Joyce Banda named in US confidential report over arms deal:  Clarifies ‘president do not award contracts in Malawi’

September 21, 2020 Mike Fiko –Nyasa Times 24 Comments

Former president Joyce Banda appears in the US FinCEN files which have revealed how some of the world’s biggest banks have allowed criminals to move dirty money around the world as she was investigated over Malawi government’s arms procurement deal with South Africa’s Paramount Group.

Joyce Banda: President do not award contracts in Malawi

Financial Crimes Enforcement Network (FinCEN), an agency in the US Department of the Treasury, who combat financial crime, has more than 2,500 highly confidential documents – the FinCEN Files – that have been seen by Nyasa Times as part of the latest project from the International Consortium of Investigative Journalists (ICIJ).

Banda is featured in the report which was written by Barclays Bank which commissioned Orbis Business Intelligence – owned by Christopher Steel, a former British spy famous for his role in investigating Russia’s meddling in the election of US President Donald Trump.

The report puts Banda in spotlight with her administrations barter-trading the Presidential Jet Dassault Falcon 900EX, valued at $15 million, to a Paramount Group subsidiary as part of the settlement for the arms deal. The jet was sold in 2012.

According to the report, Paramount – Africa’s largest private defence and aerospace firm and its founder Ivor Ichikowitz benefitted from their cosy ties with African leaders by being awarded major contracts and Joyce Banda is mentioned alongside South Africa’s ex-president Jacob Zuma as some of the leaders.

Banda administration had a deal with Paramount Group to supply Malawi with equipment that includes seven interceptor boats and training for the Malawi Defense Force (MDF).

The boats were delivered and deployed to maritime border patrol duties on Lake Malawi.

The deal also covered the supply of modern combat and camping gear for MDF units deployed on active combat with the Southern Africa Development Community Rapid Intervention Brigade, fighting rebel groups and militias in the eastern Democratic Republic of Congo.

The deal also gave the South African company lucrative contracts in the fuel trade and agro-trade businesses.

When Banda bartered the jet, she continued to use it regularly to travel to events around the continent. The trips formed part of a total of 20 private plane flights she took in just three months at the end of last year, it was said.

But when Banda was dealing with Cashgate, a major scandal over corrupt procurement deals made by government departments, leading foreign donors including Britain to suspend direct aid that had accounted for 40 per cent of the impoverished country’s budget, a family foundation run by the directors of Paramount was paying for Bell Pottinger, a London PR firm, to burnish Banda’s image.

However, Banda has maintained that she did not break any law in the awarding of the contract to Paramount Group and that she was not personally involved in the procurements of the boats.

“Allow me to make is very clear once again. President do not award contracts in Malawi,” said Banda in an e-mailed comments to ICIJ.

Banda states that she was informed that Bell Pottinger “certainly did not play any role in the awarding of the boat contract; hence any such suggestion is malicious and false.”

She could not comment on the relationship between defunct Bell Pottinger and Paramount.

Banda said the boats contract was not awarded by her  as a sitting President at the time, stressing that the contract between Malawi Government and Paramount was concluded according to Malawian Government processes and was signed by both the Ministry of Finance and the Ministry of Defence.

She said at the time of signing, a legal opinion was sought from Malawi Attorney General “confirming both the legality of the agreement and its validity under Malawians law.”

However, the deal was cancelled in August 2014  following a change if administration  as the then Minister of Finance  in the Peter Mutharika,  Goodall Gondwe, who had also served Banda and Minister of Economic Planning, said the deal was substantially over-valued while its repayment terms were unsustainable for the struggling economy.

The bulk of the documents in the FinCEN Files were leaked to BuzzFeed News, which shared them with the ICIJ and 108 other media partners, including the BBC.

FinCEN “collects and analyses information about financial transactions in order to combat domestic and international money-laundering, terrorist financing, and other financial crimes,” according to the agency’s website.

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24 replies on “Joyce Banda named in US confidential report over arms deal:  Clarifies ‘president do not award contracts in Malawi’”

  1. ‘Show me your friends and I will show you who you are’. Well she’s friends with Mcp, Chakwera and Tonse alliance. A bunch of thieves. Vermin and blood suckers of this land

  4. While I have no taste for JB my reading of the report shows that its very vague. It cannot be used to prosecute her. If is futile to drag leadership of Tonse Alliance in this. Do you know the role of the Attorney General in a democratic government?

  5. If DPP government had all this “ evidence” against her how come they never arrested her all the time DPP was in power!

  6. So what is the issue here if you are saying that the deal was cancelled by the New Administration In August of 2014. Something is not adding up in this story

  7. Joyce hands administration was so corrupt. It only helped the rich to get richer and poor to get more poorer. She should answer for her created dirt. Pls tonse don’t hide her.

    1. But Mutharika, Chisale, Getrude, Mulli and cadet errand boys were more corrupt than Banda. Let us call a spade by its name!

  8. We really didn’t need to see this report to know a thing or two about JB. How corrupt was she? Let me count the ways ….

    How can one explain her importation of over 200 cars duty free as the president of such a poor country?

    She was working in lockstep with Mphwiyo and Lutepo, her two “well-wishers” and partners in crime. “The one who receives stolen goods is not a thief”, she boldly claimed. “I know who shot Mphwiyo and why”, she would proclaim, only to flatly deny days later that she ever said that.

    Fact of the matter is, she pocketed (at least some) of those proceeds from the sale of the plane. That’s why we don’t get any straight answers about this deal from her and her cronies. Now she’s claiming “presidents do not award contracts “. Of course not! What a stupid statement.

    2. When Mphwiyo was in remand at Zomba Central Prison Joyce Banda started staying at State House Zomba to communicate secretly with Mphwiyo. Check this out ACB.

  10. I forget. Let Mama Corruption tell us about the Indian from London who flew in on a private jet carrying cash was. NyasaTimes at the time carried the story. I know him.

  11. That my dear Malawians is the truth about Mama Corruption Joyce Banda. A criminal from top to bottom. Nothing good about this corrupt woman. She has used politics and a subservient husband to loot and loot. She says ‘Presidents do not award contracts”, but it’s far worse in Malawi Presidents direct who to award contracts to, never mind others signing the contracts. To see Mama Corruption as part of Tonse is disheartening and sad for this is a sure sign that Tonse is corrupt too, for birds of a feather gather together. No doubt about that. And so we see Kokoliko and other forms of corruption in Tonse.

  12. This is the time when Chakwera and Chilima and probably Tonse Alliance to show that they are serious to clean the rubble created in Malawi and be serious that their justice is not selective. Show us Malawians that cases will be done according to the Law and that every individual who has gone against the Law, Justice must take its course. International organizations have done their part, everything is now out and let justice now flow as water in the river

    1. Remember paja 2014 anawagawirako a Laz atapempha za jet. Siziphula kwnthu coz aziti zilibe umboni. Matembanso ndiye akungofuna kuteteza mpando. Sachitapo kanthu momwe watayira ya Mbilizi paja analiwesanso za mcp opanda msonkho with transportation minister. Kkkkkkk gigsaw puzzle!!! Tiyeni a Malawi tizigona chabwino palibe!! Rashy walowera pati wa dpp mpaka 2019????

  15. This woman can say that but she was in charge. She could not control or manage the country. Malawi was fucked up because of her. She should bury her head in the sand.

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