‘Malawi needs a revolution’: Suspicious K577bn cashgate report by PricewaterHouseCoopers

Typical of all audits, PricewaterHouseCoopers report has figures, graphs and pie charts to aid our understanding of how much we have once again been screwed of our tax money.cashbook

When all is calculated, K577 billion cannot be accounted for in the national treasury.

The figure has been arrived at after an analysis of 1,788,295 bank statements detailing payments between January 1, 2009 to December 31, 2014 which were then matched against the total number of payment entries in the cashbook which was 1007075.

This comes down to 781,220 entries not being accounted for representing the loss of a cool K577 billion.

Any Malawian who does not get angry with this should know that there is something wrong with them.

I have said this on many occasions and I will say it again.

This country can balance its budget and do away with the overly patronising donors who think they can come here and lecture us on everything as if we were their children.

This country can develop using locally generated resources and deliver quality social services to our people.

But there is just one problem and it is the heartless thieves in government.

It starts with the politicians who go into government with only one thing in mind which is to enrich themselves, their cronies and family. And then there are technocrats who follow closely what the politicians in government are doing and they too get their own cut from the deals.

Simply put, there is wanton theft of our tax in government even right now.

I can even challenge that next year some donor can fund another audit of whichever period they want and the result would be the same: Loss of billions and the figure will keep rising.

Yet this present report is very suspicious. Let us also not forget that the DPP government never wanted Malawians to see it and the question that we must answer is why?

It has no names but just figures. It is clear that K577 billion was stolen but by who? The DPP said we can only know this after some 10 months following another audit. This one was funded by the Germany, who is going to bankroll this subsequent one?

The terms of reference for this were very clear to Malawians and it was that it will cover the time that the DPP was in power from 2009 to somewhere 2012. Did this change midstream to include the Joyce Banda administration through to December 2014? Why was that so?

Is it not curious that the PP is bearing the full brunt in that the report says out of K577 billion, K350 billion was lost under the watch of Joyce Banda?

The Baker Tilly report funded by the British government covered the Joyce Banda period. Why the duplication? Now which report should Malawians believe? This one funded by the Germans or the initial one funded by the British?

This is all suspicious and the DPP government has a lot to explain to Malawians especially in view of the fact that they never wished Malawians to see any report but were coerced to release it because the opposition MP threatened to torpedo the budget which has just been passed in Parliament unless the document was made public.

Yet, we, Malawians must rise up and say boldly enough is enough. We cannot allow theft of hard-earned tax to continue unabated.

This country needs a revolution and now. We have been screwed long enough and it hurts.

  • This article appeard in the Malawi News of June 27,2015 under the columb of ‘Hitting the Nail’
Follow and Subscribe Nyasa TV :

Please share this Article if you like Email This Post Email This Post

More From the World

48 thoughts on “‘Malawi needs a revolution’: Suspicious K577bn cashgate report by PricewaterHouseCoopers”

  1. Zebede says:

    The article was well presented, but Kasakula would have made it complete if he attempted to go deeper into the catch word “Revolution”.
    What is revolution? It is a fundamental change in power or organizational structures that takes place in a relatively short time. It comes from a Latin word “revolutio” meaning “turn around”. Revolutions may arise due to widespread frustrations with economic, social and political situation, disequilibrium between resources and demands or when two or more competing interest groups can’t come to terms within a decision-making process. Malawi is currently facing a lot of challenges ranging from political leadership deficiencies, poor socio-economic programmes/decisions, inconsistences, undemocratic decisions and many more. Malawians are held at ransom in their own country by people they entrusted with powers to govern the nation on their behalf through voting. Confronted with such unpalatable situations, one would be tempted to try something else.
    So, why revolution?
    1. Well-thought change may result in present situation being different from the past, i.e. better than the past.
    2. The new situation creates opportunities for a change to occur because such a situation is now sufficient enough to cause a change.
    3. All people will unanimously agree on the best course of action to bring about changes that result in improvements.
    Result of revolution:
    Major changes in culture, economy and socio-political institutions. This will likely result in the transformation of political, social and economic structures to the satisfaction of all people.
    Example of change:
    Federalism. It would be worthwhile to consider this type government system and who knows it may resolve some or most of our current and future problems. Let those in authority give federalism a chance and avoid fearing the unknown. All Malawians want to partake in the national cake and not just the few. This can only happen if the current political system changes to accommodate the majority that are disadvantaged in the current set-up. The behind-the-scene sale of MSB is an example of a govt. system that has lost its taste/salt. Thus, revolution is the way to go if we are to bring sanity to our so-called democratic leadership and the populace. Food for thought!

  2. Taweni says:

    I NOTICE ONE METHOD OF PAYMENT DOES NOT SEEM TO BE COVERED. THIS IS THE MODE OF PAYMENT THROUGH STANDING ORDERS TO CREDIT BENEFICIARIES ACCOUNTS.

  3. Guys do you believe that the report of out side auditors is correct ok it is correct but look back Malawi was on mentioned years budget over 200bm per year and how much monies were stolen per year? ask yourself does this report similar to 13bm please remember those MP could not allow budget of this year to pass if ineed the report is like with 13bm
    Truely nobody will be arrested on this blunder
    please not that politians are on no one of these
    (1) praying
    (2) killing
    (3) lying
    (4) and giving
    you will rember my word leave them mind your business

  4. Sekulu says:

    Mr Keen Observer gets it all wrong.

    Firstly enlighten us what suffering means and for your knowledge’s sake, the dead do not suffer.

    The fruits Black South Africans enjoy today came through struggle and indeed blood letting, if need be. The famous 1960 ‘Sharpeville Massacre’ and the 1976-1986 ‘Soweto Uprisings’ are such examples. Thousands lost their lives in the process of fighting for basic rights. And today our brothers trek down en masse to partake of the milk and honey there, despite being flogged and butchered alive.

    On the local seen, in 1915 Chilembwe and the other patriotic brothers sacrificed their lives in search for basic rights and the future of this country.

    In 1959 the people of Nkhata-Bay shed their blood for me and you to enjoy the fruits of our toils. Malawi became independent.

    In 1992 Chihana and his group got bundled into our infamous jails. Some lost their lives for you and me to enjoy the fruits of multi-party democracy.

    In July 2011 20 Malawian lives were lost and for your knowledge’s sake, no president will copy and paste Bingu’s arrogance on our lives without thinking twice. Therefore, whether you like it or not its a question of time, it will happen again.

    Now, what do you call a situation where you cannot receive medical treatment because drugs are not there? You have to pay for primary school teacher training course? teachers cannot be employed yet teacher/pupil ratio keeps widening? You are expected to pay mortuary services. The list is endless. Have you therefore ever thought why all this now and its impact on your well being?

    Please stop thinking whilst looking down but think whilst looking forward. Life is about making sacrifices and not that we always want to but that sometimes we do not have a choice. Research and analyse just to put yourself in the know or simply watch from the sidelines.

  5. Utawasala says:

    Malawi has very crooked politicians. I wonder how the opposition could pass the budget without looking into this k500 billion cashgate report. How self is the money that has been approved to help malawians. All MPs both government and opposition are crooks and they do not love their Country and it’s people, if they did they wouldn’t allow this budget just by being promised to look into report in 10 months period what a nosense?

  6. Nobody voted for these thieves they are there because of Chilima

  7. Balamanthu says:

    Kasakula has written a wonderful article which jolts us all to start thinking.I like the title of his story that we do need a revolution at personal level by thinking differently and being more patriotic and holding thieveing and lying politicians to account or demand action.The report being referred to requires massive demonstration or demand an early election.When we lecet people into power, we do so because we trust them to run our affairs very well.Given what we know, what is there to show for DPP and give them the credence they so much yearn for and have little to show for it.Lets introspect at individual level and escalate the same thinking to the national level.Kasakula well done for keeping us on the rails!

  8. dan says:

    A Malawi ndife at tulo komanso amantha. Chomwe tingathe ndikuotcha wakuba K1000.00 kumusiya wa amabillion ati chifukwa anaba masana . K1000.00 inabedwa usiku mwiniwake akugona; Wake up Malawi! Don’t behave like fools

  9. mutharika and goodall are thieves says:

    In 1992 there was a revolution in malawi. In 2015 we need another one to end the stealing of public resources

  10. phodo says:

    Are all these people contributing to this column Malawians or they are Egyptians telli Morsi to resign or face bloody resistance, neither they are Brundians telling Mkulunziznza to resign or face bloody situations. I consider you to be Greeks whose economy is in shamble as if Greece is in third world war. I mean as if it is not the home of greatest world thinkers like Pluto, Socrates, Archimedes, Herodotus, Hippocrate, Pericles, Aristotle,democritus, Pythagoras, etc (ETC stands for End of Thinking Capacity add more ….).
    I mean naturally Malawians are God Fearing nationals. Possibbly because of the bloody shed that took place in Malawi during John Chilembwe. We dont want any more blood communication.

  11. Kaziulika Chimugonda says:

    Our President is a well educated man. In Western world where he was educated, in such situations people of his status just resign. He said, he will not shield anyone implicated in plunder of state resources that includes him too. This will paveway for further invistigations. I trust our president is a patriotic Malawian who wants to see this country develop. He will release the report with names of thieves. When he said he will NOT shield anyone, take him at his word.

  12. So the so called Sekulu you want Malawians to revolt or uprise???????? Who is gonna suffer with that stupid idea????? Is it the politicians who will get shot & die??????? Or the poor innocent people who have never benefited nothing????? In Libya they revolted sighting that Gadaffi was not good. Tell me if Libya is better off today than the time of Muammar????? So you suggest that Malawians must take Arms cos the country is swamped by corruption???? I don’t think so. Just vote wisely NEVER shall we expect that any administration will change things completely, not at all cos they’re the same people only changing names. Up until we have leaders from planet Mars then we shall expect a corrupt free government.

  13. mbani says:

    the best way is to resign fullstop

  14. Dpp must step down,Goodall gondwe must get arrested coz he participated on a high scale on all this lootings, yet he is busy fooling us since he well knows that Malawi is rich, and he keeps on saying that we are walking on a thin ice financially. But he and DPP are enjoying our money ,and we are jst looking, let us act, and Malawi needs to choose a public protector as RSA has Madosela, a bitterest enermy of J.Zuma cozy of mkadla Scandal.let’s copy it.

  15. Sekulu says:

    Let me simply sum up what we Malawians are, by quoting what the former Zambian President (KK) said during an interview by the BBC on the contentious meal meal price hike and the subsequent strikes that brought the Copperbelt to a standstill.

    BBC: ‘What do you think would have happened if this had happened in Malawi?’

    KK: ‘I don’t rule stupid people’

    We we seem to have never understood let alone heard it.

    Ada Zeleza Manda and his team have said it now and again, Malawians are dead and in dire need of a resurrection.

    MK (1, 24 & 577) billion looting of our taxes is treasonous enough and the responsible government should not have survived in the first place, yet for Malawians we make songs about it instead of crying. What about budgeting for Phalombe hospital year in and year out with nothing to show about or indeed budgeting for some redundant airport equipment which was already done some years ago? Ours is an Animal Farm ‘a State’. A Malawi kugona maningi.

  16. Goliati foreigner says:

    Mr Tsetsefly.Dpp never won the election in a truth manner.The election was marred with alot of anomalies.Even the chairman of Mec Mbendera was crying and howling like a demented night owl in the midst of the night.We knew something was wrong with this election.Even the brainwashed People of Goliati of Thyolo are crying like chicken this time to have voted out tribalism.They thought if Pitala wins they will be sleeping on sacks of money.Akuchimina muma tea estate umu Ali mfee mfee mamina.Ndati munya coz you are so blind looking at policies when voting.Those are the consequences of tribalism.Koma ziliko kumudzi kuno.Tione mmene zithere ndi mchimwene wake wa Daniel Phiri.

  17. makwinjaishmael says:

    Ndikamuzu yekha amene anali ndi mtima ofuna kutukula dziko lino. Ena onsewa ndi mbava. Ngakhale mwamumanga that china lady pothawa msonkho mwalakwa.she did not want to be nourishing pockets of selfish politicians.

  18. tsetsefly says:

    Mr sweet boy, I think u take things so lightly. When so many people are building and a few stupid fools are demolishing, the best thing to do is to pause, sort the fools and proceed with development. DPP is full of thieves and it will continue to operate like such. I have said more than once that the biggest mistake Malawians made was to vote back thieves into power. We wonder if there is any agenda to take Malawi to higher heights with this blue thing. Our neighboring countries have graduated to middle income countries while our leaders are busy stealing. Shameless idiots you don’t deserve to be leaders.

  19. Njalayamalamuchiuno says:

    As a country, we can as well kiss development bye bye as we are more preoccupied by this dirty news of fraud and corruption while the government seems to be doggy and trying to shift the blame instead of finding a quick solution to this cancer in our Government systems. The PP administration did its part and as late Bingu had put it, all eyes are now on DPP, who are holding the reelly race stick to show us their capabilities. Malawians are in no mood of being brain washed by politicians.

  20. kenkkk says:

    This confirms what I said when responding to mp chakwantha’s 25 june claim in nyasatimes that dpp were hiding the real audit report.

    Dpp and their thugs supporters can’t see the contradictions that their submitted report is revealing because they are so obsessed with jb that they can’t see any sense.

  21. Rich nduna says:

    Hahaha..report gate

  22. mwenecho wasima says:

    That’s why Nyika Republic wants to go on its own.Azathu akumwera ndi chigawo chapakati ndi anthu osapenya.How can be people be stealing from them,yet they have been voting for them now and then.Kuli umphawi wosaneneka Ku South and Central but its people seems never to learn.We need to do something in this country.Muzafa ndi ntchito zopelekera matope mu area 43,44,10,12,47 inu osazagonamo munyumba zabwino anzanu akukuberani ma billions.Amalawi anzanga galamukani ndipo penyani.Taberedwa kokwanira.

  23. straight Talk says:

    The mind set of politicians, civil servant and parastetal or most of the Malawians are infested with this un acceptable behaviour. Its difficult to trust a person let alone politicians to give the mandate of the govt. At the same time there might be one to run the govt. I feel 1. there is too much secrecy in realising and disburse govt funds.2. President in command has too much powers and protection. Govt money is public funds. I feel pamene zafikapa its a point of disclosing all entries of funds to tresury and expenditures for every month as well as all government department and parastetals so that those intereted should follow them up. Presidential power should be trimmed to size, he our employee and should not be immuned whilest is serving. He is chosen lead not to boss and he should reporting to us.

  24. Sweet Boy says:

    Go ahead with the “Revolution” songs and see where that will take the country. In actual fact it will be plausible to hear that one George Kasakula is the mastermind of the revolution in Malawi – why should you shift and entrust the responsibility to others yet you are a true citizen of Malawi. Let us desist from being “Stir-masters” but be seen to be nation builders. If you want a revolution who do you thing will kickstart the fracas on your behalf? Unfortunately Malawi is too poor and incapable to be revolutionised. If you think I am lying, it and see the repercussions. Don’t just know how to write but read widely as well and learn from other people’s experiences. The problem is that most people know the theory part of issues but pragmatically they are impotent chatter-boxes who shouldn’t be taken seriously.

  25. Sweet Boy says:

    It is sad to note that Malawians are reactive all the time and yet we have a lot of us with Strategic Management qualifications. This issue on Section 65 arises everyone an MP over steps his/her boundaries. After things seem to have been resolved nothing is mentioned as to how the section can be amended. Reasons why there is rampant disregard of public money is because every citizen in the country wants things to be run according to how they are done in their village. HKB came up with control measures to mitigate irresponsibility by public servants when he brought up “Forfeiture Act” and we witnessed thieves getting punished, Indians losing their businesses and property etc. Unfortunately that act was scraped by us and if you look closely you will notice that the scraping of the act was instigated and approved by the same people defrauding public coffers to day. For those of us who are calling for Federal system of governance; just fight hard, strategise well and convince the rest of us that the system can suffice. In 2019 win the election and bring in what you are advocating. Mark my word, if it happens that they will (God forbid), all this nonsense of federalism will disappear which in other words they want to have change effected just for the sake of change and nothing else. It is interesting to note that in one of your comments you have you pointed out that the author if this article seems not to know what he wants. Because last week he talked on something and this week he decides to show up in public in totally different colours hence the assertion that people just write in order let others know that they are still breathing.

  26. Alex Likoswe says:

    I wished the author stopped writing. His articles had been on the extreme left. Search yourself man on the past articles and the comments that followed.

  27. Ambwana says:

    The only thing that can stop DPP in its tracks is death, otherwise they get away with pretty much everything. The main problem is that although MCP is the major opposition party, it does not do its homework. MCP needs to apply pressure on both DPP and donors funding ‘forensic’ audits to reveal names of public officers who allowed public funds to vanish without a trace.

    This PwC report would be laughed off in Germany because it does not add value. It does not make any attempt to name officials who were responsible for the mess. How can we have accountability if culprits are not exposed? Why should the Germans think this is okay because they are dealing with the poorest country in the world?

    MCP, PP, the mainstream media and CSOs should not allow DPP to get away with murder. Pressure should continue to be applied until names under the DPP cashgate are known…relentless pressure works. We need to ensure that politicians do not believe that there will always be impunity

  28. sikusinja says:

    When Baker Tilly report came out, people criticized it as being deficient. This one too. But I think this one was more comprehensive than the Baker Tilly report and there was no duplication. The Baker Tilly report covered a very short period of just a few months. Baker Tilly did not do a cash book reconstruction, their focus was different.
    Another fact is if u say JB Era shouldn’t have been included, up to when. Was the audit going to be done for period up to April 5 2012 when Bingu died. The thing is a problem and a mismanagement has been discovered. Fix it and find the culprits. That’s it.

  29. The real Ujeni says:

    Peter Mutharika came from the blues, basi you decide to vote for him. Ngati kuli anthu opusa then a Malawi rank at number one. Simunati

  30. captain says:

    The problem is the president is not acorrupt free guy. If we could find someone strong as a president and a corrupt free Malawi could hv bn far

  31. LORENI says:

    A dead nation. Accepting stupid politicians stealing form them and clap hands for them. I wish I could be born in Zambia

  32. Chakhulukwenda says:

    This calls for a Federal system of Government, so that we can localize the stealing.

  33. Jelbin mk says:

    I have some questions that won’t be answered because the people we are dealing with are untrustworthy, my questions are in concurrence with the author’s as to why did the PWC audit period include that of JB’s tenure of office as though the Baker Tilly did not do a proper work? (my suspicion is that there is a political interference in order to divert the public attention). We already know what happened to JB’a tenure of office with the help of a well detailed report bearing names of plunders so how necessary or a strange thing was going to come out of an already cleared bush? This is as simple as hiring someone do clear a field for farming and hiring another person to do the same work at an even higher price. Another question is why didn’t they (National Audit Office) rather direct the PwC to shift the period of audit back to 2005 to cater for the period of 5 years if their target and funding was based a number of years instead of catering the period of 2012-2014 of which was already dealt with by a well reputable audit firm? Is this not cash gate also being conducted in the process of investigating cash gate? Regarding the fact that the money paid to these PwC covering 2012-2014 was paid to them for not delivering any service to the nation. Therefore should we trust this report released by this corrupt PwC in conjunction with our corrupt government? I strongly agree with the writer that Malawi needs a full revolution and this will happen soon mark my words because enough is enough and we should start by churning paying taxes because it is not worthy doing and its not purposeful.

  34. Marduk says:

    Very, very true.

    The thing is how does one contact the people resonsible directly and get into a dialogue? We have so many demos and real complaints but it seems the government can get away with anything without even addressing our thoughts

  35. White Rabbit says:

    Revolution! Finally someone is speaking sense.

    Thank you.

  36. CHEWA FEDERAL FRONT says:

    Revolution? You mean a Libyan or an Egyptian-style revolution?
    We have an easier and bloodless solution already on the president’s table: FEDERALISM. But, just because much of the support for the system has come from Northerners most of you have backed off. There cannot be any doubt that Federalism would solve most of our current problems and help the country get out of its poverty trap.
    A MK350bn loss in just 2 years translates to an over MK500m losu on every working day. Isn’t this a sign of gross failure of the system??
    Oddly enough the author, in his other article, last week, called those fighting for change in our governance system “a ragtag bunch of wankers”. Wankers?
    Once again, there is no hope with our current system; and the earlier we federated the better.

  37. Mphepo Zinai says:

    This country is a laughing stock…
    It is stinkingly corrupt and incompetent in all sectors from civil, public, private, etc. Even spiritually, look at Salanje and Bushiri exploiting name of God for themselves.The future is bleak….

  38. cheyo the real northerner says:

    Even if you usher into power your own party, they Will still steal. Revolution best solution.

  39. phwiyonaire says:

    Kodi what is a revolution?

  40. LWD says:

    they are all thieves, even the opposition are thieves in waiting. who said a christian should not feel nauseated with anger over blatant evil? I obviously dont belong with you mwanamulanje.

    we need a revolution! we need a revival!

  41. nobel says:

    Let’s gang up against this childish, thieving govt. We normally say a second report is a report; whether the report has names or not it’s about corruption. Let’s prosecute all corrupt people regardless of whatsoever. It should start now!!

  42. The voters are the ones to realise that and consider seriously who to vote into government otherwise they are part of the problem.

  43. Kadakwiza says:

    Nothing, I say nothing will be done. Bingu was right when he said Malawians are chickens. The whole government system is corrupt. Even those in opposition parties, you find that one way or another they are also involved in corruption. I agree 100% revolution is the way to go. Our neighbors are developing. There which was bad than Malawi now have changed for the better. Look at Mozambique, Zambia, Tanzania, Rwanda. Enough is enough petitions will not help. We need revolution and change the whole system of government. We don’t need demonstrations on 7 July 2015 but this should be the start of the changing of the government.

  44. mwanamulanje says:

    This is a good article except one thing which I will address: please don’t conclude that “something is wrong with me” because I haven’t reacted the way u xpected me to, I hav my own mechanisms of reacting to difficult issues other than getting angry. In Kung’fu there is this saying, “AN ANGRY MIND NEVER ATTAINS PURE CONCENTRATION OF THOUGHT” Please, consider other vocabulary, this is a public forum. Im equally concerned by this plunder of public funds, but I have no anger because as a Christian I’m trained to react differently. If we all become angry, u know what will become out of that? CALAMITY!

  45. Concerned Citizen says:

    Peter failed to run a ministry. How then can he run a government. Running a government is a serious business.

  46. Alufeyo says:

    Lets wait for the 10 months before we make stupid conclusions. I for one dont believe the figure mentioned represents money stolen. If the money was stolen then the Epicor systen must have been deliverately configured to defraud government. Who is responsible for this mess? Similarly Controlling Officers dont care how their payroll is handled as long as they het their pay. Ministry of Agriculture was alerted about discrepancies in its payroll but it was ignored. Figures on GP5A should be the one used for funding and not the S2S. Unfortunately Officers in Treasury wrongly think they are more intelligent than all other civil servants.

  47. Marley says:

    Malawi, a politically cursed nation.

  48. chisombezi likhunya says:

    I can’t agree more with the author of this. Dpp is a disgrace, the leadership needs to hang. We need a revolution in this country, otherwise we shall not develop

Comments are closed.

More From Nyasatimes