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).

Bvumbwe and Magalasi: Questions over Mera rot
Chaudry (left) with  former president Mutharika

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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Benjones
Benjones
8 months ago

But Malawi was for sale to Indians. What a shame.

ERUTU
ERUTU
8 months ago

ROT 🇲🇼

Livulezi river
Livulezi river
8 months ago

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.

KKKK
KKKK
8 months ago

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.

God’s Witness
God’s Witness
8 months ago

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.

Chimwene wa Anabanda ku Joni
Chimwene wa Anabanda ku Joni
8 months ago

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

Nyakwawa A
Nyakwawa A
8 months ago

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.

Harsukh Ramanandi
Harsukh Ramanandi
8 months ago
Reply to  Nyakwawa A

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..

God’s Witness
God’s Witness
8 months ago

Harsukh Pakistanis own Kashmir. If India gives up Kashmir then Pakistanis will not come to Africa

Shabir Latif
Shabir Latif
8 months ago

Can somebody tell me the update on kanengo northgate and Phanes Energy kuti zinyenda mwantundu wanji

Energy gate chonde abale

Kanjedza
Kanjedza
8 months ago

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

Mangochi Kabwafu
Mangochi Kabwafu
8 months ago
Reply to  Kanjedza

Not paying a year in advance.

Chamunorwa
Chamunorwa
8 months ago
Reply to  Kanjedza

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… Read more »

Bandung Cincau
Bandung Cincau
8 months ago

Nazigweru Magalasi anafatsatu kumeneko! Nawo a Joseph Bvumbwe dyera

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