Procurement Authority suspends company for failure to perform contractual obligations

The Zambia Public Procurement Authority (ZPPA) has suspended Corporate Branding Limited from participating in public procurement for a period of one year due to failure to perform contractual obligations.

ZPPA Principle Officer-Public Relations, Inutu Mushambatwa, explained that Corporate Branding failed to provide contractual obligations for the Extension Power Station (NKBEPC) in Siavonga District.

Mushambatwa said ZPPA has therefore issued details of the suspension through Circular No.5 of 2023, which could be accessed on the authority’s website.

She explained that the suspension included any ‘successor in interest’ including any entity which employed or was associated with any partners, directors or other officers considered as successors in interest.

Details are that ZPPA in March 2023 instituted an investigations into the contract for the supply and delivery of DN300 Pressure Relief Valves to Kariba North Bank Extension Power Station at a cost of US$28,500 with a delivery period of eight weeks.

“During the investigations, ZPPA established that the contract for the supply and delivery of the DN300 Pressure Valves for the power station was extended several times from July 9, to February 2, 2022. However, Corporate Branding Limited failed to deliver the goods.

“Therefore, ZPPA has suspended the company from participating in public procurement for the period of one year with effect from April 13, 2023 for failure to perform contractual obligations in the contract for the supply and delivery of the requirements,” Mushambatwa said in a statement issued on Friday.

She stated that the suspension did not in any way limit the company from performing outstanding contracts that were entered into before April 13, 2023.

“ZPPA wishes to advise all procuring entities to enforce the suspension by ensuring that they do not award contracts, sell or issue solicitation documents in or in any other way invite bids from Corporate Branding Limited.

“The authority has further advised all procuring entities not to enter into any other dealings with or communicate with the suppliers except in respect of existing contracts placed to this suspension,” Mushambatwa said.

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