Exclusive! Fresh cashgate at Malawi army: Ministers in multibillion Kwacha corruption scandal involving Ashok Leyland of India

Cashgate is still alive and taking different form of existence.  Nyasa Times has uncovered a  multibillion Kwacha corruption scandal where cabinet ministers are involved in illegally ‘brokering’ a deal between the Malawi Defence Forces (MDF) and Ashok Leyland, an Indian automobile manufacturing company, with the latter negotiating to supply 500 units to MDF.

Deputy MDF General Supuni  and Malisoni Ndau (C)

Deputy MDF General Supuni and Malisoni Ndau (C)

Nyasa Times sources at MDF reveal that there is a requirement of 500 trucks to replace the ageing TATA fleet acquired over a decade ago. The trucks shall include top carriers, water bowsers, buses and other military logistic vehicles.

“When the MDF management discussed and agreed on the need to acquire a new operational fleet for the Army, the former Deputy Defence Minister, Malison Ndau, told management that he would raise the matter with cabinet before a final decision to float tender invitation is made.

“Surprisingly, he returned to us without any cabinet decision on the matter but in the company of former Information Minister (now Local Government), Nankhumwa and three other people of Indian origin,” said a top Army officer privy to the deal.

According to the source, it later transpired that the two ministers were accompanied by three Leyland Ashok officials whom they claimed were the most qualified suppliers of the required vehicles.

The Leyland officials included Mohan Krishnan, a Mr. Ramachandaran and Partha Chodhuru. Two of them were from Ashok Leyland Headquarters in Chennai, India, while one was from the local franchise in Blantyre.

The officials and the ministers met with MDF’s Director of Logistics Elias Kapalamula and MDF’s Deputy Commander, Griffin Supuni, in mid March 2016 at Capital Hotel in Lilongwe where a provisional agreement was made that Ashok Leyland should supply the required vehicles.

According to initial estimates, each vehicles would cost an average of USD100, 000, approximately MK65 million. The total deal may, therefore, cost the taxpayer a whooping MK32.5 billion minus shipping and other logistic costs.

The deal seemed to have been heading for a halt following the removal of Ndau as Deputy Defence Minister. However the source said his replacement, Agrey Masi, has joined the ‘bandwagon’.

“Nankhumwa has apparently succeeded to hook him (Deputy Defence Minister) up; he is already into it. The Deputy Defence Minister and Nankhumwa recently met two unidentified local Ashok Leyland officials in Blantyre. The two ministers were accompanied by Mr. Kapalamula, where he assured them the deal is done,” the Army officer claimed.

He also alleged that Kapalamula had already received an equivalent of USD100, 000 as a sweetener, while Nankhumwa and Supuni had allegedly pocketed USD200, 000 and USD250, 000, respectively.

The source said the ‘gang’ is now reaching out to Minister of Finance Goodall Gondwe and the Secretary to Treasurer, Ronald Mangani, two influential government officials that may determine the deal goes through.

The MDF is not a stranger to corruption-related matters. On May 11, 2015, the Anti-Corruption Bureau (ACB) arrested former Army Commander General Henry Odillo and his former deputy, Lt. Col. Clement Kafuwa in relation to payments that were made to Thuso Investments without supplying services to the Malawi Army.

They were charged with three counts of abuse of public office, negligence by public officer in preserving money or government property and money laundering. They are currently out on bail.

The ACB claimed it had established that the Malawi Army paid close to MK2 billion (about US$4.4m) for the supply of military gear but the company never supplied despite being paid.

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Abit
Guest
Abit
3 months 17 days ago

Amalawi sadzatheka. Tingopephera mulungu kuti achite nawo onse obera osaukawa. Muona adzingotha mmodzi mmodzi. Mulungu sakondwera ndi anthu ozunza anthu ake. Sikale tidza simba. Kwachuluka nkudzikundikira a Malawi ngati mudzapita nazo kumanda. Analipo ena anazisiya zikukoma.

mbuyuni
Guest
mbuyuni
3 months 18 days ago

Malawi watha, atsamunda abwerenso

Jeff
Guest
Jeff
3 months 18 days ago

THIS IS NO SURPRISE…
THE ENTIRE GOVERNMENT AT EVERY LEVEL IS CORRUPT AND FULL OF ONLY THIEVES..
ONE DAY ALL THIS WILL BOIL OVER INTO CIVIL WAR!….

ATTN FOREIGNERS!.. BE CAREFUL WITH INVESTING IN MALAWI.. THE COUNTRY IS STEEP IN CORRUPTION AND FOREIGNERS ARE EASY TARGETS. THERE ARE STORIES ABOUT FOREIGNERS BEING IGNORED BY THE COURTS IN THEIR ATTEMPTS TO SECURE THEIR INVESTMENTS..THE JUDICIAL SYSTEM INCLUDING LAWYERS AND JUDGES ARE CORRUPT AND XENOPHOBIC..

BUT SERIOUSLY SPEAKING…. WHAT DID MALAWIANS EXPECT FROM DPP GOVERNMENT?…
I GUESS THE SAME THING THEY EXPECT FROM KILLING ALBINOS FOR THEIR BONES!….

manguleje
Guest
manguleje
3 months 18 days ago

This Nankhumwa guy is a big thief. He is also the thief behind the termination of the macra’s spy machine contract with Agilis

Chindere Supuni
Guest
Chindere Supuni
3 months 18 days ago
Farrakhan Gani once admitted to me that he and his brother are engaged in some funny thieving business with Mutharika and the DPP. Amwenye amenewa awawa a Victoria Hotel, Kris Offset ndiye akuba koopsa. Farrakhan told me in my face that whatever happens, they have Peter Mutharika ion their bag and they will not let him go. Panopa they are hosting many DPP meetings at Victoria Hotel and charging government. State House has advised its entire staff that qualify for Hotel accommodation to use Hotel Victoria instead of Mount Soche and others. Kudyerera boma. Ndiye nkhani iyiyi ya Ashok Leyland,… Read more »
Chindere Supuni
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Chindere Supuni
3 months 18 days ago
Akubadi amenwa makamaka uyu mukuti Supni uyu. Supuni is ripping off Malawians through his shady dealings with amwenye especially Farook Gani of Victoria Hotel. Victoria Hotel anapatsidwa tender to supply foodstuffs to Malawi Army barracks and they claim over 600 million each month and give Supuni at least 30 million mwezi uli onse. These guys are getting rich at the expense of hungry Malawians ndithu. Supuni also gets around 10 million Kwacha from amwenye a Malawi Sun in similar shady business deals. The big Kahuna is also involved uyu mukuti Peter Mutharika. Gani has promised him they will provide about… Read more »
Mphwache
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Mphwache
3 months 18 days ago

Uyunso mukuti Azhar Chaudry wa SANA, akudya both ku Army ndi ku Police. Ndipo amwenye anzake akumutchula Best Friend wa uyu mukuti Peter Mutharika. Mwenye uyu anabwera pa Malawi 1999 alibe angakhale one tambala, lero he owns over 2,000 hectares in both Lilongwe and Blantyre and over 30 houses in opulent areas of both cities. Panopa ku Sanjika amangopita ngati kwawo, koma ife mbadwa pa chilomoni pompa VISA pass ya ku Sanjika ata.

Kenkkk
Guest
Kenkkk
3 months 18 days ago

The country needs completely new type of leadership, complete overhaul of leadership and our legal system.

As long as Peter and dpp are in power, corruption and cashgates will never stop nor reduce significantly. The same for pp or udf. Only new blood of mcp can reverse this.

I feel sorry and angry for this country.

Katapwito
Guest
Katapwito
3 months 18 days ago

Komatu boma ili silidzatheka. Kondwani Mid night 6 Nakhumwa analandilanso 10 Million from Godfrey Itaye ndalama za macra kumuthokoza chifukwa chompatsa udindo wa u Director General when the Minister was responsible for Information. This money was given to him ku Mangochi. His driver went there to deliver usiku when the went to open a meeting on District Councils as Minister of Local Government. Ziliko ku Malawi.

Enyezini
Guest
3 months 18 days ago

Federalism is the answer and medicine to the current disease that has

BigMan
Guest
BigMan
3 months 19 days ago

gutter journalism

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