Asian businessperson Chaudhry faces arrest, Bishop Bvumbwe to be quizzed over Mera scandal
A wealthy Asian businessman Karamat Ullah Chaudhry faces arrest over investigations of the procurement of a new mobile laboratory fuel testing van by Malawi Energy Regulatory Authority (Mera).
Fiscal police have already arrested Mera chief executive officer Collins Magalasi and Bright Mbewe from Mera’s procurement department over the contract that relates to the procurement of a K700 million fuel testing van.
The energy sector regulator awarded the contract to City Motors .
However, it has emerged that on 7th May 2019, Mera paid City Motors MK563, 200,000.00 which translates into 80 percent as advance payment, contrary to Procurement Regulations to make advance payment in purchase of goods procured locally.
The Human Rights Defenders Coalition (HRDC) has also asked the Anti-Corruption Bureau (ACB) to act on the matter.
Mera advertised for the procurement of a mobile fuel testing laboratory van. On 3rd April 2019, Mera entered into a contract with City Motors for the supply of the said laboratory van for the contract value of K704 million.
Almost a year later, on 17th April 2020, Mera paid MK140.8 million to City Motors translating to 20% of the contract sum.
But the mobile laboratory van was delivered to Mera in April 2020, a year after the contract was agreed. Furthermore, delivery was made almost a year after the 80 advance payment.
On 2nd March 2020, two MERA staff members, Bright Mbewe and Nelson Mandala, went to Johannesburg, South Africa, to inspect the laboratory van.
HRDC observes that there are several questions including why Mera dealt with City Motors (a middleman with no known expertise in fuel testing) when they could have procured directly and cheaply from suppliers.
“We also are surprised why MERA was involved with a South African dealer and not leave that to City Motors,” says the coalition.
It is also reported that the van did not come with the equipment as stipulated in the contract.
Furthermore, the contract indicated that the van would be an Iveco Daily Panel Van but what was delivered is a Mitsubitshi.
Nyasa Times understands that Chaudhry will be picked for questioning.
The law enforcing agencies are also keen to question Mera former board chairperson Bishop Joseph Bvumbwe of the Evangelical Lutheran Church on what role the board play did when there was massive plunder at the energy regulator during his tenure.
President Lazarus Chakwera has stressed that the nine-party Tonse Alliance administration he is leading will not shield any corrupt officials and emphasised that there will be transparency in procurement processes.
He also said he was aware that some unscrupulous businesspersons register business entities under different names to dominate and reduce chances of smaller bidders.
Chakwera, who paired UTM Party president and the then country’s estranged Vice-president Saulos Chilima in the presidential ticket, campaigned on a platform of fighting corruption, impunity and abuse of public resources.
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But Malawi was for sale to Indians. What a shame.
ROT 🇲🇼
Ndiye nkhaniyi mwati bwanji ?
I can’t understand it.
I mean where is Chaudry appearing in this story.
Chaudry deals in forex and groceries among some of his businesses.
So , I am failing to link him with this story cos no where had the author indicated Chaudry’s involvement in the said motor vehicle deal.
Don’t touch the Man of God. God will punish you. The TORs for the board members in accordance to corporate governance key pillars do not allow the Chair or any member to interfere, intrude, influence or conduct management business affairs. The role of the board ended at the time it approved procurement of the mobile lab. Do not mistaken board to IPC members. After conclusion of the procurement, management is to present a a procurement report to a full board for noting.
For a man in his eighties this gorilla Mutharika was greedy beyond belief. His children are well settled. He has houses galore which he bought cheap, cheap prices and had stolen billions. But his greed made him go fir trillions. This MERA deal would Benitez be possible with Mutharika getting his share. Lock Mutharika up too. He is the master mind.
All Indians are born to rob us Malawians. Chase them all out after they have repaid money looted from us.
Indians have been perpetrators of corruption in Malawi for years and we have turned a blind eye. Time to sort them out. My message to the Vice President is that Malawi has let itself down because of poor systems. Why do we still have manual payment systems in many of our city councils? A better way to get rid of corruption is to encourage cashless payments systems. Cash is King but it encourages corruption
Chaudry is a big thief who deals in illegal forex, illegal importation of expensive cars money laundering and multi billion supplies to government is was big DPP financier.
DPP government gave him diplomatic status as Pakistan Consulate with offices near Mike Appel and Gatto in Limbe.
Bwana Chimwendo. Ntchito Imeneyi. Kulinso illegal amwenye ku Mapeto, Tiger Company near Bakhresa in Limbe, in fact all Indian businesses in Blantyre including hotels.
So if this individual is a diplomat representing Pakistan .. it would be presumed that he is a Pakistani National ..
Why then.. are you referring this this obnoxious businessman as an Indian ?..
Has he got an Indian Passport ?..
Please someone in the know advise us …
Regards
Harsukh..
Harsukh Pakistanis own Kashmir. If India gives up Kashmir then Pakistanis will not come to Africa
Can somebody tell me the update on kanengo northgate and Phanes Energy kuti zinyenda mwantundu wanji
Energy gate chonde abale
Please call all the bidders and get clarifications. Secondly advance payment can be given as long as there is bank guarantte given by the bidder. PPDA regulations does not barr the procuring entity from giving advance
Not paying a year in advance.
I have never been able to understand why the procurement entity does not give advance payment nor issue ILc’s when it comes to local companies . When dealing with outside companies they follow the requirements needed by that particular company. No outside company will supply goods to the government procurement entity without either receiving an advance payment or a confirmed letter of credit. Local companies are required to borrow expensively from local banks to finance the order and in turn get paid 30 0r 60 days after delivery .Local companies have no say in the procurenent process from the order to the final paynent. Infact we finance governnent business by borrowing expensively.Local companies are the mercy of the government procurement entities when it comes to business. Its a master slave kind of relationshop. Success of indigenous businesses will always be a pipe dream. Consinder the interest paid assuming one had borrowed from the bank. Deliveries like this petrol van which came 12 months after placement of an order is normal. That explains why goods sold to government are exorbitantly priced to incorporate the high costs of borrowing sometimes from loan sharks. On this order in question i think people are misplaced in arguing about the delivery period as this is normal for such specialised equipment. What we can argue about is possibly the amount charged or maybe the way the procurement was conducted and even so we need to have the full facts if ever there was any misdemeanour . Not much technical goods sold to GOM are produced in Malawi, from tooth picks to Transformers. The arguement that Government should buy direct from Manufacturers is misplaced and does not conform to the dictates of trade and commerce. No country will succeed without the middleman. Imagine bakeries producing direct to the consumer.Shoe manufacturer direct to the consumer. What would happen to the vendor. How would government create employment . The promised 1million jobs. The middleman is needed like it or not. A lot of companies in South Africa do not produce anything. There are mere agents of the overseas manufacturers .So there was absolutely nothing wrong in City Motors responding to a tender floated locally. The tender did not state that only manufacturers or outside companies should respond. With such an attitude how does Malawi hope to create the 1million jobs.
Nazigweru Magalasi anafatsatu kumeneko! Nawo a Joseph Bvumbwe dyera
All parties involved in this looting transaction should face the arm of the laws of Malawi
Sabadia or Chaudry?
Mmwenye ameneyu munkwidzinge ndi unyolo uja wagudwa MK100,000. 😁⛓🔗
Mr President, you have started well to clean the rubble you found in govt, butl am you are aware that some people in Tonse Alliance are part of the rubble. Please flash them to prove to Malawians that you are not going to shield anyone. Let these guys resign and tell Malawians how much money they stole.
Nyasa times kuthamanga udyo. Your article does not make sense!!! Chaudry and city motors are 2 different entities..pls get your facts right first
If MERA board knew, what did they do about this plunder? What if they did not know? If they board did not know then there was no board at MERA.
Nelson Mandala too close to Nelson Mandela, don’t ya think?
This Pakistani is a big crook and involved in huge money laundering scandals with links to terrorist groups in Pakistan. They keep fake businesses as a face but these people are key people involved in all illegal dealings and externalizing our forex. Dig deep into investigating this guy and sana guys, and other Pakistani nationals disguised as businessmen
If this government will survive it must make flushing out all Pakistanis a priority. They make money in Malawi and externalize our foreign exchange to finance terrorists back home and in the Middle East.SANA too financed terrorism
It will be exciting to arrest Bishop joseph Bvumbwe. [ …and his cash madams!]