Kaphale saves Malawi $132m on network licence case

Attorney General Kalekeni Kaphale has saved Malawi government from paying dK55.4 billion (about US$132 million) damages Malawi Mobile Limited (MML), the country’s third cellular phone service provider licenced in April 2002, demanded in court as compensation for loss of revenue for unlawful cancelling of contract.

Kaphale: Saves government from paying out billions in compesation
Kaphale: Saves government from paying out billions in compesation

High Court Commercial Division ruling by Judge Frank Kapanda on April 20 2012 awarded MML US$66, 85 million  as damages for ‘unlawfully’ cancellation of mobile licence agreement between MML and MACRA.

Macra in 2005 cancelled a renewed mobile licence agreement with MML following unlawful and unconstitutional action of then Attorney General (AG) Ralph Kasambara decision to suspend the Macra board and invalidating the resolutions of the board retrospectively.

But Malawi Communications and Regulatory Authority (Macra) through lawyer, Kalekeni Kaphale and now Attorney General appealed against the damages arguing the company has no basis to demand such money.

Kaphale argued that the MML which is run by Malawians with majority shares owned by South Africans,  doesn’t need to claim such amount because it failed to prove its financial capacity.

“Three years after given the contract, it didn’t set up any structure in Malawi worth to demand such claim,” argued Kaphale.

Supreme Court panel of three judges Andrew Nyirenda, Edward Twea and Richard Chinangwa overturned the lower court’s ruling.

MML registration

MML was registered as a Private Company under registration number 6375 at the Office of the
Registrar of Companies in Blantyre and a Mobile Telephone Licence, valid for 15 years, was issued to
MML on April 19, 2002 by MACRA.

The initial investment Capital outlay is US$15 million likely to increase to US$ 40 million in 10 years.

The Company is owned by three investors namely Finanz Capital Management Private Limited of South Africa with 55 per cent Shares, Finanz Holdings Limited of Mauritius with 35 per cent Shares, and 3x Telecommunications with 10 percent Shares.

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27 replies on “Kaphale saves Malawi $132m on network licence case”

  1. RATHER B A SCIENTIST THAN LAWYER.LAWYERS USUALLY CONTRADICT EACH OTHER FOR SELFISH REASONS AND MOST ARE GREEDY FOR MONEY AND R CORUPT

  2. Theif Kasamba probably cancelled the lincence on purpose so he could share the compasation with these south african theives who registered the company specifically for that purpose, to have the license cancelled and then appeal for compasation. The commercial division so called judge kapanga is probably a mafia and should be arrested, what kind of Malawian would be that daft enough to give away tax payers money to foreigners. Does he think a Malawian company would be treated like that in a foreign country?

  3. GOOD OF YOU BWANA KAPHALE, OTHERS HAVE BE CORRUPTED, LETTING THE GVT TO PAY MORE MONEY AND SHARE, WHERE IN THE WORLD ALWAYS LOOSING CASES, THAT IS ONLY MALAWI ——- SORRY MALAWI.

  4. Malawi needs pipo like u,if malawi can have 10 pipo like u we can save alot. We r very proud of u Worship Kaphale

  5. Bravo Bwana Kaphale. Real Lawyer. Nanga case iliyonse settled out of court kungofuna kudya ma costs.

  6. Atumbuka muphunzire kuyamikira zinthu zabwino. Otherwise you will all perish with God’s punishment.

  7. Give praise where it is due-rather always talk nonsense,anthu ena anabadwa ongotsutsa;komanso aMalawi ambiri amakhala busy kuthandizila anthu akunja kubera dziko lawo lomwe la Malawi.Kuiwala kuti zikavutitsitsa kuno nawonso zawavuta ndikwawo.Anybody who has been to Zimbabwe will agree with me that Zimbabweans are patriotic(am not talking about politics here(ZANU-PF)).Let’s be patriotic,this is our country and nowhere else! Well done Kalekeni Kaphale on this one. Hahahahahaha.

  8. Why did the other judge made such a ruling? Does it mean he did not understand the events that led to the cancellation of the license? I think the Govt should probe further certain of the judgements against it because I see a lot of underhand dealings here.
    Well done Kaphale for saving the govt all that money.

  9. no surprise pple, this was the art of kasambara to get 50% of the money. mbava, learned savage and crook! look his involvement in the cashgate, further planning to kill somebody cause is blocking him to steal! kodi pali zakuphunzira apa? the whole AG but mbava, what ashame!!!

  10. The picture is not that of Kaphale but one of the bank ceo.nyasatomes can you check. Kaphale savala magalasi

  11. And someone think Ralph Kasambara is smart? We have lawyers who are doing great things who are Malawians are busy with work not Facebook like Ralph…

  12. Osati galu uyu R Kasambava iye ntchito yake inali yothandiza mbava zinzake kubera boma.

  13. The point is : Ralph as AG failed to defend government. All he knew was out of court settlement. This time our own Kalekeni as AG has defended the same case to the benefit of all of us. No wonder he got cum laude from Unima

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