Court asked to seize Blantyre Water Board funds over K3bn debt
Blantyre Water Board, the utility responsible for keeping taps running across Malawi’s commercial city, finds itself embroiled in a High Court battle that could see its bank and mobile-money accounts raided to settle a debt approaching K3 billion.
Court papers lodged at the Commercial Division of the High Court in Lilongwe reveal that Madalitso Chika, trading as Mortech IT Solutions, has grown tired of waiting for BWB to make good on two separate court judgments — and is now asking judges to go straight to the source of the money.
Six of the country’s best-known financial institutions have been drawn into the dispute as a result: National Bank of Malawi, FDH Bank, First Capital Bank, Ecobank Malawi, Airtel Mobile Commerce and TNM Mpamba.
None of the six stands accused of wrongdoing. They have simply been named because they are thought to be sitting on BWB’s money.
A debt that has been mounting since May
The figures at the heart of the case are substantial. Two judgments — handed down on 20 May and 2 July this year — ordered BWB to pay Mortech IT Solutions a combined K2.576 billion. Add in K386.5 million in collection costs, and the bill now sits at roughly K2.96 billion.
With the water board apparently unwilling or unable to pay up, Mortech’s lawyers have turned to a legal mechanism known as a third-party debt order — effectively asking the court to instruct the six institutions to hand over BWB’s funds directly, bypassing the water board altogether.
Not a foregone conclusion
It would be premature, however, to assume the money has already changed hands. The application is exactly that — an application.
Nothing in the court papers suggests the banks or mobile-money operators have moved a single kwacha, and the amount of money BWB actually holds with each institution remains undisclosed.
The decision, ultimately, rests with the judge.
A test of the water board’s finances
For an organisation charged with supplying water to homes and businesses across Blantyre, a debt of this size is no small matter.
Should the court side with Mortech IT Solutions, the water board could see a significant chunk of its liquid assets diverted to clear the judgment debt — a scenario that would inevitably raise questions about its financial resilience.
That said, there is nothing in the filings to suggest BWB’s day-to-day operations have been disrupted, nor that residents have felt any impact on their water supply.
The parties
The application was brought by lawyer Khumbo Bonzo Soko of Soko & Co, acting for Mortech IT Solutions.
The case pits the small IT firm against one of Malawi’s larger public utilities — a reminder that even modest creditors can bring considerable pressure to bear through the courts.
What comes next
The High Court must now weigh whether to grant the order. If it does, the six institutions will be compelled to release BWB funds to settle the debt. If it declines, Mortech IT Solutions will be left to explore other avenues of recovery.
For now, the case remains a civil enforcement matter — a dispute over money owed, not an allegation of criminal conduct by anyone named. But with almost K3 billion on the table, it is one that Blantyre’s water utility can ill afford to lose.
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