Malawi to trace cashgate tainted assets, says Mutharika as German calls for recovery

Malawi President Peter Mutharika has promised the opposition leaders to recover the money embezzled by the  looting of public purse in what has been known as the “cash-gate” corruption scandal.

Western donors, who provide about 40 per cent of the country’s budget, stopped payments after the scandal erupted in September 2013.

Mutharika:  Will recover the money

Mutharika: Will recover the money

Mutharika said government will trace all the money embezzled and forfeit cashgate tainted properties through a due process of the law.

“I have appointed a new anti-corruption head,” Mutharika said. “I am sure he will do everything to trace this money and also try to recover and very soon you will see progress in the prosecution of Cashgate.”

One of the major development partners Germany has said it wants the full recovery of money that was stolen through cashgate to resume budgetary support to Malawi.

“We are much interested in the recovery of money and the arrest of the culprits,” German Ambassador to Malawi Peter Woeste told Capital Radio, a private broadcaster.

A Malawian court on Tuesday slapped a former senior official with a three-year-and-nine-month jail term, the first such sentence in the infamous cashgate scandal.

Treza Namathanga Senzani, a former principal secretary in the Tourism Ministry, was convicted of money laundering and theft.

Woeste described the verdict as “a victory for the rule of law.”

However, he on resuming aid to Malawi “we first of all have to see how the appeal goes because the process is an ongoing one, secondly we always said which is very important to all of us is the recovery of the stolen assets.”

Top government officials siphoned billions of Malawi kwacha from the government Integrated Financial Management System (IFMIS) through payments to companies that did not supply goods and services to government departments and ministries.

Germany envoy said Malawi government has to seal all loopholes first to warrant aid resumption.

“No one would put money into a bucket that has holes and is still leaking,” he told Capital Radio.

The drama began in September 2013  when Paul Mphwiyo, the then  budget director and the person former president Joyce Banda  had tasked to close the loopholes in the public purse, was shot three times in the head in Lilongwe. Miraculously, he survived the attack and is amongst state witness in his shooting case.

Ralph Kasambara, former minister of Justice, has been accused of orchestrating the assassination attempt of Mphwiyo and if facing charges related to that. He is also facing separate money laundering charges together with chief suspect Oswald Lutepo.

Some 60 cashgate cases are in the courts, and this week the justice minister Samuel Tembenu indicated in parliament that more people involved in the plunder will be arrested.

The Anti Corruption Bureau (ACB) says roughly K20 billion went missing Banda’s two year rule. They add that probably another K90 billion went missing over the eight years of the presidency of the late Bingu wa Mutharika, equal to roughly $500m at the exchange rate of the time.

In total about 30 per cent of the country’s budget could have been looted over a decade – almost as much as donors have provided Malawi over the same period.

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63 thoughts on “Malawi to trace cashgate tainted assets, says Mutharika as German calls for recovery”

  1. Nyaulembe says:

    Someone is talking of old people as the ones stealing. But if you can look at the spectrum, the whole Cashgate list is of young men, the older one is Joyce mtilla Banda.

  2. Naganza says:

    One thing we Malawians should know is that Anti corruption bureau boss is appointed by president and not independent person. so how do you think he can investigate the president and those surrounding him? Most of these ministers are related or friends of leaders. already those Cash Gators joined government and are declared null to Cash Gate. Gondwe and Kachale is free. Muluzi is hanging with the man whose brother insulted him and his son accepted ministerial post in order to protect his father. The only way to punish these thieves is donors stop giving them money to steal more and and also when Malawians will rise and say enough is enough and shake them smash their mansions. That is the time these people will understand what it means to use people. these is sickness and the only cure is what I say. Don’t just sit there and clap your hands like monkeys, while you are suffering. For how long are we going to see old Machonas and the same people making us suffer. Old men who can not accept their are old. Some old people are very evil and they have no mercy. If it was another country the journalist could have gone to Portugal and australia to see the mansion Bingu have there. The man stole so much from us. All Malawians knew that Bingu stole so much and he was taking 20% of Kayelekela nature resources to his private account. Where a hell does that happen? Do we appoint them to steal from us? Is this not work just like ours. Peter was the adviser of his brother. The man came to Malawi to be president for all the price and he got it. He will be the worst leader Malawi ever had. Germany and all donors should not give him the money. Malawians have suffered and it will not make any difference if they don’t get the money or get the money.

  3. Naganza says:

    Malawi is not a nation for Malawians but Asians and now Chinese who buy out their bribes to the presidents. Do you know that mansions are being build in Malawi by Asian? I can not buy a piece of land in my own nation because Asians are offering huge sum of money to greedy ministers. Malawi is sold. We Malawians are slaves in our nation.. It was better even during colonial. We had our land they ruled. Stupid Africans that is why we are poor. Look at the fund raising of Alomwes. Who was donating millions? Indians what does that means? bribe. They know how buy the time. African don’t be black even in the brain.

    1. judith says:

      my friend dont be selfish and stupid, u have failed yourself not others cos u are a envier

      1. TIKUNGOLUMANA TOKHA TOKHA DZIKO TAPINYOLISA KWA AMWENYE NIGERIA BURUNDI NDIWOMWENSO AKUTIDYERANSO ACHAZIKAZI WATHU

  4. Naganza says:

    The sign of Cash Gate is seen in Bingu,s children who are living rich life as if they worked. I understand Dowa is living in Australia or Portugal where Bingu has mansions. 7 years in poor nation like Malawi someone can afford to have many mansions, impossible not even in US or Europe. Ask Bill Gates. Malawians can never force Cash Gators. Someone has to do it. It is donor. It is always about one family who steal money in Malawi. Malawians were talking to change but what did they do for a change? It will always be Bakilis, Bingus, or Bandas. That is what Malawians know. The same people it does not matter if they are thieves.

  5. Naganza says:

    I solute Germany and hope other donors will do the same. This stealing has to be stopped. No one or donor nation can continue pulling money in Malawi if Malawi and Malawians don’t want to stop this. The money which other nations give to Malawi is for development and help all Malawians. It is not for few to steal. 50 years has gone but Malawi is still the poorest. WHY? Look at the shameless fat people who thinks they enjoy but in the eyes of God they are punished. Peter knows that he is also included in this Cash Gate. What about the money he used to buy the votes? Does he think or he is pretending that White people are fools like us? If this was happened in western world NO ONE could have escape from conviction but in Africa they protect each other. Cash Gate started 2009. Mama knew but she took the most criminals to her government WHY?

  6. salimu says:

    You can appoint 2,000,000 Havard professors as ACB bosses you will never win the war because of collusion between public servants, politicians and the private sector. Remember that China executes the corrupt but corruption thrives. The solution is change of mindset. Will DPP get to the bottom of the MK400 million theft? Will the story behind MK92 billion be known? I doubt.

  7. Mamamia says:

    Ndata farm will be the Starting point. Tax payers money.

  8. mbingoo says:

    tiyambile za kundata; casablanca, nyumba za MHC ku Lcity

  9. Khu says:

    Zopusa eti…amangidwe akuba onse

  10. Where gvt is smart, pursuing Cashgate Money is necessary. BUT,Where it is the opposite forgiveness is Important.

  11. Cashgate 1 says:

    Tiyambe ndi Casablanca, If we can recover that one then will be at a better position to do the rest. Otherwise okuba okhaokha sangamangane.

  12. BLINDED says:

    ALL COINS MUST BE BROUGHT BACK…….IN SHORT ALL WHO CAME FROM ZERO TO HERO MUST SET BACK TO ZERO.

  13. I have said it before and am just repeating what everybody knows and its a fact MALAWI IS NOT A POOR COUNTRY but we have poor people at the helm of power hence they are only there to be rich all they want is nothing but reap us off and leave us to die of hunger and disease Alibe nazo ntchito za munthu wamba awawa ndi ana a SATANA Believe me my brothers and sisters we are not going anywhere as long as ANTHU ADYERA ALI PAMPANDO Greed is the number one evil playing a big role in worsening our already fragile state everywhere you go you hear of stories Wina waba ndalama zachitukuko Are we serious ? when are we going to stop wasting time and resources on a few greedy individuals instead of catering for the masses? when are we going to really put our government in order to curb corruption Fraud and all roots of evil.Tiyeni tichangamuke we need to do something before another budding cashgate blossoms

  14. pierra says:

    I wonder whether the start point to all this need to be a clear declaration of asset and worth! I cannot imagine the overseer of AntiCorruption Czar divert hidden found loot…indeed there is a case to oversee the overseer! Those in know know the past track record of such schemes…

  15. The Truthful One from the West says:

    What Peter Mutharika should know is that donors also want action on K92billion. He cannot fool them. He should not seek refuge in cashgate. He bought houses at very cheap prices from Malawi Housing Corporation and Lilongwe City Council.

  16. ARN says:

    Appointment of a director at the Anti Corruption Bureau is a good thing. However, just one person cannot bring an meaningful progress. A whole army of financial investigators will be needed for the nation to start seeing real progress in this area. Otherwise we may be expecting too much from just one director and a small minority of his officers.

  17. Kachilombo ka ku Dowa says:

    Eeeeee onse amangidwe koma tiyambe ndi amene anaba 90 Billion. Tisangothamangira awawa ayi koma tiyambire omwe anaba ndalana za misonkho yathu kuyambira chaka cha 2005 mpaka 2012 kenako amangidwe awawa. Chonde ofufuza fufuzani bwino (90 +20 Billion = 110Billion) zinadyedwa ndi anthu adyerawa ofuna kumadya okha pamene enafe tikuvutika ndi matenda, njala ndizina zomwe tinakathandizidwa ngati ndalamazi sizinabedwe. Chonde-chonde abwenze komanso anjatidwe.

  18. MaiMai says:

    Its simple Mr president you should be the first to return the Malawi housing house that you corruptly got and then go down to Bande and others to do the same, then LL city council houses be returned also , then down little bit mk92b that your brother and you snd your dpp msfias stole, then mk5b Ndata house , then down deep Kayerekera cash and the mk13b JB and his Kk stole thereafter Aid can resume.

    If you do this, you will be a hero and real Malawi president otherwise don’t waste donors time.

  19. Victor Phiri says:

    This should include selling Ndata Villa which was built with stolen money.

    1. wandale says:

      It will be difficult to do that since the owner is dead. Lets deal with those alive.

      1. Mneneli Wonyenga says:

        Not just difficult, even if you offered it to me at K10 million sindingagule. Nditani nayo? Who would want to stay at that place? And consider maintaining that mansion, mufuna tizikaweterako ng’ombe eti?

  20. Malawiana says:

    Hope you are serious not just talk talk. Senzani used the stolen money to construct that mansion near Bunda Roadblock yet none of the court papers mentioned that property. ZOGWIRIZANA ZENIZENI!

  21. wopenga says:

    opefully ACB will start by recovering the malawi housing property that peter mutharika dubiously bought. if not then selective justice is waht we will see.

  22. baba oniwa says:

    Zavuta basi afuseni apansewu akuwuzani

  23. masada says:

    Give civil servants gd perks,,this won’t happen any longer,,,,,,

  24. Kanyimbi says:

    DPP inaba 90 billion mu zaka 8. PP inaba 20 billion mu zaka ziwiri. Kutanthauza kuti mu zaka 8 ikananba 160 billion. Eeee! ndiye kuti PP ndiyowononga kwambiri.

    1. Masamu anji amenewo

  25. yabooka says:

    leading by example at ‘malawi housing co’

  26. Simie says:

    Is this a joke or true what about u Mr President? U definetry got a hand on cash-gate so what are talking!!!

  27. JAYJAY says:

    Mwini nkhani ndi phwiyoyo.Boma lisamutengeso ngati mboni .Aliyense akudziwa kuti phwiyo nde mwini film nkuwona akufuna kuyetsestsa kutsastsira ena nkhaniyo.Plse ACB MPANENI AMENU AKULIMBA MTIMA CHIFUKWA CHOTI BOMA LIMAMUYIKA MKHWAPA. AWONANSO AMENEYO,IFE MSONKHO TIMADULA UJA UMATIPWETEKA.msonkho umadutsa net pay nde wina azikapangira gamble ,ayi zimenezo sitilola.

  28. loveness says:

    you have to sate an example since you are one of the looter, also return the assists and money your brother looted, together with your so called well wishers (asians) than we will believe you are telling the truth.

  29. Alungwana says:

    Shall that include your houses APM? I hope it will.

  30. Mzatonse says:

    Maganizo ndinso malonjezo abwino

    Koma kwanilitsani a President

  31. Nyandula Samala says:

    Oky takunyadirani nonse lets work hard together to arrest Cashgate thieves

  32. Vyachalo says:

    We can start dealing with 90 billion Malawi kwacha (manyi akale sanukha abale) then we come to 20 billion kwacha.
    Thank you Germany government. The watercane has so many holes.

  33. Ladson Chonde says:

    Good promise hope to ull implement it

  34. Dab says:

    We want that Mr President

  35. Sandman says:

    Time is running out what we need us action

    Please do as you promised the opposition leaders

    We don’t want Malawi to be a country of thieves at Capital Hill chonde

  36. Soko says:

    APM continue with more arrests of Cashgate thieves

  37. Naliwa says:

    OK kwathu mkudikira kuti mugwire mbava zonsezo ndikuzilanda makobili abomawo

  38. original KK says:

    Lutepo donated a lot hundreds of bicycle to khumbo kachali during the mzimba by elections . Please investigate him also . It takes two to tangle .

  39. Daster Mbewe says:

    Cheers APM

  40. Opoko says:

    Zedi chitani zomwezo a President

  41. Lucas says:

    Happy that you have offered us hope

    But please Mr President do as you have said

  42. MKWAPU says:

    NDATA SHOULD BE THE FIRST!!!!!

  43. Rosie says:

    so what happens to the zero-deficit budget?? I’m lost here!!

  44. Lazaro says:

    Good APM a leader must be determined to do that osabwerera m’buyo chonde

  45. Makiyolobasi says:

    Cashgate assests Include Mpumulo wa Mbava located in Goliati, houses bought by Bingu, Peter and cohorts for peanuts in Bt and Lilongwe etc. Koma ziliko a Malawi. Speaking finnish finnish Peter took.

  46. Mneneli Wonyenga says:

    Yes recover the stolen money. As Dan Lu said, I begged one green and you give me crateful of green in addition to Kanyenya, recover this. What about the moneys given to night kweens at Bwandix. I am deliberately skipping pa Kamba because much of the looting was in Cashgate City. These moneys simply bought AIDS. Now a tip to those doing the follow ups. Check the sales volumes of these liquor stores for the period the looting took place and compare with the after period. The difference definitely should be from the Cash gate therefore refundable. I am talking of these places, Pamango, Rumours, Afrikana, Pamaimba, Aleksandas, Ya atumbuka ija (off Paul Kagame) God Fellas, Ya pa 10 and Golden Peacock.
    For shuwa these drinking holes benefitted a lot from the loot because I gather the looters like were throwing rounds like nobody’s business, how I missed this. Because I go for sachets and bag and these people couldn’t come near US. Mulungu amaona. We will meet there, I mean Maula because I am also under probe for stealing two chickens.

  47. Msaophe Gama says:

    Good a President tikufuna zosaka mbavazo mkutenga ndalama zonse zomwe anaba

    Intensify what you are promising pipo

  48. America says:

    za 90billionizo zilibe umboni ma donnars amapitiliza kutithandiza dziko lapasi silinaziwe koma kanyama aka ka cashgate ka ma donnars onse anaima ktithandiza and dziko lonse lapasi linaziwa joice banda wationesa manyi ndithu ndi ufiti wake uja bakha

    1. wawa says:

      Zoona, za 90 billion even ma donors sanadziwe koma cash gate yi ndi JB.

      1. khethokhwakhe masuku says:

        pano zadziwikatu abakha inu, ndiye zifufuzidwabe mufune musafune!!!!!!!!!!!!!!!!!

  49. truth be told says:

    Big lie by APM, doing so it will mean shooting himself on foot because he is among the cash-gaters. K92bln will will be a big bullet. Houses he acquired thru doggy means during his brothers tanure will be big bullet.

  50. Thomas says:

    Pls recover all cashgate money K20 billion and K90 billion we need our money back

  51. Nonse ndinu okuba makamaka a Dpp inu

  52. Chikopa says:

    Lutepo ingoulula kuti chilango chako chichepe ndikubweza ndalama nanga 4bn unadya wekha ngati siutelo uvutisa kwa mbiri banja lako

  53. Bophani says:

    Tamalizitsani ma cases amenewa plis timve zina mwee??

  54. Dona malaka says:

    Yes, very good and welcome development. We need all culprits to be chained and their assets sols to enable Malawians of good hear inherit and enjoy. We also deserve the best. Why are they not speeding up the cashgate cases? why are they taking long in arresting the Savalas who are mongering in the streets?

  55. John says:

    Finally, he is just arrogant to us, the ordinally people, but he is bowing to the international pressures now to have all assets frozen/recovered from these thieves. Let us see how you will keep on hiding your house and that of Gondwes that you bought at exorbitantly reduced rates! And more importantly let us see for how long you will keep on protecting your 92billion “query” because even the donors know how much was lost, and its not 13 billion!!

  56. achanguti says:

    osayiwala K92billions ijanso ngati chilungamo mumachidziwa ndiwonera pamenepo.

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