Mwase sues National Bank of Malawi for disclosing confidential information

Blantyre-based business woman, Patricia Mwase has sued National Bank of Malawi (NBM) and its Chief Executive Officer (CEO), George Partridge for illegally divulging confidential information to the public and to members of Bankers Association of Malawi (BAM) which led to loss of business.

National Bank of Sued: NBM Chief Executive Officer George Partridge

National Bank of Sued: NBM Chief Executive Officer George Partridge

Mwase, Director for licenced Credit Referencing Bureau (CRB) Credit Data Limited, has dragged to court and demand damages from the bank and its chief executive officer for allegedly breaching and failing to respect banker-client confidentiality.

According to documents filed at the Blantyre High Court (Commercial Division) on Wednesday 11th March, 2015 by Mwase’s lawyer, Bruno Matumbi of Excellence Law Partners, Partridge is being accused of allegedly divulging to the public and BAM confidential information that Mwase had an outstanding loan with NBM which she was not servicing.

Partridge and NBM are accused of divulging the confidential information to third parties without seeking consent from the client or without being entitled to divulge said confidential information by any rule of law or practice just to put Mwase’s company, Credit Data CRB Limited, out of credit referencing market.

The case follows investigations by Competition and Fair Trading Commission (CFTC) in 2012 which faulted BAM of creating market monopoly by denying other players in the credit referencing bureau sector in preference to one company.

CFTC, in a determination by its Board of Commissioners and its members on allegations of anti-competitive practices by BAM also faulted the association of suspected collusive tendering and bid-rigging when it awarded a contract to CRB Africa Limited despite some of its members being shareholders.

There are only two licenced credit referencing bureaus in Malawi, thus, CRB Africa Limited and Credit Data CRB Limited, a company of which Mwase is director and a shareholder.

Statement of Claim

According to the court documents, Matumbi claims his client experienced shock and psychological trauma and that she suffered loss and damages after Partridge and NBM breached her right to banker-client confidentiality.

Partridge, in the case, is being sued in his personal capacity and as CEO of National Bank of Malawi while the bank has been sued as a banking institution and in its relationship of Banker-Client with Mwase.

“On account of the negligence by the defendants (Partridge and National Bank of Malawi), the plaintiff has suffered special damages,” reads in part the Statement of Claim filed at the court.

Partridge is said to have, while serving as BAM Chairperson and NBM CEO, divulged the information against Mwase in her capacity as director of Credit Data CRB Limited to solely influence the rest of BAM against working with her company which was in competition on the credit referencing market with CRB Africa ltd- a company in which Partridge had direct interest.

“In the year 2012 on a date which the plaintiff (Mwase) cannot exactly ascertain; the 1st defendant (Partridge) in his personal capacity as career banker and being an officer of 2nd defendant (NBM) and representing 2nddefendant, without any lawful excuse or reason known to law, illegally divulged confidential information to the public in general and to members of Bankers Association of Malawi in particular,” reads the Statement of Claim.

Matumbi argues that both Partridge and NBM were derelict in their duty towards his client and therefore negligent in the eyes of the law, adding the bank and its chief executive officer deliberately divulged the confidential information so as to taint Mwase’s image in the eyes of other banking institutions and in the general public.

He further argues that Partridge divulged the confidential information against Mwase, a former NBM employee, out of spite and for anti-trust motives.

He claimed his client suffered social stigma and loss of dignity in the eyes of the public as she is a member of various reputable associations and organizations.

“Following the divulging of the information, all banking institutions who are members of the Bankers Association of Malawi refused to work with or supply credit data Credit Data CRB ltd, a company of which Mwase is employed and is a shareholder. The company failed to operate fully and in turn failed to pay her remuneration.”

Mwase is therefore claiming damages against Partridge and NBM for breach of banker-client confidentiality aside seeking declaration that the illegally divulged confidential information is indeed confidential information covered by banker-client confidentiality.

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47 thoughts on “Mwase sues National Bank of Malawi for disclosing confidential information”

  1. stear time says:

    I don’t see anything wrong here.mr patrige is100 percent the same as NBM correct.This woman is a risk to banks activities.

  2. maneater says:

    Comment Bank ameyeneleka kuyiyendetsa ndi Chithenga a professional banker koma mzunguyi nsanje mpaka mzake anachoka.Iyitu timati ndeu ya David and Goliath.We are watching.

  3. Feranji says:

    What Iam seeing here is a case of corruption.How can one own shares in a financial institution and head a financial instituion and dilvulge information of a competitor to influence other players not to deal with the competitor?Can ACB check on this please?

  4. tupobanda says:

    This woman is dangerous to the banks interest and here the interest of the bank is threatened the bank has the right to break confidentiality rule simply because if the woman is not servicing a loan and yet owns a credit bureau, can easily rate herself highly and obtain a loan from any bank and default again. these are corrupt practices and I think partridge did well here. he was protecting the banks interest from bad and highly risky lenders like this woman mwase.

  5. Zione says:

    @ Mphwiyo zikukhuzana chani kuti this lady is walking?Actually i respect her that despite what she has gone through she has remained staedfast and has not resorted to sleeping around like most of your women who when things are bad they sleep around to maintain the status quo.She knows what she is worth.

  6. Lewis says:

    To those of us who studied Banking with Chartered Instititute of UK ,we are few including Patricia will tell you George has goofed big time.The last time this happened was in 1922 in a case Tournier Vs National Provincial and Union Bank of England.This is one of the first case we study and you can check it on page 6 of a book by Chorey and Smart in the leading cases in the law of banking.No banker worth his or her salt has ever done this!Its only now 93 years later by an economist who is serving as a banker!Iam telling you, us real bankers this is our memory verse.You will lose George.That lady knows this case well as she studied banking with the CIB UK.

  7. paulos banda says:

    I am told this NBM CEO likes miseche too much. When you are with him he pretends as good person but kuseli talks bad about you.

  8. dodolido says:

    Eeeeeeeesh!!!!!!!!! Thanani mutiuza zotsatila zake

  9. His Worship Justice One Thousand Years says:

    I will follow this case with keen interest.

  10. vyamuvisulo nthengwa says:

    kwali tingavimanya

  11. waterboardescom says:

    Guys, issues of this nature are confidential between the bank and the client. Masiku ano for a business to operate it needs a loan penapake and there is no problem in that despite that she owns credit data ltd. From the story she failed to service the loan because divulging of her loan information to clients like BAM made her lose business. I will be following this case to the end. Its right that the people concerned shd be sued.

  12. Gabriel mwale says:

    Ambwyeee che Gabbage if u do not understand Law just shut up. She has a right to sue and when did u become a judge bloody hell…

  13. palibekanthu says:

    Ndilibe chonena ine mphawi.

  14. gabbage says:

    The question to you dunderhead Mwase and your ignorant lawyer who wants to reap where they did not sow is is it true that you have an oustanding loan that you are failing to service? if yes why are you making a fuss? May be if you don’t know in other countries loan default is a criminal case.In fact it is fools like you who are suppossed to be sued and rot in jail and not Partridge.

    How on earth can a defaulter run a credit rating agency, please malawians wake up.It is fools like this Mwase and ignorant lawyers representing her who are contributing emancily to the poverty levels in malawi.

    Ngati wasauka ukufuna ulemelele pa Partridge wauponda limodzi ndi mbuli za ma lawyer zinzakozo.

  15. zaluma says:

    Patridge you are innocent. If this lady was doing a good and lawful game, she could not lost her customers but because she is a cashgater that is the reason she complaining today. Yamwa mai. Patridage I will joy a group of the counsel you have hired once I am in the country from UK. Well done P.

  16. ...igwe says:

    …it is in the full right and interest of good banking practice that a bank/credit institution should disclose to third parties credit worthiness of its clients if such information may assist the other party in taking a financial/credit decision in favor of the client in question. The contrary would have been worse, that is, for a credit/financial institution to withhold information of a client whose credit worthiness maybe negative. At the end of the day, Mwase would not win this case. Banks and other credit institutions need to reduce their risks, one of way of doing that is by careful check of the creditworthiness of their clients.

  17. EVEN THOUGH IT HAS COME OUT IN THAT MANNER, STILL OTHER SECTORS AND BANKS HAVE BEEN COVERED AND PROTECTED, WE DO NOT KNOW WHY THIS CAME UP TO THAT POINT——— UTAMBWALI. SORRY MAI, TAPEPESA APA, BUT DO NOT MAKE IT AGAIN ——A MAI INU ZIPASENI ULEMU POBWEZA NDALAMA MSANGA.

  18. owot says:

    The truth is she is also failing to pay loan at another bank in town.

  19. nasimelo says:

    she is trying to raise money by suing the banks and yet she could have gone bust and dragged others down with her. Disclosure or not some people are just greedy borrowing on top of unserviced debts i think the bank did well

  20. Wayne Kazima says:

    All Bamks obtain and share client’s credit worthiness information before providing such products like loans, Overdrafts and even opening of a mere current account just to protect each other. It’s clients like you who are destroying the lending market. If you have an U serviced debt, why should other financial institutions make you more indebtness? That’s not only putting the bank at risk but unfair on you as a client. The Banks have a duty to protect clients from such commitments.

  21. MELINDA says:

    @5 kkkkkkkkkkk

  22. Mphwiyo says:

    Amayendanso pansi ameneyi…timakumana naye kikikikiki, save your little monies than kumufupa lawyer

  23. ujeni says:

    Cry me a river for Malawi, a country full of ignorant people, why was Patridge giving out confidential information. Even doctors have confidential relationship with patients. Cru a river for a coumtry so full of dundderheads

  24. nasimelo says:

    the bank had a duty of care in this case because this Mwase woman would have robbed more people

  25. Namarokoro says:

    After all is said, I reckon Patricia is a hard working woman. I once worked wit her back in 2009. PN, keep working hard. Your hard work will pay off some day. Gud luck!

  26. Gule wa mkulu says:

    Bambo Sally Navara

  27. chinkombaleza gumanyundo gowa says:

    Bvuto la anthu akuba ndilimeneli Iwe mai umafuna umubele ndani waona walephera ulibe makobili ndiye pano ukufuna kubela bank koma zimene NBM amanena ndizonama anthu kubisalira ku malamulo bwanji nchifukwa chache mulungu amati malamulo samapulumutsa munthu koma amamudziwitsa tchimo chifukwa malamulo a padziko amchiluka za ukatsyaLI BASI.

  28. otate says:

    A patilisha nanu

  29. Wailing Soul says:

    It should be the opposite. I thought the whole essence of establishing a credit reference bureau is for all financial institutions to share credit scores of their customers. That’s how it is all over the world. In the US, the UK, France, Germany even South Africa and Kenya, name it, before you establish such a business that deals with money issues, or before you obtain a loan, the lender has to source your “financial health status”. I doubt if she will win this case in all fairness. I am not a lawyer, neither an economist. But my argument is based on my international experience of borrowing and paying back money as I have lived in many countries that are ahead with issues to do with credit referencing.

  30. frank says:

    Azimayi ambiri ayamba kuba companies beware of them. they look so innocent when asking.Ngati ameneyu amafuna kuti akubisidwe cholinga choti ubele bank ina.

  31. manyasa says:

    The Bank must pay Mwase for the damage, Stupid CEO, at that age you dint know consequencies of announcing people’s secrets with the Bank??

  32. Ine says:

    Kkkkkkkkkk…..The hunter has become the hunted! oMwase siyinu mumapatsa fight for disclosure of clients’ credit status under your Credit Reference Bureau. Tsano ngati zakupwetekani ine nanga enafe?

  33. inenso i was here says:

    go for it tricia, i’m behind you 100%. just present your case bwino bwino and you’ll get paid big time. olo 50 million itha kugwira. these creatures think they own the world.

    abakha enanu amene mukunyozanu, sizikugwirizana ndi ngongole. tikukamba za confidentiality apa. inu mulibe ngongole? shatap!

  34. Bololo says:

    So the one operating a CRB was not servincing her loan. kikiki. Kuba basi. Mwase lead by example.

  35. one malawi one people says:

    it shows mukudziwana , mutiuza mukathana.

  36. sunderstar says:

    This is a good case study. National Banking using confidential information of its customer / former employee used that information to under rate and to sabotage her business. Used the information that they had privilage of to wrestle the business out of her to their benefit, used superiority and banking muscle to influence other CEO not to do business with her company.
    National Bank of Malawi breached the trust accorded to it by its clients by using the information trusted to them to Gain advantage.
    Our constitution say, A Malawian has a right to do business in any trade one is compitent anywhere to earn a living without hinderance and in this respect the lady is being forced out of business in a bully manner by Patridge and National Bank and they have to pay her as per courts determination.

  37. envy says:

    Comment number 4, who is GP? Ndi another creature created by God and he can be sued sikuti akulimbana naye koma needs justice. Banks are supposed to be exemplary in terms of confidentiality. Timaona ma salaries a mabwana a pa town nkumadziwana ndi ana awo plus ma girlfiends wives, etc koma no need to disclose this. Afunsidwe basi.

  38. anabel mitawa says:

    bwezani ngongoleyo basi sizombezembanso apa

  39. chakwanuleka says:

    If it is true that the bank disclosed information concerning its customer, then a serious breach was committed and Patricia Mwase is entitled to redress. It is unbelievable that such basis mistakes can come from a big bank like NBM.

  40. mercy says:

    Lol..every does background checks if you want to borrow money. So she didn’t want other institutions up check her credit history?

    1. Wodala says:

      Mayi Mercy chimenechi ndi chiNgelezi? Pepani ndithu!

  41. Mayi opusa kwambiri ameneyu..ungalimbane ndi anthu monga George Partridge?? wachepa nazo kutali tali

    1. Malawiana says:

      You are the one who is OPUSA ZEDI. So in your sane mind you think there are people who are above the law? Useless hero worshiping which has led this country to be the poorest mother earth has ever accommodated.

  42. chilombo says:

    Kkkkk kuthawa ngongoletu uku. Ukufuna akulipire ulindi ngongole yawo kale!

  43. nganga says:

    Vuto lake ma bank wa…..

  44. Totoooba says:

    Just pay your debts baasi shat sue sue mbawa mai iwe

Comments are closed.