9 to testify against ‘Cash Madam’, others in 16 counts of fraud and money laundering case

Director of Public Prosecution (DPP) Steve Kayuni has  said prosecution will  parade nine witnesses to prove their  case against former Malawi Energy Regulatory Authority (Mera) chief executive officer Collins Magalasi, businessperson Dorothy Shonga-Nkhoma  alias ‘Cash Madam’ and two others who are answering fraud and money laundering charges.

Magalasi , Dorothy Shonga ‘Cash Madam’ and two other Mera officials Patrick Maulidi and Bright Mbewe, pleaded not guilty to all charges at the Lilongwe Magistrate.

The top prosecutor Kayuni said the State is ready to prosecute the matter.

“We are ready to prosecute the matter,” said Kayuni.

“There are nine suspects to be paraded,” he added.

The four  are suspected of inducing Mera’s Internal Procurement and Disposal Committee, between August 2019 and July 2020, to approve procurement of various items amounting to K 107 032 231 from Vink Enterprises owned by Dorothy Shonga ‘Cash Madam’, a business partner to Magalasi in D.C Brands Company.

On two other money laundering counts, Shonga-Nkhoma is suspected to have acquired K30 million for herself through her Standard Bank account number 9100002422422 but also transferred K6 million to Magalasi’ Standard Bank account number 9100001571297. For acquiring the K6 million, Magalasi is answering another count of money laundering.

‘Cash Madam’ is also suspected to have used a TPIN number to clear 8 000 metres of cloth at Songwe Border Post in Karonga without the knowledge of the owner to evade value added tax . Magalasi and Dorothy ‘Cash Madam’ are jointly answering a count of making a false statement. They are also suspected to have used a dubious passport of Viecca Paul a Turkish national to open an account at CDH Bank when apparently Viecca Paulwas the middle name of Magalasi, according to the charge sheet.

Magalasi, Mbewe and Maulidi are suspected to have entered into a procurement contract in the name of Vink Enterprises for the supply of various items at inflated prices of more than full value of supplied goods leading to Malawi Government losing K157 258 995.

The three are further answering a count of public misprocurement through conduct of public officials, among other charges.

Kayuni proposed the hearing of the matter starts April 27 and  Chief Resident Magistrate Paul Chirwa adjourned the case to April 27 for trial to start.