Finance Bank demands US$1million from Nyasa Times: Mahtani claims defamation

Finance Bank through its chairman Dr. Rajan Mahtani has demanded One Million United States Dollars (US$1,000,000.00) from Nyasa Times as damages in a defamation claim for a column is published recently.

Mahtani. Chairman of Finance Bank

Mahtani. Chairman of Finance Bank

Mahtani and Finance Bank of Zambia have hired Malawian law firm Mvalo and Company, seeking the damages  over an article authored by Lowani Mtonga, saying it “ falsely” stated that in the way of their business that Finance Bank opened ghost accounts and that it is a dishonest bank which engaged in criminal activities .

The lawyers also said the article stated  that Finance Bank Chairman, Dr. Rajan Mahtani, is also in trouble in Zambia over malpractices and corruption allegations and that in Malawi he must have also palm – oiled people who make decisions to allow Finance Bank to reopen.

“The article goes further to urge Malawians not to open accounts with Finance Bank, to keep far from it, implying that their money would not be safe with the bank as it would be stolen.”

The article complained about was published on 19th February 2015, titled “Is govt serious to allow Finance Bank to re – open in Malawi?”

But author Lowani Mtonga, former national director Media Institute for Southern Africa (Misa) Malawi chapter, argued that Finance Bank owner is trying to use law to silence critical media, saying whatever is on the internet is public information.

The Reserve Bank of Malawi report is clear about the corrupt activities of Finance Bank and why the Bank was closed it down in the country, Nyasa Times columnist further argued.  He said that Finance Bank owner was in trouble in Zambia is also public information and hyperlinks in his article were provided to show the evidence.

He continued that “as a patriotic Malawian, I have my views about the bank. And my view is that Malawians should shun this bank. Whether people agree with my opinion or not is not important. But I have made my opinion. Why should Malawians support a bank that did so much damage to our economy by externalizing forex illegally?

“Secondly, there is nothing wrong to suggest that money might have exchanged hands. In fact, there is strong suspicion that money exchanged hands. The Mail and Guardian actually wrote that story.

“It is the duty of media to question certain decisions made by policy makers. That Finance Bank was involved in corrupt activities is a well-known fact.”

Mtonga stated that to close a bank is a very serious issue. In many countries, they would not allow that a bank that has been closed down to resume operations.

“And the citizens have the right to raise eyebrows, more especially media reports are circulating that there is some fishy going on. Journalists and members of society have the right to voice their opinion on any issue that is of public interest. While Finance Bank is a private institution, it is serving the public. Therefore the public has the right to know how it conducts its business. This includes carrying out background checks. Media as watchdog of society have right question practices.

“Given the fact Finance Bank was involves in corrupt activities before, people have the right to voice their concern opinion even to suggest to boycott its service. For example, in South Africa some NGOs including COSATU have been calling on the business community to boycott buying products from Israel as a sign of protest of her behaviour. There is nothing [wrong] with that.

He added: “When we say Malawians should boycott the bank we are not implying that their money is not safe. But it a sign of displeasure at the way the bank behaved itself that led to its closure. It is our right to express this view. If it were in other countries those involved in transferring forex illegally were going to be charged and jailed.”

He also pointed out that information indicating Finance Bank was involved in corrupt activities is contained in the Reserve Bank report.

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79 thoughts on “Finance Bank demands US$1million from Nyasa Times: Mahtani claims defamation”

  1. Zamu zamu says:

    Mahtani looks like Mr Bean.Are they related?Tell him to open his bank in Lahore.We have so many banks in Malawi at the moment.Ndikangoikako pin kumeneko.

  2. luvolwethu mpeta says:

    diphiphi wellwishers hehedeeeeeeeeeee!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

  3. ZOWOPSA says:

    I said it a long time ago. That this internet Troll site with no face and no name will be shut down or sued. for racism, hate speech and promoting tribalism. Even in the west where Freedome of speech originated there is responsibilty. And this one thinks it can post scandalous news, defamation news and even pornographic pictures without being censored. I dont condone Corrupiton by goverment or any other foreingers to take advantage of malawians. no. But A responsible journalist doesnt give warinings he just gives information . I think its a long time coming to CLOSE THIS SORRY EXCUSE FOR FREEDOM OF SPEECH DOWN. sue them and make them bankrupt so they will never post nonsenes again.

  4. KING SOLOMONS PALACE says:

    LETS CHECK INTERNET ABOUT FINANCE BANK .THE BANK MAY HAVE A BAD RECORD.IF SO ,THE LAW SUIT IS A WASTE OF OUR TIME WE READERS HAV MORE IMPORTANT THINGS TO READ.

  5. tikhala says:

    Ndifunseko, kodi a mutharika mukudziwapo chani za kusowa kwa ma albino?

  6. ben says:

    RBM have been palm oiled so they are alllowing exporters to keep 100% of export proceeds this is a serious threat to the Kwacha, depreciating ife ti afa njala as things will again be unaffordable. Crooked exporters will take advantage please investigate

  7. Havez al Sahalaaw says:

    A ACB mwanva kuti ku Raiply kwavuta. Pitaniko msanga Malawi asanaonongeke. Nanunso a MRA muli phwii Raiply ikuba Tax. Mufunilanji umboni wina.

  8. Afa Peter Mukaika APM says:

    Some people stupid people are saying its about time nyasatimes is sued going further that it needed to investigate before publishing the article. You know how DPP operates by the time nyasatimes have finished investigating, Finance Bank would have opened and alot of people would have arleady been duped. This bank is were a person would cash a government cheque on a counter in Zambia let alone if it once again operated here in Malawi. Wake up Mathanyula bootylickers

  9. M'doko says:

    Kodi ma office awo alikuti tingowamatchapo asatitore amenewa tibele kangati ndipo mhiiiiii…….h!

  10. Chibanja tv says:

    Yes, freedom of speech has boundaries now that Nyasatimes is famous for all sorts of defemation, I am not surprised!. Now is busy promoting Allan Ntata with his stupid postings on the face book against the government. Lets wait and see how the courts will determine this!

  11. Gule Wa Mkulu says:

    A corrupt government would allow a corrupt bank. Remember DPP is in government bcoz of corrupt lawers of Malawi. How do you make laws that promote corruption. Forfeiture act if Kamuzu time was designed to stop corruption.

  12. Nya Zolozolo says:

    We don’t want them and tell them to go and open in India or Pakistan

  13. William Banda says:

    Mlawians please some of us have opened accounts with NFB because these other banks have crooked head of credit guys who demand money before they approve a loan.

    In Malawi we have Fatch as well who lends and grabs propery but without such people economy cannot move. They lend money in 2 hours pomwe ma bank athu take a year to lend ngati sunanyeme. BRAVO NFB hammer Nyasa Times.

  14. KUKHALA says:

    A MWENYE KNOWN AS FIRST CROOKS IN THIS WORLD . WHY IS THE FINANCE BANK (FB) TRYING TO BE A CLEAR BANK WHEN THE WORLD OVER KNOWS THAT FB IS OWNED AND MANAGED BY CROOKS AND CORRUPT INDIANS.

    1. Malawian says:

      Khukhala you must kearn from your African Neighbours. Every comment on Nyasatimes is anti asian, anti white and anti every race othere than African. In every instance, Indians are blamed for corruption. Have you been blinded by the infamous 92 Billion Kwacha cashgate saga ?

  15. Malawi wa Lero says:

    Somebody on this media said, we need some kind of revolution in this country. I entirely agree with that schoo of thought. Nothing seems to work well anymore. At Raiply, indians have bn bribing the whole chain of important people including govt officials, politicians, chiefs. The said people go there at regular intervals to collect money. The company has been harvesting huge areas of forests while paying very little to the govt in return-worse than cash gate. Some caring Malawian must do an audit which include the money realised against the forest that these Indians have harvested. Employees work like slaves and the CEO who has overstayed in this country says he does not care about Min of Labour or Government because he pays them. There are nearly 200 casuals who have worked 4 more than 2 yrs and r still working as casuals. The Factory Manager who is known to have aids has been sleeps with female employees including people’s wives. He is sleeping around with daughters of employees around the factory and nothing is happening to stop him and it’s obvious that he is spreading the deadly disease. The police at Chikangawa, mabungwe, local chiefs know what is happening but they are helpless. Please help!

  16. yosefe Bola says:

    Why Finance Bank want sue Nyasa? Don’t take Malawians as sleepy dogs. We don’t wanr u in Malawi. Forsake

  17. prince says:

    Pls do not allow that idiot bank to operate in out mother Malawi

  18. madzola says:

    Amalawi ambiri ngosaphunzira Ndimawona ma comment ambirI ngosaphunzira komanso kusavetsa nkhani ambirinu chizungu simumva

  19. Kangwa says:

    If you allow Mathani to operate in Malawi you will have yourselves to blame. Us in Zambia have lost all to this criminal who is involved in maney money laundering transactions and uses finance bank to lend money to unsuspecting customers and the end grab property from them. Don’t say you were not warned. Obviously your reserve bank people were bribed to re-register finance bank, this am very sure happened because mathani is good at buying off influantial people including politicians. In zambia mathani bought off Mr Sata, the late republican president. So be careful!

  20. Jihadi John says:

    This is the bank where people could cash a government cheque in a business name on the counter. Chuka is the weakest governor ever for allowing this nonsense!!

  21. MBACHI says:

    Comment…..stupid bank, we do not want you.

  22. MBACHI says:

    Comment….MATHANI THIS IS NOT YOUR HOME. GO AWAY, THIS IS NOT YOUR HOME. IF WE MALAWIAN, THE OWNERS OF THE LAND DO NOT WANT YOU THEN JUST PACKUP GO. STUPID GO TO HELLOW WITH THOSE MALAWIANS YOU HAVE CORRUPTED.

  23. Nyamkaka says:

    I do not understand this Rajan guy is trying to achieve. What is he disputing here? The truth is there.
    This bank was closed down for malpractices, what is he trying to dispute? Thumps up Nyasa Times. You have hit this guy where it pans most. His bank was involved in illegal activities. What is he trying to defend? It is not a secret. Can he tell the world why his bank was closed down. After it was closed down lawyer Kuze Kapeta was appointed to ensure that all were paid their money.

    It very unfortunate that this bank has re-opened when Citizen Insurance, a Malawian company, owned by Malawians was closed down on very flimsy reasons.

  24. pamsundu says:

    CommentNo comment

  25. Reasonable Man says:

    Mahtani, even your face shows that you’re a crook! Sue me.

  26. mzamba wamkulu says:

    viva nyasatimes. asowe mwenyeyo no dictation to us.

  27. charlie hebdo says:

    Mr Mathanyula, please leave Malawi and Malawians alone. Go to RSA and do business there. In ZAR you will be dealing in forex. Malawi kwacha is not forex, so dont insist in doing business here, please Mr Mathanyula…

  28. Kenkkk says:

    The corrupt bank whose owners are friends of DPP govt now in collusion want to bankrupt nyasatimes and close it. All because DPP can’t stomach nyasatimes and now use this mwenye bank to sue nyasatimes to silence its news.

    You people are really failures in honesty!! DPP you just disgrace yourselves by associating yourselves with these Asians. Only foolish greedy and corrupt Malawians are friends with such people.

    You will not scare Nyasatimes and we will Meet you head-on. That bank’s horrible reputation is everywhere to see.

  29. ganizani says:

    I have an account with finance bank and I see it’s services one of the best

  30. Let the nyasa talk not money talk

  31. clever says:

    lawyer amene atetedze finance bank mukhoti is risking himself

  32. We don’t want Finance Bank in Malawi. The Reserve Bank of Malawi and other policy makers need to investigate first before allowing Finance Bank re-open in Malawi.

  33. chakhalira says:

    The Very, Very truth of the matter is that this Bank has never ever had any integrity in their transactions. The serious problem we have is our Reserve Bank of Malawi Management. How really did they accept in the very first place to open / register this Bank in Malawi when stories were already ripe that this Bank was sent packing in Zambia?

    Then we saw what this Bank did and the Reserve Bank closed its operations. To day the same Reserve Bank of Malawi says, yes start your Banking services, but in a new name although the Management is the same. This is insanity at its best. The integrity that used to be in the Reserve Bank of Malawi has also been eroded to the very bottom. Katangale ndi mu Reserve Bank momwe!!!! Management with real integrity would not have accepted this nonsense. You punish Citizen Insurance Company and smile at this failed Bank. Really?

    Think twice if you can. Hey, Reserve Bank of Malawi do you work under the intimidation of politicians? If you do, then shame to Reserve Bank of Malawi!!!!!!!!!!!

  34. Junia-Jr says:

    I’m Zambian and i can tell you my brothers and sisters in Malawi not to bank with Finance Bank…. Mathani is a well known criminal in Zambia, he lends money and grabs property.

  35. Dick says:

    ZITSIRU IZI USAZIOPE

  36. Matako says:

    corrupt institutions trying to muzzle the media. We Malawians know better. you can try to silence those who speak for the voiceless but the fact still remains the same you are not welcome in our country. You can buy your way by corrupting the current administration , it is people and organizations like nyasa times that will continue exposing you. You are a cancer to our economy and the powers that be. Please take your business else where.

  37. Ngungudya says:

    Asakuwopse mphwanga work up phwtikiziyo akatengeso loya phwitikiziso iwe mmalawi lawer ok ingomudyerako

  38. Nanchunjule says:

    Ndikonkuno Ku Malawi komwe amwenye amangopanga zomwe akufuna chifukwa cha kupeleka a Malawi komano kwa ife amene taendako timadziwa momwe eni dziko amakhalila ndi mphanvu,amwenye akutibela kwambiri

  39. Fathara says:

    My friend wayakhula mokwana. Koma umboni ulinawo okazitchinjiliza mu court?? Chifukwa a Nyasa times mumafulumila kulemba musanafufuze zowonazake. Sopanotu court limafuna umboni weniweni osati ongoganiza ndikumayakhula. NGATI A NYASA TIMES MULI NDI UMBONI ZABWINO ZONSE. KOMA NGATI MULIBE MUVULALA KWAMBILI MUCHENJELE.

  40. Yankees says:

    Dont intimidate our Media aisee! We have enough Banks in Malawi and dont Fool Nyasa, U are just waisting your Time for nothing, our Lawyers (ma Lova) mudyereni ameneyo mumuchite cashgate kankhanika asadzawine, ma Judge athu love your Country, kutumulani ma adjourn heavy adziwe Town ameneyo::.

  41. Manyasa says:

    Bank of thieves

  42. sain it like it is says:

    its about time someone sued nyasatimes…your stories are full of accusations with no proper evidence…but on the other hand yes this bank is run by crooks and shhould not be allowed in malawi but i hope your court gets u the 1 million usd from nyasa times..so both of u can learn a lesson

  43. Zija says:

    Dr Mahtan u are to die in Malawi, we are not fools. Nobody forgot what u did to this nation last time, if u want to die prematurely, just come

  44. The Patriot says:

    Kutiopsyeza dziko lathu lomwe? We will meet in court!! No fear, we are poor but proud Malawians! The corrupt will not prosper in Malawi!!

  45. walijechi says:

    Mukafotokoza ku court zimenezo.

  46. Palikanthu says:

    Thieves, thieves, who do you think you will scare with your cheap tactics, Nyasa don’t be intimidated. Finance Bank think twice we know your shady deals

  47. Geoma says:

    The fact still remains that this bank was engaged in corrupt practices that’s a permanent fact. Let me tell Mr. Chairman the fact that you have been allowed again does not mean you were not engaged in corrupt practices therefore the best you can do is just remain quite and continue wooing customers to which I know it will be only your friends and few,people who have no background of your bank. If you were not in the wrong why was the bank closed and you did not sue Govt and why you changed the name to New Finance Bank now?

  48. Taweni says:

    I thought authorities put rules and should these be breached then you can say the latter.

    Malawi needs investors. And Malawi is not a darling to foreign investors.

    Citizen

  49. here we go again says:

    I think they should re open, coz thats what they want, and no malawian should open an account or do any kind of business with them, what will happen? Bankrupt will follow and so the closure of the bank and, simple, thats my views

  50. anabel mitawa says:

    Who in their right senses can bank with Finance Bank today?

  51. Suja says:

    In Malawi we have the problem of Economy. Why the Gvt allowed the Finance Bank to re-open? It must be closed as stated in Company’s ACT.

  52. Ngongoliwa says:

    SHAME TO FINANCE BANK!! IF YOU CONTINUE YOUR LAW SUIT YOU WILL HEAR FROM US MALAWIANS NOT RBM OR CAPITAL HILL, CHECK YOUR ACTIONS. NYASA TIMES VIVA!!!!!!

  53. chatonda says:

    Tell the Indian that we have enough banks already in the country such that even the Malawi government is selling two of its banks to private thieves.

    he should just smile that he has been allowed to open and not start with conflicts here in Malawi. He should decide whether to open or end up claiming the defamation money from Nysa times and that is the end. Get lost you cash gate thieves that is ready to be used by thieves oin government again after Milton Kutengule’s saga with the same bank.

  54. Galu WA galu says:

    There is no smoke without fire. MALAWI has opened up. Indians have used Malawi too much too long. How did they end up in Africa? Colonial masters. Zone ziri ndi thawi.

  55. inayake says:

    Parliamentarians, you honourable gentlemen should get to the bottom of this. Goodall Gondwe should be summoned to explain himself. First comes MSB and Finance Bank. If not summon Chuka, the RBM Govenor to parliment and explain why and what is going on.

  56. ago says:

    Nyasatimes give us the story about overcrowding in our prisons.urgent. Anthu akufa. Choonde Boma tulutsani a milandu yingonoyingpno.

  57. Bololo Wachitumbuka says:

    Pelekani ndalamadzo!! Vuto malipoter aku malawi mumachitakuonesela mbali yanu, be like BBC reporter ama dzudzula mozembelela not the way u do!Comment

  58. Wawamba Jones says:

    My Dear Countrymen,
    Lowani Mtonga has been palm oiled by a certain Indian to tarnish the image of Mahtani for the reasons Lowani does not know.

    Mahtani & this fellow Indian are on a fierce fight not only in Malawi & Zambia but also in Africa region & Asia as well. They both competed for sale of a certain bank. Mwayiwona!

    The good thing with Mahtani is that he is able to pay his emplyees well while the other one find out for yourself. Please also check how many Indians have been employed by each Bank?

    i rest my case.

  59. Nachipanti says:

    Message to Dr Rajan Mahtani. This is Malawi and Malawians are not fools. You cannot force us to do business with your crooked bank. We know what happened when the Finance bank was closed and this time Malawi wont give you the business you think you will get. Nyasatimes told you the truth and the truth pains but shall set you free.

  60. one malawi one people says:

    finance bank r a bunch of thieves they help amwenye to steal/externalise our hard earned forex ….they shdnt b allowed to come back…..ngati akulimba mtima suing the media ndiye they have corrupted the gvt officials…..and they have bn given a go ahead…. nanga akulimba mtima ndi chani?……they want to silence the media…..thus nonsense!!!!

  61. mzwanya says:

    No sane Malawian will open and deal with this bank. They are Thieves and this time they want to reclaim what they failed to steal from Malawians.

  62. frank says:

    There is another indian owned bank too that is very crooked and think it is above the law.the best opion is to expose them.

  63. ago says:

    Mtundu wokonda ndalama anthu awa iiii.

  64. chilungamo says:

    Malawi is rotten. Do not allow these people steal our hard earned money. Do not allow them to open. Or we will call for Demos. Where are our NGOs. But if it were politics then you will be calling for Demos. Kapito uli kuti tulo basi. Consumer association association chani – Manji basi. Act now to stop this madness of these Indians to steal our money again.

  65. ago says:

    Why are they demanding damages in US dollars yet in Malawi our currency is the Kwacha? Dollars easy to externalize? Where in the world can Nyasatimes get that amount of money? Mwaeapeza kwawo sanabwere kwanuko there is freedom of speech here tiri kwathu kuno donor intimidate us let people judge for themselves.

  66. bonya says:

    I have a friend who was at RBM and was privy to the issues that led to the closure of this bank. He expressed dismay at it re-opening. Is RBM serious about re-opening this bank or has the level headed Charles Chuka been arm-twisted by the politicians? Cry my beloved country, Malawi”, he said in disgust.

  67. Jelbin mk says:

    We have this stupid and corrupt minister of finance in the name of Goodall who does every shirt cut as long as someone has palm oiled him he is the most corrupt minister ever remember how he made our country loose billions for his short cuts in the procurement of fertilizer subsidy program.

    1. kes munthali says:

      The licence was reissued by the PP government, after a rumoured meeting between Abiti and Manhtani. This has nothing to do with Goddall.

    2. JJB says:

      Government is a continuous process.

      The opening of this Bank was Authorised by Joyce Banda.

  68. Zanga Phee! says:

    This is very pathetic looking at how the situation we are now as Malawi,If Dr Rajan is a real Malawian he has to sympathize to his Nation,Other wise he still got gins of his origin and he is pron to defamatory to Malawi our Beloved nation.India is growing fast on it’s economy all Indians nationals are flocking back to their country after being impressed with their economy
    So as Malawi as a whole should have intellectual individuals who can disclose information that indirectly kills our economic muscles Mr Rajan should withdraw this case if he is a true Malawian.See My Name.

  69. patel vin says:

    This very corrupt bank. Dont keep your money there

  70. katundu says:

    Even the chairman looks very corrupt

  71. kawasaki says:

    This a very corrupt bank.

  72. Search me says:

    He He He well well well… At last Nyasa times gets dragged to court over what and how it chooses to report issues it was just a matter of time before it happened I cant say I am surprised you have been mud slinging long enough!

  73. Matongo Phiri says:

    Any sane person in this country should avoid Finance Bank and this FDH (mUHALKO BANK)

  74. Those are investors dont just write stupid articles.

  75. Lizwelithini says:

    I agree with you mr. Mtonga the bank is full of tsotsis from India therefore the government of Malawi must not allow this bank to reopen again.

  76. brutsha says:

    And some corrupt officials allowed this bank to re-open!
    My God!

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