Greenbelt Authority Scandal: How K39 Billion Was Stolen in Just Four Months

January 20, 2026 Our reporter Be the first to comment

What was supposed to help Malawi grow more food has turned into one of the biggest corruption scandals since Cashgate.

Investigators say at least K39 billion of public money was stolen from the Greenbelt Authority (GBA) between March and July 2025. The money was taken using fake invoices, inflated contracts, and fake work certificates. Senior government officials worked together with private companies to steal the money.

The Anti-Corruption Bureau (ACB) says K36.78 billion was paid to contractors without proper guarantees and without real work being done. The money was later withdrawn in cash and shared among company owners, Greenbelt officials, and politicians.

What Is the Greenbelt Authority?

The Greenbelt Authority is a government-owned institution, created under the Greenbelt Authority Act of 2017. Its job is to support large-scale irrigation farming to improve food security and grow the economy.

Instead, investigators say it became a cash machine for looting public money.

Where the Money Came From

The stolen money was meant for four major irrigation projects under the 2025 Greenbelt Initiative:

  1. Nthola Ilora – Karonga
  2. Lweya – Nkhata-Bay
  3. Mlambe – Mangochi
  4. Nchalo – Chikwawa

The main bank accounts used were:

  • NBS Bank – Account number 00022439324
  • CDH Investment Bank – Account number 0050400022203

The account signatories were:

  • Eric Chidzungu – CEO of Greenbelt Authority
  • Linda Phiri – Director of Finance and Investments (now arrested)

Companies That Benefited and How Much They Got

  1. Einstein Construction Limited
  • Contract: Rehabilitate Mlambe Mega Farm (Mangochi)
  • Contract value: K21 billion
  • Contract number: GBA/IPDC/W/NCB/MLAMBE/2024/25
  • Signed by: Eric Chidzungu (GBA CEO)
  • Company Director: Kenneth Khonje (arrested)

Payments received:

  • 87 billion paid using fake work certificates
  • Another K615 million sent to Caesar Isaac Kumwenda (Circuit Electrical Contractor)
  • K400 million sent to Shukrahn Seleman (Kabiki & Partners employee)
  • K500 million and K700 million sent to Joseph Banda
  • K400 million and K600 million sent to Allan Chapweteka (Achapwe General Dealers)
  1. PLMB Engineering Investments
  • Subcontract from Einstein Construction
  • Subcontract value: K4.93 billion
  • Legal limit: Their licence only allows projects below K1 billion

Payments received:

  • 2 billion paid by Greenbelt using fake certificates

What they did with the money:

  • K1 billion transferred to Mphatso Mtonza (could not explain why)
  • K100 million each deposited into private accounts of:
    • Stanley Bakolo (MD – arrested)
    • Victor Chabwera (MD – arrested)
  1. EMD Consulting Engineers
  • Role: Supervision of Einstein Construction works
  • Contract value: K1.7 billion
  • Payments received: K840 million

Money shared:

  • K55 million sent to Shukrahn Seleman
  1. Kabiki & Partners Engineering Services
  • Contract: Supervision of Nthola Ilora irrigation scheme
  • Contract value: K3.95 billion
  • Payments received: K1.17 billion

Kickbacks paid to Greenbelt officials through third parties:

  • Chester Chikwere
  • Synoden Kautsi
  • Masautso Kamowa
  • Kelvin Lichapa
  • Steven Likaka
  • Dyson Matimati

Specific payments:

  • K151 million paid to Synoden Kautsi via cheques
  • 4 million paid to Mphatso Mtonza
  • 4 million paid to Kelvin Cheza
  • K10 million from Cheza sent to Chisomo Kumbuyo
  • K3 million sent to Kumbuyo by Chester Chikwere

Key Greenbelt Officials Who Benefited

  • Eric Chidzungu – CEO (approved payments)
  • Linda Phiri – Director of Finance (approved fake certificates)
  • Chisomo Kumbuyo – Director of Irrigation Operations
  • Masautso Kamowa – Procurement Manager
  • Synoden Kautsi – Infrastructure Development Manager
  • Chester Chikwere – Irrigation Engineer

These officials approved payments without work being done and later received money from contractors.

Money for Politics

Investigators say some of the stolen money was:

  • Used for political campaign materials
  • Given to politicians in cash
  • Withdrawn from banks to avoid tracking

One shocking case involved K2 billion being paid into a student’s bank account, even though the student declared a monthly income of K250,000. Banks failed to flag this transaction.

Arrests So Far

Arrested on January 17:

  • Linda Phiri – GBA
  • Masautso Kamowa – GBA
  • Synoden Kautsi – GBA
  • Kenneth Khonje – Einstein Construction
  • Victor Chabwera – PLMB Engineering
  • Ephron Mwenitete – EMD Consulting Engineers

Arrested on January 19:

  • Chisomo Kumbuyo – GBA
  • Stanley Bakolo – PLMB Engineering

More arrests are expected, including senior government officials.

A Long History of Corruption at Greenbelt

This is not the first scandal at Greenbelt Authority:

  • 2014 Tractorgate: Tractors bought at K74 million each were sold to politicians for K10 million
  • 2022 Audit: K4 billion stolen at Nchalo Greenbelt Limited
  • 2024 PPDA Case: Greenbelt fined for illegally changing tender documents

Bottom Line

  • K39 billion was stolen
  • One institution
  • Four months
  • Fake contracts
  • Fake certificates
  • Money shared among companies, officials, and politicians

This scandal is bigger than Cashgate because all the theft happened in one institution.

The investigation is ongoing, and more arrests are expected.

 

DISCLAIMER: This story first appeared on Platform of Investigative Journalism (PIJ).

 

 

 

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