Huawei exploiting Malawian companies

Barely few days after a Chinese technology company Huawei was threatened with a legal suit from Bengol Construction over delayed payments, the company has been embroiled in another scandal for failing to pay its local Malawian sub contractors, three years after finishing the contracted job.

Huawei sub-contracted several Malawian companies in its contract to construct a fibre backbone for Malawi Telecommunications Limited (MTL) which the Malawian companies successfully finished three years ago but they are yet to get their money.

One of the sub-contracted companies which did not want to be named confided in Nyasa Times that when the sub-contracted companies finished the works, there were supposed to observe a one year ‘warranty’ period during which they could fix any problems emanating from the works carried out.

 Huawei Vice President

Huawei Vice President

After the expiry of the one year warranty period, MTL were supposed to sign a Certificate of Acceptance (COA) but insiders said MTL is dragging its feet to sign the certificate because it is disagreeing with the monies that Huawei is demanding.

“The one year warranty period ended in September last year but because of misunderstandings between MTL and Huawei, we remain unpaid. Most of the companies used their own resources to pay our workers who were doing the job, others got loans from the bank, now we are just two months away into the second year waiting for our money, this is unfair,” said the Contractor.

“Huawei has a policy of not taking their clients to court and if we take this matter to court, we will be blacklisted and we will not do business with them again but they are being unfair to us, how can Malawian companies grow if they are being stifled by huge Chinese corporate companies like this?” wondered the Contractor.

“We want our government to know how we are suffering in the hands of these Chinese corporate bullies like Huawei. We will go to all lengths to expose them because they are being unfair to us, we want our money,” declared the Contractor.

“It is not like we did a bad job, MTL is making money from the fibre backbone and they system is working well, why is Huawei making our life difficult by not paying us? This is so unfair,” moaned the Contractor.

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