MEC’s Kalonga was running a secret account at Malawi Savings Bank -Audit

Malawi Electoral Commission (MEC) chief executive officer Willie Kalonga operated a secret account at Malawi Savings Bank (MSB) which was used for suspected cashgate activities, according to a special investigative audit conducted following allegations of financial mismanagement and fraud.

Kalonga: Refuses to comment, saying the audit is not final

Kalonga: Refuses to comment, saying the audit is not final

The fraud allegations in the report before the Secretary to the Treasury and donor community, shows Kalonga had access to K118, 667,404.44 and made internal transfers between April 2014 to February 2015 not indicated with accounts transferred to in cashbooks.

A special secret code named CEO Account at MSB opened in March 2014 number 1024883104001 was overdrawn by K8, 093,858.33 on 31/12/2014 in the bank while many transacts were not entered in the cashbook which was overdrawn by K33,819,387.69.

The abuse on the account cost the public K20, 634,732.20 in accumulated bank charges and interest which were also missing in the cashbook.

MEC chairperson Maxon Mbendera, who is also a judge of the Malawi Supreme Court of Appeal, was a recipient of the mysterious cash transfers which the management of the electoral body failed to produce documentation detailing purpose of payment.

Kalonga’s account received K37, 191,268.37 of the transfers between 14/07/2014 to 08/10/2014 with no proper accounting records and payments, the audit report reads.

“We have noted the observation and promise to make a thorough follow up to trace the documents to account for the transferred funds. We believe that weakness in recording and keeping of records might have caused the event,” MEC management defended their position when they responded to the audit query.

MEC further blamed newly recruited staff in accounts who did not receive orientation training in public accounting system training.

“All the experienced staff were redeployed to non-financial duties after the fraud scandal that was reported by private auditors in the past,” MEC was quoted verbatim in its defence.

“Kalonga is accused of wasting public resources under the pretext that MEC is an independent corporate body as if it operates on its own generated income,” he report notes.

Kalonga has since refused to comment saying the audit report is not final.

Ministry of Finance, which carried out the audit through the Central Audit Unit, explained this week the audit was carried “because MEC’s large budget vis a vis the national budget posed a higher fiscal risk”.

On procurement, the auditors reported that they did not find evidence of a claim of payment for supply of goods by a Tanzanian company, SCI, amounting to K16.6 million; goods procured outside procurement plan and budget amounting to K40.6 million and procurement without Office of the Director of Public Procurement amounting to K526.6 million.

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marvey marvei

Ichoicho,vengeance is for the Lord not yours. Be careful about getting so emotional about national issues unless if you are personally involved in those who lost the election. And if you are, I would encourage you to sober up and objectively examine why your side really lost. No single person can influence results from over 4,000 is also immature to project and Attribute your failures on other people.You will never improve.

Asante sana
Zondiwe.I assure you Willy is the most trusted and reliable CEO Malawi has. The problem is that we trust these online reports. The audit report which this reporter is extracting information is not final as commented by the Commission itself. People here are comment out of hatred not reality. Let me remind you, during the JB rule there came unfinished audit of 96 billion on DPP. Why did the PP government not arrest the concerned culprits.? The answer is the report was not final. Ethics of audit allows the culprit to respond. So the non responded audit report is the… Read more »
106, we are talking about huge amounts of government money disappearing, and the one responsible being Willie Kalonga. You worked with him and did not know him. His purported infidelity disqualifies him from being one of the best CEOs Malawi has ever seen. Malawi is in need of trusted and reliable people at the top, and if Mr Kalonga fails the test, it will be his fault. You do not have to work with someone to know them. You only have to hear about their good works. Our works follow us wherever we go. This is what matters. Other people… Read more »

If this is true then Malawi is finished. Just imagine the whole SC being involved in these messy dealings. Whom can we trust now?

Asante sana

Chifwirimbwiti thumbs up. I agree with you. I once worked with this Willy here in Lilongwe. I can rate him as the best TOP 3 CEO Malawi has ever had. Willy is a Cabinet Material. the guy is genius. yes he can have some weaknesses. but his positives will definitely outweigh his weaknesses. lets be honest guys. this financial scam is just fake just to tarnish his image. those despising comments are from people who never worked closely with him.

Backilie "Nsalu ya Makatani" Buluzi

Leonard Kalonga and Willie Kalonga. Chancellor College imeneyo.


iwe highly favoured , ngati mec chair ali ambuyako ukonzeke kukawawona ku ICU soon. be informed that time is drawing closer and closer for this chief thief in the just ended general elections to be punished. This animal mbendera can not go scot free regarding the heinous affliction he deliberately, because of his greedy for money inflicted on the malawi populace. so its pay back time. walupanga amanya ndi lupanga lomwelo.

highly favoured educate us if mec uses a different system than the ones we all know what’s so special about Mec’s accounting system . An audit is an audit its has its own standards unless you have better audit systems . Any system is bound it be abused and this system has been abuse above all mec doesn’t havery their own system rather than reconciliation of payments and expenses so don’t take us for fools all cheques for mec should originate from treasury . Excess funds and all cash should be returned to account number 1 so what are you… Read more »

Stealing is fully entrenched in Malawi, even lawyers are thieves, so how can the country develop with so many greedy people? There is need for death sentence for all thieves. It is disgusting how state resources are misused by greedy assholes.

Highly favoured

May God forgive Nyasatimes & everyone who is speaking bad about Mec’s Chair & CEO. Reading through your comments really shows that you dont know MEC’s accounting system nor do you understand an audit process. My advise to Nyasatimes: try to be a bit more professional when publishing news. As for the less knowledgeable crew, only comment on issues that you believe you understand & are an expert at. Otherwise, talk is cheap; have facts & not just opinions.

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