* Media reports over the weekend that indicated Malawi has to payback about K273 billion
* Following the cancellation of a fertilizer supply contract with East Bridge of Romania
By Duncan Mlanjira
Reverend Baxton Maulidi, who is the All African Council of Churches AACC Economic Justice & Accountability Ambassador in Malawi, has described as unfortunate the continued loss of funds by the Malawi government through dubious transactions.
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Rev. Maulidi, who is also the deputy General Secretary for CCAP Blantyre Synod, made the remarks in reaction to media reports over the weekend that indicated Malawi has to payback about K273 billion following the cancellation of a fertilizer supply contract with East Bridge of Romania.
Reports indicate that on the 12th of last month, the Ministry of Finance recalled the sovereign guarantees granted to East Bridge Estate company. The decision was based on the Attorney General Thabo Chakaka Nyirenda’s advise that the deal be halted since the transaction was undertaken without following proper procurement and authorisation procedures.
It is reported that the Ministry of Agriculture in May this year — without the approval of the Anti-Corruption Bureau and Public Procurement & Disposal of Assets Authority (PPDA) — proceeded to sign a contract with the Romanian firm East Bridge to supply 300,000 metric tonnes of fertilizer to pay back with one million metric tonnes of farm produce within 2 years.
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Rev Maulidi said at a time Malawi is economically incapacitated, it is very unfortunate that people in different strategic positions are ignoring their responsibilities.
“As AACC’s arm on Economic Justice & Accountability, we feel responsible officers in the affected Ministries must be taken to task and an independent report be presented to Malawians on what exactly is happening in our government and whether we have right people in different positions in government,” advised Maulidi.
He further bemoaned that it appears like a pattern that government proceeds to enter into questionable contracts despite being advised not to sign such agreements only to reverse the decision after public funds have already been lost.
He cited the Barkaat Butchery contract as one of the examples where public resources to the tune of K750 million were lost.
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