Unprocedural disbursement of funds at Malawi Embassy in Berlin

Allegations of fraud at Malawi Embassies abroad are embarrassingly tarnishing the image of the DPP-led government of President Professor Arthur Peter Mutharika.dali docdali document 2Dali document

Shumba: Malawi to engange Mozambique into serious talks

Shumba: Kabambe acted within the law

While the issues about fraud at the Malawi Mission in Addis Ababa and other missions have not been fully resolved, the very controlling officer of the line Ministry of Foreign Affairs and International Corporation, Dalitso Kabambe, is ‘caught in the act’ authorizing illegal and unprocedural disbursement of funds at the Malawi Embassy in Berlin.

In two separate memos dated May 27 and May 31, 2016, the PS instructs the Malawi envoy to Berlin to use close to K13.5 million from the ‘Deposit Account’ for purposes that would have been funded by the Ministry directly or through the Treasury.

In the first memo, the PS is instructs the Malawi Mission in Berlin to pay for external travel and telephone allowances and the upgrading of air tickets for himself and Foreign Affairs and International Cooperation Minister, Francis Kasaila. It is not indicated where the two officials are travelling to and for what reason. Other officers involved are Suzgo Mandala and Loyce Merrick.

According to a Treasury official who opted for anonymity, the money that the PS authorized the Berlin Mission to spend is revenue that the Mission collects through various ways, including Visa fees. This money is meant for Account No.1, which can only be drawn with Treasury’s nod.

“The PS obviously flouted procedures by dipping his fingers into that account. Is the Ministry now funding itself without the approval of Treasury and Parliament? How much money has been abused or will continue to be abused since the Embassy keeps a lot of money considering the huge number of countries it is accredited to, which means high levels of revenue,” the official wondered.

Apart from Germany, the Berlin Embassy is also accredited, on a non-residential basis, to Armenia, Azerbaijan, Austria, Belarus, Bosnia and Herzegovina, Bulgaria, Czech Republic, Croatia, Estonia, Georgia, Greece, The Holy See, Hungary, Kosovo, Latvia, Lithuania, Macedonia, Poland, Romania, Russia, Serbia, Montenegro, Slovak Republic, Slovenia, Turkey and Ukraine.

According to sources at the Embassy in Berlin, that Mission keeps tens of thousands of US Dollars in the Deposit Account because nationals from all these countries wishing to travel to Malawi have to obtain Visas from the Mission in Berlin.

Government could do better if it used this money to buy drugs for hospitals and improve service delivery rather than just paying air tickets and allowances for the Minister, the PS and a few Ministry officials, according to the Treasury official.

What has raised more eyebrows is the authorization in one of the letters that the Berlin Mission must pay for air tickets through a Rwanda-based travel agent in account at Bank De Kigali in Rwanda.

“Why are they buying tickets in Rwanda and not in Malawi? What’s so special with that travel agent? This smacks of fraud and corruption,” claimed the Treasury official.

Ministry of Foreign Affairs and International Corporation spokesperson, Rejoice Shumba, is quoted by The Nation newspaper as saying the PS acted within the law “as under the Budget Law and Appropriations Act, all resources appropriated by Parliament under Vote 260 are under his office’s custody”.

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Achimphamba Oyera
Guest
Achimphamba Oyera
3 months 10 days ago
Prayer and repentance: yes good. But all those without ethics and principles, without Umunthu are empty wishes. The degeneration of Umunthu is reflected in many vices that are best known in Malawi now. The killing of Albinos, the stealing of money in a systemic way; the anger in people. Few Malawians have smiling faces now. Most faces look tired and angry. I see one comment from a person in Germany. He thought Germany and travel would bring Peace and joy. He/she equally is frustrated and angry calling names on the Presidents. That will not help you. The facebook page that… Read more »
Honeycomb Chidyaudzu
Guest
Honeycomb Chidyaudzu
3 months 10 days ago

This is a stupid government and if we are not waking up Malawi is going to perish sooner than later. This Mdala we call our president is surely useless.

Mwakipiki
Guest
3 months 11 days ago
Indeed as Wame said, the people that are making this country poor are the educated we have entrusted with our keys. None of them works in the best interest of this country. I sometimes wonder in the offices seeing big bosses doing nothing but sharing ORT. Look here, the whole PS authorizing payment of airtickets and allowances to himself on the 27th and 31st of the same month!! How can he travel to two different events in such a short time? Even this spokesperson seems not to know what she is saying. How can she say Kabambe acted within the… Read more »
Nom de plume
Guest
Nom de plume
3 months 11 days ago

Ministry of Foreign Affairs accountants, transfer a lot of money to embassies during the months April ,may and June to embassies know very well that the missions would not absolvet the funding. Come June, end of fiscal yeat, the missions transfer all balances to the deposit account. Unbelievable amount of rental and school fees. After June conniving becomes the name of the game. The preserve of MoFa big shorts for foreign trips and allowances including presidential entourage expenses in absence of express special funding.

diplomata
Guest
diplomata
3 months 11 days ago
According to MG Statues, Financial Procedures and Desk Desk Instructions,any money in deposit accounts belongs to Account No. 1 and can, by LAW , only be withdrawn under the authorization of Secretary to the Treasury and should be part of appropriation authorized by parliament. Embassies have a accumulated a lot of Money in the deposit account mostly being balance carried forward at the end of the fiscal year. i wonder why the budget architecture does not allow Treasury to deduct the Ministry of Foreign Affairs all these amounts from its budget as part of prudent finance management and control measure… Read more »
Daka
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Daka
3 months 11 days ago

Even simple additions not correct in one of the memos but the dr signed

Melo
Guest
Melo
3 months 11 days ago

Air ticket costing $5,369 from Malawi to Mozambique????? Within the region air tickets are less than $2,000. This must be a serious joke. Government is not serious.

Masozi Mwenifumbo
Guest
Masozi Mwenifumbo
3 months 11 days ago

Unless we all repent as a nation, IN TRUE HEARTFELT-REPENTANCE, and turn back to God, things are still going to become worse!!!!

Mtumbuka
Guest
Mtumbuka
3 months 11 days ago

This PRO from Ministry of Foreign Affairs is ignorant of the law. I doubt if she even knows what she is commenting about. The money under discussion here was authorized for payment BEFORE it went to Account No.1 and BEFORE appropriation by Parliament…. Therefore, the money is not part of the funding to the Ministry, hence, she can not claim that it was under Kabambe’s purse.The “BEFORE” is what is under contention here. Madam PRO, requesting for an orientation training on various legal and regulatory frameworks should be one of your tasks come 1st July, 2016!!!

Ignorant
Guest
Ignorant
3 months 10 days ago
Thats Daliso Kabambe the real archtect of cashgate together with Mwanamvekha. Nobody in government wants to trace what happened in Treasury when this guy was Budget Director. Surprisingly George Mkondiwa says Kabambe is the best PS. Hahaha Mchawa George Kabambe sanakhwime he is being used by the Llomwe mafia. How can a guy with a PhD do such a thing? As for the PRO just forgive her because her qualification is as a fuckmate thats all. Koma to be fair to her less than 8% of civil servants understand the rules and regulations governibg the civil service. We dont need… Read more »
gunsary
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gunsary
3 months 11 days ago

Nde mudziti malawi ilibe ndalama… all these billions where are they coming from? Koma mukuona anthu mmidzimu momwe akukhalira? Pano ambiri ndayamba kusawapatsa ulemu ndazindikila tsopano many are using stolen monies.

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