Kenya Insights

Tag: cofek

  • KEBS MD Njiraini, PS Kaberia Linked To Recruitment Malpractices At The Bureau

    KEBS MD Njiraini, PS Kaberia Linked To Recruitment Malpractices At The Bureau

    An advertisement dated Thursday, August 26, Kenya Bureau of Standards (KEBS) indicated that the bureau was looking to hire 101 individuals to occupy various posts.

    They included an inspection manager and a principal office administrator at the managerial level. Civil engineers, electrical engineers, pharmacists and mechanical engineers.

    The process has however come back to haunt the management with MD Bernard Njiraini and Principal Secretary Amb. Kirimi Kaberia taking the big chunk of blame for playing dirty in the recruitment process.

    According to an anonymous letter sent to Kenya Insights and copied to other bodies by aggrieved staff, the recruitment process was largely flawed by the management. The staff are petitioning for an open recruitment process. Below is the letter.

    With the re-establishment of the East African Community (EAC) and Common Market for Eastern and Southern Africa (COMESA), KEBS activities now include participation in the development and implementation of SMCA activities at the regional level where it participates in the harmonization of standards, measurement of conformity assessment regimes for regional integration. KEBS operates the National Enquiry Point in support of the WTO Agreement on Technical Barriers to Trade (TBT).

    We are here to report recruitment malpractices at the Kenya Bureau of Standards.

    KEBS advertised 109 positions in the month of September 2021. The deadline for submitting applications was 10.09.2021.

    What happened is that the MD (Lt. Col (Rtd) Njiraini) took upon himself to invite the Ministry of Trade and Enterprise Development to be part of the shortlisting and interviewing process. This has never happened before because KEBS recruitments have always been transparent and very objective.

    We are made to understand this was done because of the directives from the Principal Secretary Amb. Kirimi Kaberia who is set to run for a political seat therefore he wants to use the employments to reward his political supporters in his village in Meru). Not only have that, the MD himself Mr. Njiraini wants to employ his county political associates for himself and for his friends.

    The Principal Secretary State Department of for Industrialization Amb. Kirimi Kaberia.

    The MD flouted all the recruitment processes in KEBS overlooking the committee which is charged with the responsibility of all recruitment and instead appointed his spanner boys who do all his dirty jobs.

    Below are the names for the so-called shortlisting committee

    1. Murira- this is a Director who was appointed irregularly as a reward to Meru community. This is the man who has set up the whole process. First, he is not a member of the committee and he was appointed to chair the panel. He is been tasked to ensure the interest of the PS. Ambassador Kaberia, Board chair and the larger Meru interests are taken care of at the expense of other applicants.
    2. Kirimi is the mastermind of all the rumours and gossip in KEBS. He is the one in charge of the recruitment system and has ensured he tampered with the system. He gets information from the system and calls people demanding for money in return of recruitment. He is boasting all over that people should know that there are Meru’s at KEBS.
    3. Abdow- this is one of the most corrupt officers in KEBS. The MD uses him to carry out his dirty jobs at KEBS. He got in irregularly and has caused a lot of chaos in HR department since he joined the organization.
    4. Njeru- this is the officer from the Ministry ensure that all Mt. Kenya applicants specifically Gatundu, Meru and Embu are given the jobs.
    5. Miriam- this a very new Director and does not understand the malpractices in KEBS especially recruitments- she is a coverup to cheat the rest of us that the process is fair.

    The question is what is going to happen to the rest of Kenyans who have applied if this is what is happening?

    We understand there are internal employees who could have benefited from the recruitment but the advert was advertised externally so that it is used for political gains.

    According to Public Service Commission and KEBS HR policies, there is a committee charged with advising the MD in all recruitment process and the same has been completely ignored in this particular recruitment.

    The MD (Mr. Njiraini has completely run down KEBS since he joined KEBS in 2019. In fact he has been arrested in the past due to corruption. He is still in office courtesy of his godfathers. This MD became MD although he was number six during the interviews)

    We have written to your good office so that you can intervene by having the recruitment process stopped or cancelled until the MD appoints credible people to drive the process.

    This process is highly compromised, the end result is to benefit Mr. Kaberia (PS), Mr. Njiraini (MD), KEBS Board chair, HOD-HR and his woria friends in KEBS and outside KEBS.

    We are, once again, appealing to your good office to intervene by having this process stopped or cancelled altogether. As we are writing the same corrupt team is carrying out short listing.

    Njiraini has been exposed on corruption in this site many times.

    In October, 2020 last year – Kebs was stopped from expanding a vehicle inspections tender following queries around the process.

    Parliament adopted a committee report that seeked to have Kenya Bureau of Standards (Kebs) Managing Director Bernard Njiraini held responsible for litigation that could arise from a controversial tender.

    In July 2020, EACC officers arrested Bernard Njiraini for frustrating graft investigations at the parastatal.

    Njiraini was arrested for refusing to give EACC detectives original documents related to multimillion-shilling tenders the commission is investigating.

    Njiraini was arrested as a penal consequence for failing to comply with a notice issued to him to surrender the documents.

    EACC had been investigating allegations of procurement irregularities and payment of bribes in respect of awards for tenders for provision of pre-export conformity of goods, used motor vehicles, mobile equipment and spare parts by Kebs. 

    The Public Investments Committee (PIC) recommended punishment for Mr Njiraini and the procurement team at Kebs for alleged impropriety in awarding a pre-export verification tender. The National Assembly adopted the report that recommended that the top officer at the state agency be surcharged in the event bidders challenged the award.

    The watchdog committee chaired by Mvita MP Abdulswamad Nassir also recommended that the Directorate of Criminal Investigations and Ethics and Anti-Corruption Commission probe the circumstances under which Kebs engaged blacklisted firms, EAA Company Ltd and Auto Terminal Japan.

    The Auditor-General had in a special audit recommended that the two firms be barred from engaging in such tenders. But the agency went ahead to engage them in its bid to have more firms inspect vehicles being imported into the country.

    In reference to the recruitment process, KEBS has issued a rebuttal to the claims raised by the staffers in the anonymous mail. While replying to the consumer body Cofek, Kebs management and by reflex, are denying any wrong doing in the recruitment.

    They said in part “the shortlisting committee for this recruitment was duly appointed in line with its internal processes and the KEBS Human Resources Policy. The ministry of industrialization, trade and enterprise development is the parent ministry (the ministry) to KEBS and is therefore engaged and consulted by KEBS as and when necessary, In this case, the ministry is providing technical and professional human resources support during the recruitment process.”

    Section 5 of the Standards Council Act which establishes KEBS only requires KEBS Council to consult with the ministry on the appointment of the director (CEO/MD) of KEBS, not the rest of the staff.

    1) The Minister shall, on the advice of the Council, by notice in the Gazette, appoint a Director of the Bureau who shall be the chief executive officer of the Bureau.

    (2) The Council shall, after consultation with the Director, appoint such members and staff of the Bureau as the Council may deem necessary for the proper performance of the functions of the Bureau under this Act.

    While replying to Keb’s rebuttal, the consumer body has further poked holes in the denying statement.

    ”It is not clear why the ministry and or principal secretary, who sits on the Standards Council, will still have himself and or a nominee on shortlisting committees for internal and or externally advertised jobs. Cofek equally remains a stranger to the KEBS Human Resources Policy – where no specific section was quoted in the KEBS generic response – that was more of a veiled threat than the salient information sought.“

    We’ve also learnt that Kebs threatened Cofek to pull down article they had posted earlier on the recruitment petition claiming it had dealt them an unstated disrepute. Suspiciously, they want article taken down without convincing evidence that it was malicious, this is a common threat from corrup leaders who want to hide information from the public and continue operating in secrecy.

    Cofek has refused to give into their demands, “

    KEBS is a key consumer protection agency. Its a primary partner to Cofek. Recruitment of its’ human resources is, therefore, a critical component of consumer protection. It cannot be gainsaid. Again, in light of Article 10 and especially 35 of the Constitution, information held by government and required in the public interest ought to be released to the public. It is the legitimate expectation that KEBS will provide the required full information.” The body stated.

  • Consumer Body Trashes Peptang’s Re-Charge Dawa Drink For Flu As Big Deception

    Consumer Body Trashes Peptang’s Re-Charge Dawa Drink For Flu As Big Deception

    Peptang maker Premier Foods, inspired by homemade ‘dawa‘, a herbal drink Kenyans enjoy to treat common flu, has introduced a new beverage, eyeing the market also served by restaurants.

    The firm launched its latest product dubbed Recharge Dawa that will be on sale in supermarkets.

    Dawa, which means medicine in Kiswahili, is made up of honey, lemon and ginger as its key ingredients.

    “Recharge Dawa drink contains all the ingredients used by locals; ginger a natural antioxidant, lemon rich in Vitamin C and great for detoxing, and honey a good source of antioxidant,” Premier Foods CEO Joseph Choge said.

    “Unlike the homemade drink that one has to drink hot, this one is already packaged for you and is readily available in the market,” he added.

    Mr Choge noted that dawa has the health benefits of soothing sore throats, flu or colds, and added that the new product is a good example of listening to the market and moving with the times.

    However, the Consumers Federation of Kenya (Cofek) has trashed the drink and advertisement as deceptive.

    “The ‘medicine’ has not be certified as such by the Pharmacy and Poisons Board. Therefore, the use of the name ‘dawa’ (Swahili for medicine) is fatally misleading. It must be dropped. Even if it were to be certified, the minimum ingredients threshold must be specified and met.” Cofek said.

    The popular ‘dawa’ that contains lemon, ginger and honey is served hot at restaurants, hotels and even bars – on request.

    Normally, the lemon, ginger and honey are natural and not processed.

    The popular ‘dawa’ drink retails between an average Sh100 to Sh1,000 per glass in high-end hotels.

    Served cold, the ‘dawa’ does not serve it purpose at all. It is also not clear whether the deceptive marketing brand Recharge Dawa to be sold in supermarkets requires a consumer to boil before use.

    The body is now asking authorities not to allow the drink to be on the shelves without doing the due diligence for the protection of consumers who’d fall for the ‘deception’

    “In the likely event that the new Recharge Dawa was boiled before packaging, it has a high risk of being carcinogenic (cancer-causing) since it is stored in plastic bottles whose internal walls melt and dissolve in the drink if packed hot. Cofek hopes that the Kenya Bureau of Standards (KEBS) will conduct due diligence before allowing the drink to be on retail shelves. While we support Premier Foods efforts in product diversification, its management must be brought to speed with provisions of Article 46 of the Constitution and the Consumer Protection Act, 2012 as regards deceptive advertising.” Cofek said.

  • Diageo through EABL, KBL promoting Excessive drinking in Kenya under Exploitative Promotion Scheme Posing a Health Risk.

    Diageo through EABL, KBL promoting Excessive drinking in Kenya under Exploitative Promotion Scheme Posing a Health Risk.

    When spirits maker Diageo faced slowing growth in developed economies, it started expanding in emerging markets.

    By 2004, however, many of these mature markets were becoming saturated. Emerging markets, on the other hand, were growing quickly, and the company saw an opportunity in them. Africa provided an attractive target.

    Its population had been growing at more than two per cent per year, and it had an average age of 19.7 years. The middle class was well over 250 million people in 2000, and the number was increasing rapidly. But the continent also presented its fair share of challenges. 

    Many existing products were too expensive for the African middle class. Others, developed for western markets, did not address the specific needs of the African population. The challenge for Diageo was to produce commercial alcoholic beverages that profitably met local needs. To achieve its targeted growth, the company needed to innovate across its entire value network.

    New products, manufacturing setups and distribution systems, tailored to the specific commercial needs and opportunities of the region, would have to be created. Diageo first had to decide whom it would serve to achieve that growth.

    The company was producing and selling a beer called Tusker in Kenya at the time through an equal partnership with a local company, East Africa Breweries Ltd (EABL). Tusker and its rivals were sold at prices well out of the reach of most Kenyans.

    This left a strategic segment underserved: those who drank but for whom branded beer was too expensive. The company created a new product – a beer called Senator Keg – to tap the approximately 60 per cent of consumers who drank only locally brewed alcohol which they considered illegal.

    Diageo engineered its sourcing and manufacturing operations to significantly reduce the cost of producing Senator Keg beer. With most beers being produced from two primary ingredients – barley and hops – which are combined with yeast and water to induce fermentation. The company chose to source barley from local growers and to produce the beer at its subsidiary, EABL.

    This took advantage of low labour costs in Africa while minimising transportation and other expenses associated with sourcing from afar. This drastically reduced the beer’s production cost. The pioneering process of brewing a lager from only barley was the world’s first, and recognised internationally.

    Market research done in 2003 by Diageo showed the optimal pricing for Senator Keg needed to be between 20 and 30 Kenyan shillings a glass (300 ml). When finally introduced, at 15 to 20 shillings a glass Senator cost a fifth the price of Diageo’s mainstream beer, Tusker, and was only slightly more expensive than locally brewed ‘illegal’ alcohol.

    By pricing Senator Keg at this level, Diageo offered consumers a product that was safe, and yet competitive with homemade spirits. Diageo made other significant efforts to reduce the price. It put forward a proposal to the Kenyan government to reduce taxes on Senator Keg to decrease its price and attract budget drinkers away from illicit brews. The government reduced excise duty on Senator Keg.

    Senator Keg has proved an enormous unlawful monopoly in the market. Since its launch, the brand has gained over 50 per cent of the Kenyan beer market, and EABL dominates the country with a 97 per cent share. More broadly, emerging markets now contribute nearly 50 per cent of Diageo’s net sales up from 20 per cent in 2005.

    Africa alone contributes 20 per cent of Diageo’s revenue. The company expects emerging markets to make up almost three quarters of its net sales by next few years.

    Unfortunately, In June this year – Kenya Breweries Limited (KBL) re-introduced their third national consumer rewards promotions with an aim in ‘fighting illicit brews’ – promotion geared at rewarding loyal Senator beer consumers. According to the initiators, the campaign aim to provide a safe, ultra-low-cost beer to compete with illegal supplies which could play a crucial role in both resolving alcohol-related health problems and in achieving the targeted growth for Diageo.

    KBL Managing Director John Musunga said the Shikisha Form na Senator Ushinde, embodies the Senator customers’ pursuit of better lives and seeks to celebrate and recognize their unbridled loyalty and contribution in establishing the Senator brand as the most successful value beer brand in Kenya.

    To participate, consumers are required to purchase two 500ml mugs (either Senator Lager or Dark Extra) to get issued with a scratch card. They are then required to SMS a unique valid code found under the scratch panel to a 5-digit short code to get an entry into the competition. One valid code gives one entry.

    So, the strategy is, the more mugs you purchase, the more scratch cards, the more entry you record and ‘the higher your chances of winning.”

    Unaware and unsuspecting customers hop in for the sweet deal without blinking an eye not knowing that every SMS you send of the code to the 5-digit code, you’re charged 10/- as that isn’t included in requirements, terms and conditions atleast for awareness.

    So, if you buy more mugs- it’s to their advantage, you get more scratch cards – it’s to their advantage as you’ll be charged more in the mobile network transaction fee unaware.

    And with cheap Keg beers they’re out to promote, targeting the vulnarable less fortunate families – low income groups who more often believe in lottery fallacy as the only way to get rich.

    We must be clear that the target group is the low- income consumers who can only afford the cheap Keg beer and who believes in lottery as the only way to richness. This targeted group is a jobless group, and drinking is their business.

    Lets takes an example of Kiambu county, In a small size bar or pub, 10 friends in a day takes 4 mugs each, thats 2000/- in a day times 7 days a week for the addicts, thats 14,000/- times over 1000 such like pubs in one county – that’s 14,000,000 in a week times 40 active counties in the country out of the 47 counties thats roughly over 500,000,000 every week then add the 10/- scratch card charges for every 2 mugs purchased for this group every time the take two mugs for the next three months. The campaign is being run for 3 months before these prizes are given out. The billions of money being exploited in this scheme is almost the country’s annual budget.

    The promotion feature an array of prizes, with the grand prize being Ksh. 10 million. Additionally, 5 loyal customers stand a chance to win Ksh. 2 million each, with Ksh. 1 million set aside to improve their community as well as themselves. Additionally, there will be airtime worth Ksh. 56 million, home shopping worth Ksh. 12 million and home makeovers worth Ksh. 2.4 million. 

    The terms and conditions of buying more mugs to stand higher chances of winning, condition of drinking minimum of two mugs is harmful to health, its addictive method and they know it. These conditions encourages excessive alchohol consumption and binge drinking (Binge drinking is, during a single occasion, four or more drinks for women and five or more drinks for men) on the side of the consumer with an aim to get the consumer buy more, then also charge them more when sending the SMS codes. 

    In the United States, one “standard” drink (or one alcoholic drink equivalent) contains roughly 14 grams of pure alcohol, which is found in: 12 ounces of regular beer, which is usually about 5% alcohol. 5 ounces of wine, which is typically about 12% alcohol. 1.5 ounces of distilled spirits, which is about 40% alcohol.

    Senator Dark Extra, which was launched early this year and is retailing in 2,000 outlets, has an alcohol content at 7.5 per cent compared to Senator Keg’s 5.8 per cent. Tusker is 5% -5.5%.

    The more the alcohol content, the more the harmful risks.

    With this underway exploitative promotion, its possible that end of year Per capita alcohol consumption in Africa statistics will record Kenya among the top alcohol consumers in Africa, Ministry of Health will record higher cases of Diabetes cases, increased cases of Liver and Kidney failures.  

    Cheap is Expensive and This exploitation is underway with the knowledge of the authorities from Communication Authority, Telco companies: Safaricom, Airtel, Telkom – Consumers Federation of Kenya (CoFeK), Legislators in parliament. All in payslip to keep pin-drop silence on the scheme.

  • Diageo’s “Shikisha Form na Senator Ushinde” – Exploitation Scheme

    Diageo’s “Shikisha Form na Senator Ushinde” – Exploitation Scheme

    In June this year, Kenya Breweries Limited (KBL) re-introduced their third national consumer rewards promotions with an aim in ‘fighting illicit brews’ – promotion geared at rewarding loyal Senator beer consumers.

    According to the initiators, the campaign aim to provide a safe, ultra-low-cost beer to compete with illegal supplies which could play a crucial role in both resolving alcohol-related health problems and in achieving the targeted growth for Diageo.

    KBL Managing Director John Musunga said the Shikisha Form na Senator Ushinde, embodies the Senator customers’ pursuit of better lives and seeks to celebrate and recognize their unbridled loyalty and contribution in establishing the Senator brand as the most successful value beer brand in Kenya.

    Beyond rewarding a nationwide consumer audience, Shikisha Form Na Senator Ushinde orchestrators aim to  facilitate the upgrade of key retailer outlet upgrades in the same promotion through provision of seats and tables, mugs, jugs and rebranding of their outlets.

    To participate, consumers are required to purchase two 500ml mugs (either Senator Lager or Dark Extra) to get issued with a scratch card. They are then required to SMS a unique valid code found under the scratch panel to a 5-digit short code to get an entry into the competition. One valid code gives one entry.

    The scratch cards

    So, the strategy is, the more mugs you purchase, the more scratch cards, the more entry you record and ‘the higher your chances of winning.” Unaware and unsuspecting customers hop in for the sweet deal without blinking an eye not knowing that every SMS you send of the code to the 5-digit code, you’re charged 10/- as that isn’t included in requirements, terms and conditions atleast for awareness. So, if you buy more mugs- it’s to their advantage, you get more scratch cards – it’s to their advantage as you’ll be charged more in the mobile network transaction fee unaware. And with cheap Keg beers they’re out to promote, targeting the vulnarable less fortunate families – low income groups who more often believe in lottery fallacy as the only way to get rich.

    Besides Pyramid schemes, recent ponzi scheme, now KBL with help of EABL are here with exploitative lottery scheme in the name of promotion.

    Having done my observations and research —of which many more other researches on the same have been published with regards to lottery schemes that’s becoming a menace in Kenya that even recently   The Betting Control and Licensing Board (BCLB)  banned radio stations from running lotteries and prize competitions over rampant fraud — it is the slums and the poverty rooted families that are always being targeted by the betting/lottery firms.

    If you take a walk or a ride to Eastlands settlement, slum areas in the City – you’ll find tremendous betting firm offices that offers these families free access to their betting sites being that most of the target group in these areas are percieved not to have smartphones, they lure them into addiction of instant virtual games with betting stakes as low as 10/-.

    Same situation here in Shikisha form na Senator Ushinde promotion where their mugs beer are sold as low as 50/-, 30/-.

    Now lets do this cumulative maths how these people are making huge sums of money and giving peanuts in return in the name of promotions. We must be clear that the target group is the low- income consumers who can only afford the cheap Keg beer and who believes in lottery as the only way to richness. This targeted group is a jobless group, and drinking is their business.

    Lets takes an example of Kiambu county, In a small size bar or pub, 10 friends in a day takes 4 mugs each, thats 2000/- in a day times 7 days a week for the addicts, thats 14,000/- times over 1000 such like pubs in one county – that’s 14,000,000 in a week times 40 active counties in the country out of the 47 counties thats roughly over 500,000,000 every week then add the 10/- scratch card charges for every 2 mugs purchased for this group every time the take two mugs for the next three months. The campaign is being run for 3 months before these prizes are given out. The billions of money being exploited in this scheme is almost the country’s annual budget.

    Remember as of last year 2020, the 2020 Comprehensive Poverty Report by the Kenya National Bureau of Statistics (KNBS)  indicated that 15.9 million out of 44.2 million Kenyans are poor, describing this scenario as an adult earning less than Sh3,252 in rural areas and Sh5,995 monthly in urban areas. Kenya is ranked the top beer consumer in East Africa and top 7 in Africa.

    Promotion prize offers.

    The promotion will feature an array of prizes, with the grand prize being Ksh. 10 million. Additionally, 5 loyal customers stand a chance to win Ksh. 2 million each, with Ksh. 1 million set aside to improve their community as well as themselves. Additionally, there will be airtime worth Ksh. 56 million, home shopping worth Ksh. 12 million and home makeovers worth Ksh. 2.4 million. 

    The innocence of KBL’s Senator Keg in lias with EABL aim of launching this exploitative lottery scheme in the name of promotion to curb illegal sales of beer and illicit brews is just 10%. Aim of exploitating unsuspecting customers is 90%.

    Sales of Senator Keg, a low-priced lager made from locally grown sorghum, rose by close to a third in the last financial year. According to a 2020 ranking by London-based firm Brand Finance, Senator Keg Lager emerged as among the fastest growing brand in Africa’s top 150 most valuable brand leveraging on a 10-million-man pool for drinkers – having grown by 88% to hit a brand value of Kshs 14.4 billion. It has earned its status due to a huge demand from price-sensitive consumers who are literally low income earners. Abuse of dominance is on course in this lottery scheme.

    The terms and conditions of buying more mugs to stand higher chances of winning, condition of drinking minimum of two mugs is harmful to health, its addictive method and they know it. These conditions encourages excessive alchohol consumption on the side of the consumer with an aim to get the consumer buy more, then also charge them more when sending the SMS codes.

    During lauch of the promotion campaign with Njoro of Papa Shirandula(middle) appointed the brand ambassador for the campaign

    This exploitation is underway with the knowledge of the authorities from EABL, Communication Authority, Telco companies: Safaricom, Airtel, Telkom – Consumers Federation of Kenya (CoFeK), Legislators in parliament. All in payslip to keep pin-drop silence on the scheme.

  • Court Suspends Sonko’s Revised Parking Fees

    Court Suspends Sonko’s Revised Parking Fees

    Big win for COFEK after the High Court ordered immediate suspension of the enforcement of revised parking fees by the Nairobi County pending the hearing. On Tuesday, Sonko-led Nairobi County government announced changes in the parking fees. According to the changes that were effective as from Wednesday, motorist were required to pay Ksh400 to park in the Nairobi CBD.

    SONKONOMICS: Nairobi County Divides And Doubles City Parking Fees

    Yesterday, Justice James Makau said the new rates will remain suspended pending further directions by the court which is slated to convene on January 21 for a hearing.

    While seeking the conservatory order,

    COFEK has petitioned against the new tariffs urging that Nairobi City County did not give motorists adequate time before effecting the changes. Cofek also argued it was unfair that the public wasn’t notified when the Finance Act was enacted into law on September 25.

    “You will be usurping the role of Nairobi County Assembly if you suspend the notice,” Nairobi County Government Lawyer Harrison Kinyanjui had asked the court to decline Cofek’s petition stating that the executive was enforcing a law enacted by the legislative assembly.