Exclusive: New Cashgate in Malawi, how Macra funds are abused

Malawi Communications Regulatory Authority (Macra) has become a gold mine for government officials, their cronies and the ruling Democratic Progressive Party  (DPP) who are dipping into its coffers with reckless abandon, Nyasa Times  can reveal.

Nankhumwa: More rot on him, connected to Macra plunder

Nankhumwa: More rot on him, connected to Macra plunder

Itaye: Macra is now cash cow for DPP

Itaye: Macra is now cash cow for DPP

Mervis Mangulenje, board chair of Macra: New form of Cashgate at Macra

Mervis Mangulenje, board chair of Macra: Presiding over looting at Macra

macra docmacra docmacra docmacra docmacra docmacra docmacra docmacra docmacra docDuring our three month investigation into the financial mismanagement at the communications regulatory authority which collects billions of Malawi Kwacha from communication licenses, we found that there are lies and colluding by senior government officers including some cabinet ministers to fleece millions of tax payers money into their personal pockets.

Nyasa Times will reveal in this investigative piece how K20 million was paid to a relation of a cabinet minister under the disguise of salaries for employees of Macra.

We will also reveal how the Ministry of Information played a cover up to ‘normalise’ the K20 million pay-out which we can reveal was shared amongst four people including the cabinet minister.

Nyasa Times will also expose how the whole Chief Secretary to the Government George Mkondiwa lied through his teeth about a 36 seater coaster which was meant to be used in a civic education campaign but ended up being donated to Civo United Football Club. Macra coughed up for the purchase of the Coaster.

There are so many shady deals that we uncovered during our three month investigation, here we go;

K20 million for ‘Macra salaries’

Earlier this year, we reported that Macra paid one Mayeso Chipyoza a cool K20 million which was meant to be a donation to cultural group of Mulhakho wa Ahlomwe in November 2015.

Soon after our expose’ Ministry of Information officials and Macra management which included some board members were running up and down trying to manufacture ‘evidence’ which was meant to ‘normalise’ the pay out.

Our investigation have revealed that the money which was paid to Chipyoza through National Bank transfer did not reach the intended beneficiary, Mulhakho wa Ahlomwe which was holding its annual celebrations on November 8, 2015. Chipyoza was paid the money on November 6, 2015.

Macra finance people described the payment to Chipyoza as ‘salaries’ in their bank transmission instructions which we have seen.

In their ‘wisdom’, Macra and Ministry of Information officials concocted documents to claim that the K20 million payment to Chipyoza was actually for the job he did by erecting billboards.

But they forgot to change the information at the bank, which up until today, shows that the K20 million which was paid to Chipyoza was for Macra salaries.

Now Chipyoza is not an employee of Macra to collect salaries on behalf of his colleagues and indeed as our investigations revealed, Macra salaries does not amount to K20 million in a month for an organization of a head count of more than 80 people.

We also found out that Macra wage bill is in the ranges of around K80 to K95 million a month and not K20 million. We also found out that Macra employees got their salaries on or around 23 to 27th November 2015, they did not get their salaries on November 6, 2015 as the bank transmission report indicates.

Cover up

After being caught pants down, Macra officials and Ministry of Information officials tried to cover up the blunder by creating memos to ‘normalise’ the payment to Chipyoza.

A letter from the Ministry of Information which we have found out was backdated to November 3, 2015 and was allegedly received by Macra on November 4, 2015.

But when you are doing something which is wrong, you are bound to make stupid mistakes.

That letter has a Macra stump ‘Received’ on November 4, 2015 and surprisingly, on the same letter, there is an instruction, written in ink, from the Deputy Director General John Bisika to Director of Finance Ben Chitsonga to facilitate payment but the date is November 3, 2015, apparently, this letter should have been still at Ministry of Information because Macra only received it the following day if their ‘received stump’ is to be believed.

The letter was requesting Macra to pay Mayeso Chipyoza for some billboards which he had erected 10 billboards at the cost of K20 million ‘depicting ICT Issues’.

“In order to promote Government agenda in ICT as one of its key socio-economic pillars, the Ministry of Information has engaged Mr. Mayeso Chipyoza trading as Pure Standard Service to design, print and mount billboards depicting ICT issues.”

“Our monthly funding has drastically fallen after spending on external travel for officers accompanying the President. As a result, we cannot afford to pay the bill or sustain the project on our own.”

“Pure Standards Service has produced ten (10) Billboards at a cost of K20 million. Please refer to the attached invoice,” reads the letter in part which was signed on behalf of Secretary for Information Justin Saidi.

Again if you are doing things you should not be doing, you make silly and stupid mistakes.

The ‘invoice’ that Pure Standards Services allegedly submitted was far from being true, mathematics wise.

It costs one billboard at K1 million each and somehow the 10 billboards which the company is said to have produced and elected cost K20 million!

Our investigations have revealed that Chipyoza is a close relation to Kondwani Nankhumwa, Minister of Local Government but formerly Minister of Information by the time these deals were being made.

Insiders said Nankhumwa is the one who influenced the appointment of Godfrey Itaye as Director General of Macra who swapped with Postmaster General Andrew Kumbatira at Malawi Post Corporation.

Nyasa Times has it on good authority that the K20 million was shared among Nankhumwa, Chipyoza, Macra Board Chairperson Mervis Mangulenje and Macra Deputy Director General Francis Bisika who authorized the payment.

The 36 Seater Coaster and Station wagon

We have also discovered that Macra paid a staggering K56 million out of its approved budget to buy two vehicles, a station wagon for the ministry of Information and a 36 Seater Coaster for the Office of the President and Cabinet (OPC).

There were also lies involved for Macra to buy the two vehicles which were not budged for in its approved budget.

In a letter dated November 22, 2015, ref no. MICE/CONF/02/10, Secretary for Information Justin Saidi wrote Macra Director General Godfrey Itaye asking his organization to buy the vehicles.

“As you might recall, the Ministry is working with the Department of E-government and the Office of the President and Cabinet on the promotion of ICT in the country.

“The project requires availability of vehicles. As our major institution trusts with support to ICT programmes, I kindly request for your support to procure the two vehicles for the programme as follows; One 36 Seater Coaster to be stationed at the Office of the President and Cabinet and One Station wagon 4X4 to be stationed at the Ministry Headquarters,” reads the letter in part which was received at Macra on December 8, 2015.

Saidi also wrote another letter to Macra on the same day, November 22, 2016 with the same reference number where he was asking Macra to help with printing of 2016 calendars in a bid to sensitize the public on ICT.

“Although government is running literacy programmes among its people in rural areas including provision of Boma Lathu Magazine, the outreach is not adequate to cover the populace…”

“….In a bid to sensitize the masses, the ministry is planning to produce developmental calendars for 2016 which could be distributed freely to the masses so that they are able to read, appreciate and participate in government programmes,” reads the letter in part.

“I therefore request Macra to support the procurement of the 2016 calendars. Detailed costs and designs will be submitted in due course. I look forward to your support,” reads the letter signed by Saidi.

This letter also was received by Macra on December 8, 2015.

On the same day, Itaye wrote his board chairperson, Mervis Mangulenje seeking approval to buy the two vehicles and to fund the calendars.

Mangulenje only approved the procurement of the vehicles and not the calendars, according to the handwritten notes on Itaye’s memo.

Mkondiwa lies

Chief Secretary to the Government George Mkondiwa lied through his teeth when he handed over the 36 Seater Coaster which was meant for the ICT programme to Civo United Football Club.

He told local media that when he received a request from the football club for a Coaster, government made funds available and bought them one.

We can reveal that the Coaster is the same one that Macra bought for the ICT project and we can sadly reveal that the ICT project of which the Coaster was bought for, has failed to take place. It was supposed to commence in January 2016.

Chipyoza not yet done with Macra

Although his relation is no longer minister in charge of Macra, Mayeso Chipyoza is still getting millions of tax-payers money from Macra.

In a letter dated 15 February 2016 to Ministry of Information, Chipyoza is requesting a 60% down payment for President Peter Mutharika’s Billboards in the two airports of Chileka and Kamuzu international.

Insiders said Chipyoza was paid a whopping K33 million for erecting the four billboards in Mzuzu, Zomba, Lilongwe and Blantyre.

“Following our successful completion of printing and mounting of 6×12 metres H.E’s Billboards in the cities of Zomba and Mzuzu each, in the second phase of the project, we therefore write to ask your good office for a consideration of a 60% down payment of the total bid valued,” reads the letter in part.

Inside sources confided with us that as is the norm, an instruction was given to Macra which duly paid the down payment without asking any questions.

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34 thoughts on “Exclusive: New Cashgate in Malawi, how Macra funds are abused”

  1. Malawi says:

    Ayi dithu DPP kuba yaonjeza. All they know is kusolola and prestige.Please God help Malawi. This is too much.

  2. Bush wa BK says:

    Are these pipo really serious? Do they really know how the tax payers struggle to pay their taxes they are now misusing? Do they know how mass ordinary Malawians are suffering? I thought you are there to serve Malawians, uku ndi kuwachapira a Malawi bulangeti pa mutu. Mukamakhala mudzimva phokoso la kukudandaulani kwathu and no wonder unduna ukatha, ndalama zanunso zimatha ife ndikumakulembani ganyu.

  3. Dickson says:

    The very big mistake in this story and that brings the story’s credibility is the emotional tone of the author..
    A writer can not use ” stupid” in his/her story for it now depicts his /her views and beats the whole purpose of informing the nation.
    Emotional stories like these tell alot about the writer beyond the information given.

    1. So you support the abuse of tax payers money like this!

  4. JOLOZA says:

    At the end of the day, all of us who are commenting here are stupid because we are going to do nothing about it. All we know is talk and talk, thats what us Malawians know. Our poverty will grow everyday and we will cry everyday whether we like it or not. I rest my case! Stupid Malawians!

  5. Three Angels message says:

    Lets just look at the surnames mentioned in the article, Kaphale, Mangulenje, Chitsonga, Momba, Itaye, Bisika, from which tribe are they all coming from? This should not come as a suprise. MACRA is one of the institutions that truly reflects how deep this cancerous tumor called Muhlakho has inffected Malawi.
    The dangerous tumor named above is now at an incurable state, the only solution for Malawi is look forward to the soon return of Jesus Christ.
    What do you expect from a Muhlakho dominated govt statutory corp.

    1. Mlhomwe wa pa phata says:

      You have a cancerous attitude my brother. Itaye is Ngoni from Ntcheu, Mangulenje is Yao, and Chitsonga is Ngoni from Mwanza. Your hatrade for Lhomwe is borne out of pure jealous arising from your own ineptitude. Don’t waste your precious time hating. Do something for yourself. Take charge of your life.

    2. Atitha ngati momwe anathera njoka mphiri la Mulanje ndithu!

  6. che uzi says:

    President uyu satithandiza. How can he stay watching these thieves without doing anything. Mr president don’t be silly, your government is becoming rot with shaddy dealers like nankhumwa and others at macra. Please do something before its too late otherwise your regacy will continue be spoilt.

  7. Mapwevupwevu says:

    A Chakweranso nawo ndi aja akuthetsa Chipani! Ndiye tilowera kuti????

    1. Kamampheska Kamilaza says:

      JB is waiting. PP is beckoning. That is the only true hope for Malawi.

  8. nganga says:

    One day all these things will be out? Who would have thought that Osward Lutepo, the billionaire would be behind bars. Chotera chinakumana ndi choyenda.

  9. Central says:

    A mayi Mangulenje nanunsoooooooooooooooo!! Inunso ndiye kayatuuuuuuuuu!!

  10. [email protected] says:

    gtx, this cashgate and corruption at its best. The guy is getting business because of this pig called Nankhumwa. Secondly, there is no bidding which means it is against the law. And also overcharging. There is no a billboard can cost more than K3million.

  11. kamangadazi says:

    Malawi is NOT POOR, but we the people are GREEDY, EGOCENTRIC & SELFISH. K20 Million? Why not sharing it AMONG MALAWIANS EACH FAMILY K20 Million SINCE YOU SAY WE ARE 17 Million. Kodi zangati izi sizingachitikeko nthawi zina? NANGAKUMANGONENA KUTI TITHESE UMPHAWI KOMA MUKUNGOTHESA UMPHAWI WANU? MILLIONS OF MKs ARE BLOWN OUT TO VERY FEW GREEDY INDIVIDUALS.IT IS TRUE THERE IS NO JUSTICE IN THIS WORLD. THANKS NYASA TIMES FOR THIS GOLDEN REVELATION, CONTINUE DOING IT WITHOUT FEAR & FAVOUR.MAY THE LORD OF JUSTICE LEAD YOU.

    1. Em Cee says:

      K1 aliyense

  12. [email protected] says:

    The best way to do it is to start shooting these thugs. APM will not do anything!

  13. Chikwanje says:

    After everything else is said and done Malawians will still see these economic thugs walking freely in the streets of Blantyre and Lilongwe. What hurts me most is that the lower middle class which is always the political change agent world over continues to sit phwi. Whether we are tired, frustrated or hungry to act against these ungodly people no one know. I still wait for a day when this madness of just walking into a government organization and demand cash will stop.

  14. zambiachabe says:

    kodi abale, anthu andalewa akatidyela kuchipatala? akubwezeletsa zomwe anaononga pa kampeni. Kumawadandaula, nde kumuyambapo BP

    1. Mainjini says:

      kaganizidwe kobwelera mmbuyo ndiponso kaumbuli. Ngati dzikoli lili ndi anthu 100 ku utsogoleri oganiza mopanda nzeru chonchi basi dzikoli likhala la umphawi mpaka yese adzabwere. Why can’t you all just hang yourselves so we have trust worthy people

    2. Central says:

      @Zambiachabe: I for one have no problems with your observations!

      However, these people need to be following procedures and not these crooked ways!!

      Mind you this is why every Jim and Jack whether messenger or mere officer in govt, they are busy stealing because they are tired of facilitating payments of the bosses dirty deals!!

      Malawian, let us stop promoting stupidity……………………………………………….!!

      Kodi kapena owelengafe tilakwitsa tikanena kuti zikuoneka ngati iweyo zambiachabe ndi abale anthu atchulidwawa! Mwinatu ndinu odyanawo mwinatu………………..!!

      Why the courage just to give such silly comments…………?? Iwe! iwe! iwe! Iwe! (zimenezo ndi mbama zimenezo) kenako thechiiiiiiiiiii Shatapu zanuuuuuuuuuuuuuu ndithudi!!

  15. Bricklayer says:

    Gtx….yes relatives even concubines of Cabinet Ministers are not prohibited from doing business with government or its affiliated institutions but can you convince us that the bill board project was put to tender to allow every eligible firm to compete?

  16. OMEX70 says:

    Malawi will never develop with these thugs(DPP) wrecking this country. Unfortunately Malawi has a lot of people who support thugs blindly. You will see them shamelessly defending the evils happening at MACRA here. God will fight for us in His own way and time if no one is ready to fight this malpractice.

  17. Free up black people says:

    I have read the whole story. There is nothing wrong, these are normal office transactions. Civil Service United ( CIVO) as we all know is sponsored by Malawi Government through the office of the president and cabinet.Where do you think government gets the money to sponsor CIVO if it is not from its organizations namely MRA, MACRA, ESCOM, BWB? Don’t just rush to write to dent a bad picture of Itaye, sometimes dividends from parastatals to government are not paid in cash only and this is normal.

  18. gtx says:

    Cashgate was about making payments to individuals and companies that did not render any services to the government.In this case,the Pure standard services owned by a Mr Chipyoza was awarded a contract by MACRA and it did the job as per their contractual agreement,therefore,you can not call that cashgate.The last I checked we did not have a law in Malawi that prohibits relations of cabinet minister from doing business with the government so the linkage of the hon. minister to cashgate is quite absurd.

    1. International says:

      gtx umadya nawo eti? Phuma limeneli ndiwe mmodzi wa mbava za failing govt

  19. Nzika says:

    Nyasatimes, when you write such stories in such a manner, you truly fulfill your obligations and satisfy our desire to know the truth. I hope main stream media is not just watching

  20. The Patriot says:

    Fact: our politicians are illegally helping themselves, their cronies and mistresses or masters from the government pulse!
    Action: all Malawians should wake up and forget their political, tribal , regional differences and demand accountability NOW!
    Otherwise these fatcats will stop at nothing to enrich themselves at the expense of you and me!

  21. be humane says:

    Thanks Nyasatimes for the report though your assertions and your evidence presented differ. Government was using MACRA to advance awareness on Governnment’s development progress. Is this the same as Government was using MACRA to advance DPP agenda? Though we have a thin line between the ruling party and government, the 2 does not mean the same. It is normal for government to request other ministries and departments to help it funding some of its activities. Study more on this and report back. Ignorance makes you present the truth and fail to present the issue

    1. Mwinachikaya says:

      kkkkkkkkkkkkkkkkkkkkkk

  22. Nachipanti says:

    Heads should roll in the cabinet and government parastatals. These people are paralyzing the economy. Afterall, do we need the billsboards with nkhope ya munthu amene akukanika kuyendetsa zinthu? Shame…

  23. Mfana odzisata says:

    Ben Chitsonga, you are unethical if these payments are passing through your nose.
    Its a shame people like you are bringing shame to our accountancy profession.
    Its high time ICAM’s ethics and Investigation committee does something about your misconduct !!!!!

  24. Bertha Chisale says:

    This is a well written and investigative story I have ever read on Nyasa Times. Keep it up! But Malawi being it is, instead of sacking and arresting these people, ACB will be fighting with MERA over some building project, The President will look the other way because he will remember that he shared a jail cell with Nankhumwa at some point. This is really sad.

    1. Donald Trump says:

      At the end of the day, we we will retain our position as the poorest country in the world with these thieves in government.

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