Muhara must explain K70bn deal as legal expert calls Malawi military hospital project probe

Former minister of Justice and Constitutional Affairs Ralph Kasambara is calling for an investigations on claims made by Vice President Saulos Chilima on how a contractor who bid US$105 for the construction of a military hospital has been left out by the government in favour of a bidder of  US$206 million.

Muhara: Military hospital deal raises more questions than answers

Chilima, who is also UTM Party presidential candidate in the May 21 elections,  made the revelations during a  televised campaign politically rally recently.

“The highest bidder was at US$105 million and someone bid with US$100 million more and you want to give this contract to this person. Do you know that’s K70 billion what do you want to do with this money?” wondered Chilima.

Taking it to social media, Kasambara said there is need for transparency and accountability on the project because it will be constructed on tax payer’s money.

“The military hospital will be constructed using our tax. We need to know the costs,” wrote Kasambara on his Facebook page.

He suspected wrongful self-enrichment in the award of the contract.

“Exit Escom, enter Malawi Defence Force. There is nothing about security interest on the award of the contract to construct hospital,” wrote Kasambara.

Nyasa Times understands that Chief Secretary in the Office of the President and Cabinet (OPC) Lloyd Muhara influenced events to ensure that Taca Construction which offered  a bid  of $105,000,000 for the project be disqualified and award to Mota Engil at a price of $204,000,000 – which is US$100 million more.

Taca’s  proposal on a quote of $105,000,000 would cover the following:

  • Construction of the 400 bed modular state of the art hospital
  • Construction of 200 Staff housing
  • Medical Equipment
  • Hospital Furniture
  • Information Technology
  • Training and Capacity Building

However,  Mota Engil’s proposal which is  almost $100,000,000  more than Taca’s proposal  provided the grounds none of which was technical.

But government claims TACA did not submit Bid Security and that some information was not submitted in the bid

Taca, a Turkish company, expreesed suprise that Malawi government decided to neglect all the other supporting documents it provided in the bid  just to offer it to Moyta Engil.

It also states that there was verbal communicated through Taca Consultants at

InteGrow Capital and through Malawi’s US Ambassador Edward Sawengera that

Taca  will be invited for round table discussion and negotiations but  never received the invitation and government went ahead r to award the contract without fully engaging Taca like it did with Mota Engil.

“We are of the impression that the process was neither fair nor balanced. It is apparent that even though our quote was almost $100 Million dollars less than the quote provided by our competition, the process prejudiced our bid in favor of Mota Engil,” reads a letter by Taca president Tayyar Akkuti to Malawi government..

Taca is appealing the decision to award the tender and request for a “further honest review of the process.”

Muhara could not immediately comment.

Malawi  government plan to construct a modern military hospital for Malawi Defence Force where the facility will be equipped with an air ambulance at Kamuzu Barracks in Lilongwe.

Construction of a hospital at the Kamuzu Barracks was one of the recommendations by the Commission of Inquiry into circumstances of the death of late President Bingu wa Mutharika in April of 2012.

Among others, the Justice Elton Singini inquiry observed that, referring a whole Head of State to a public hospital- as was the case with late Bingu wa Mutharika- compromised the president’s security and privacy.

Therefore, the Commission recommended that: “Government needs to construct or establish a presidential medical facility at the headquarters of the Malawi Defence Force in Lilongwe which is the seat of Government where the President regularly resides.”

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Njolo mpilu
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Njolo mpilu

Awa a anabwela ali mbuu lelo tawaonani asamba ,anona etc..koma nde azikwangulatu

DPP-Extinct
Guest
DPP-Extinct

MERA and NOCMA have become the conduit for symphoning and stealing government money. Above all NOCMA is killing Malawian small businesses by awarding fuel contracts to foreigners like Tanzania and Mozambique. Akudyapo ma cadet aku DPP. Lanu la 40 lizakwana. Anthu oyipa inu. I am no economist but awarding contracts to foreigners is simply killing local businesses. NOCMA should never have existed in the first place. CEO wa ku NOCMA ndi cadet wamkulu. Akudya ndalama za ma swahili at the expense of locals. These DPP people dont care about anybody but themselves. Ndalama zokuba simufika nazo patali. MERA nayo ili… Read more »

BigMan
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BigMan

DPP, koma ndiye mukadzadzanako ku Maula agalu inu. 21st May is coming, you will cry like animals.

Peace
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Peace

Nyasa Times, since when have you started to engage us on a convict’s hallucinations over money he wishes he could swindle? Do you realise this money in contention is 10 times more than he attempted to kill Mphwiyo for?
Give us a break!

Kochinonda
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Kochinonda

Paulendo muhara bambo opanda mzeru
You can’t run government you are too dull too dull

Raphael phiri
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Raphael phiri

Mota should go deport them look at the quality of roads

Balakasi
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Balakasi

The same Kasambara the thief? Since when did you start having the interests of the nation at heart?

Gerald
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Gerald

Old filthy hugards

kanjedza
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kanjedza

What did MERA do. They awarded the contract of a mobile fuel testing van for MK 700 million ( 1 million dollars) instead of the average tender bid price of 250 million

Kapado Chimuthawirenji
Guest

This is all nonsense. Kamuzu had a presidential suit at Queens, why cant the new administration do the same at central hospitals in Blantyre, Lilongwe and Mzuzu and improve the facilities befitting the president? For how long shall we be flying our small gods aboard when they and their family members fall sick? This government is lacking vision.