blacklisted companies.

The companies will, thus, not be able to work with RPPA from six months to five years.

According to the law on public procurement, for any item valued at over Rwf100, 000, the government procuring entity must invite bidders for competition.

In order for a company to enter the competition, it must first fulfill the requirements, including demonstration of the ability to deliver.

Harriet Umutesi, an investigation officer at RPPA, says that the companies are exposed so as to prevent other government institutions from working with them.

“The main reason for publishing the companies is to reduce the number of people who do not abide by their contractual obligations and to reduce the number of frauds and unfair competition,” she says.

She adds that when a company feels that it has been mistreated, it is allowed to sue to restore its public image.

“You may appeal through court and, when you win, we will return your name on this list. We suspend the companies based on information, and there are cases of companies that we removed from the list in on court’s order,” she explained.

The move to suspend these institutions is eradicate malpractices.

A company can commit a fraudulent act in Rusizi, and relocate to Kayonza and acquires a tender, but when it is put on the list, it will be easier to find out about it.

The Auditor General’s report says government expenditure during the 2016/2017 fiscal year shows that contractors had delayed or abandoned a total of 109 projects worth over US$235 million.

All blacklisted companies are all published on the RPPA website.

Here below is a link with all the blacklisted companies.

http://www.rppa.gov.rw/index.php?id=605

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