Media agency Scanad, which is a branch of Nairobi Securities listed firm WPP Scangroup has come out to deny that it took an irregularly awarded contract at Safaricom for the supply of media related services.
According to Scanad, the payment of Sh. 2.1 billion by Safaricom to the firm was paid in the normal cause of business. “”The payments are not in dispute. They were for the media that Scanad acquired on behalf of Safaricom for the two year period and production costs of TV and Radio advertisements, photography and fees for the agency,” the media firm said in a statement issued on Friday.
This follow revelations by a Safaricom internal audit report by KPMG leaked to the public and presented to the parliamentary finance committee on tender irregularities at Safaricom amounting to around Sh. 289.4 billion. The KPMG audit report revealed that Scanad’s Sh. 1.2 billion contract was one of the disputed tenders being investigated.
Scanad further confirmed that in Dec 2013 to January 2014, it participated and won a tender with Safaricom to process creative ad media services. “The contract was awarded for a one year period with the option for a extension for a further two years which was granted in 2015,” Scanad said in a statement.