Veep says ‘no cause for alarm’ over K100m transaction: Clarifies on FDH  Bank account

Spokesperson of the  office of vice-president and Disaster Management Affairs, Charles Wahara,  has said there is no cause for alarm  on the transfer of  K100 million from  Ifmis—government’s electronic payment system— to FDH Bank account to be used for month of November  for Vice-President Everton Chimulirenji public functions.

The public raised red flags when a leaked letter  from the  Office of the Vice President, dated  November 6 2019 in which the Principal Secretary and Commissioner for Disaster Management Affairs, Wilson Moleni requested Accountant General to move the money from Ifmis to FDH Account.

Moleni said the K100 million would cater for “urgent expenses.”

But in a statement made available to Nyasa Times, Wahara said  the office of the vice-president and Disaster Management Affairs operates a holding account at FDH Bank.

“The purpose of this  account is to cater for urgent transactions for activities under the office of the Vice-President pertaining to delegated duties and Disaster Management issues,” Wahara said in the statement.

He said the office of the vice-president is funded quarterly and part of the funds are transferred to the the operating account at FDH Bank.

“These funds that are transferred are withing the approved budget for the office.

“The office therefore, seeks formal approval from the Accountant General to facilitate the funds transfer from the Ifmis system to the operating account at the FDH Bank,” said Wahara.

The veep’s spokesman said it is a “normal practice” and is within the confines of the Public Finance Management Act.

“This is a government account and all transactions made under the account are duly approved by the Controlling Officer as it is  the case with all standard Ifmis transactions,” he said.

Wahara said the FDH Bank operating account is duly audited by the National Audit  Office.

He said the public should not be alarmed by the leaked letter  by Moleni to Accountant General to transfer the K100 million from Ifmis to FDH Bank holding account, saying “it is a normal transaction.”