Cashgate prisoner Lutepo sues Standard Bank of Malawi for ‘breach of contract’ over K663mil deal

Businessperson-cum-politician Osward Lutepo who is serving a prison sentence after being convicted as Cashgate convict has dragged Standard Bank of Malawi to High Court for breach of contract.

Lutepo: Sues Standard Bank of Malawi

Lutepo, who was handed 11 years custodial sentence for money laundering and conspiracy to defraud government, is seeking damages from Standard Bank.

He sued  Standard Bank over a K633 million tender he won in 2013 AT Electricity Supply Corporation of Malawi (Escom)  through his Cashgate tainted  International Procurement Services (IPS) to supply line materials valued at K663 022 606 00.

Lutepo claims the bank approved his application in February 2013 to finance his contract through payments to be made by means of 30 percent cash and 70 percent through Letters of Credit arrangement.

However, in a statement of claim, Lutepo accuses the bank of failing to provide 70 percent Letter of Credit and that it did not finalise payment to his foreign suppliers forcing them to withhold the remaining part of the materials to deliver the remaining part of the goods to Escom.

Judge Micheal Mtambo has since adjourned the matter to June 22 and 23 2017 after lawyer Louis Ulaya asked the court that the bank’s attorney was not available as he was sitting for examinations.

Lutepo’s lawyer Nickson Masiku did not object to the adjournment.

The former People’s Party (PP) senior official was convicted on his own plea of guilty on charges of conspiracy to defraud government and money laundering of K4.7 billion between April and September 2013.

He had  a restitution of his Woget Industries valued at K370 million.

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Jacs
Jacs
4 years ago

Unali kuti namwe Lutepo Ife Ku standard bank we knew mabwana athu goofed big time and where they are they are sweating. Anthu oyipa pano muyaluka board ikafuna kufufuza kuti analakwitsa ndi ndani kaya Ife tidzingoyang’ana mu lift thukuta lanu. It’s time for poor Lutepo to be rewarded legitimately

Mapwiya
Mapwiya
4 years ago

Apa siza Scotland Yard Nsanje bwanji Ine I work Ku ESCOM and Lutepo won this contract on merit his bid was the best. Agalu andale anamuwonongela future. It was a clear legitimate contract and the unproffessionalizm of some bank officials put spanners in the contract its time for the bank to pay big time for the mistakes of its employees. The judge mtambo is known to be an objective judge that he will not prefer the bank when its in the wrong nor that he can be moved by the media Nop. The way Nyasa times has written this is… Read more »

Melvin
Melvin
4 years ago

Kkkk kwazaza mbava kumabank amaona ngati Ali on top of the law agalu amenewa

Melvin
Melvin
4 years ago

Banks are supposed to be smart osati corrupted ,its really sad mmalo mumulipila munthuyo mukupeleka mamillion ambiri mbiri kwa judge ndipo majudge ake iiii ,chilungamo anagulisa kale NDE ife tizipulumukila kuti poti ndalama tilibe tupiti

Nelson
Nelson
4 years ago

Kapandayo kodi wadyaso Ku standard bank bastard

Dzika leni-leni
Dzika leni-leni
4 years ago

First indication of Lutepo involvement with ESCOM. Maybe there is more to fire at ESCOM at around same time. Bring in Scotland Yard

Meja
Meja
4 years ago

Khoti kondelani munthu bank ndiyolemela kale musapange ngati kapanda kulandila 10 million Ku FDH judge wausilu

Bwana Lutepo
Bwana Lutepo
4 years ago

Inglis Nyamilandu very corrupt when approving loans. Standard Bank full of crooks.

Paul George
4 years ago

Ama Bank Simulibwino

Mbuyache
Mbuyache
4 years ago

Justice

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