One killed and many injured in land resettlement fracas involving Mota Engil

Barely a week after the Times run a story about Mota Engil’s proposed 5-star hotel in Monkey Bay in Mangochi, the newspaper has reported that a man has died and several others were injured on Tuesday in a fracas over the issue:

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Nyasa Times put the dead toll at two people. Malawi News 24 reported that nine people had been injured.

The dispute (also mentioned on the Times Facebook page here) concerns the resettlement of villagers from land (said to be in the region of 100 hectares) to make way for a the construction of the hotel and golf course. The villagers claim the government didn’t consult them when selling the land to Mota Engil, and that their rights have been breached. Further they claim that the chief, Nankumba, is corruptly implicated in the scheme.

Land grabbing and forced eviction disputes are common across Africa (see the following links: Brazil’s big landowners have far too much power | Who Owns the Land? Cameroon’s Large-Scale Land-Grabs | Tanzania evicting 40,000 people from homeland to make room for Dubai royal family – Salon.com | Villagers, the big losers as land is ‘grabbed’ for development | Ethiopia’s land grab nightmare of the Suri People ~ Horn Affairs), and usually they follow a similar pattern that pits the power of the government in concert with rich corporations against defenceless and voiceless communities.

A government will decide to commercialize a large chunk of land for a project, be it agricultural (e.g. a sugarcane plantation) or industrial in nature. They approach the villagers, but because there is very little incentive to adequately compensate them, or not enough effort to explain how the sale of the land will benefit the villagers, and because of the corruption involved, the villagers will refuse to be resettled. Thus after varying degrees of negotiations or coercion, the military, police and sometimes armed militia are recruited to forcibly remove the people. Bulldozers move in, buildings are demolished, sometimes burnt, those who resist are arrested and sometimes imprisoned, and very little is done to help the people whose land has been forcibly taken. Often the communities never get to receive any material benefit from the sale of their land. Talk of taking advantage of defenceless people.

But there are ways of doing things constructively. For example, looking at the floods that have recently devastated the southern part of Malawi, it makes sense to resettle most of the people from the areas that are most at risk of flooding; indefinitely, or until effective permanent solutions are found to the flooding problem in these areas. It’s in their best interest.

If I were in charge of a project of resettlement, the following is a rough outline of what I would insist to be done. To me it’s common sense, at least if the dignity of the people affected is to be preserved:-

(1) The government and land developer involved would need to identify suitable land for the villagers to be resettled to, and begin building decent accommodation (homes and flats) for them to live in. In order to utilise space efficiently, they would need to consider energy-efficient flats or even communal living spaces for those who opt for it. Although it would entail some cost, if you are taking land away from people, they need to be remunerated properly. And just because they are poor doesn’t mean that they must be ill-treated or taken advantage of.

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And it doesn’t have to be overly expensive. Bamboo roofed houses like the one below, made of treated bamboo, with solar water heaters, solar lamps could go some way in providing accommodation for a few years, before something permanent is built :-

bamboo-house(2) The government would need to develop employment options for the community, by bringing in some kind of work. A factory to make soap, to assemble bicycles, to produce eco-friendly building materials, or an integrated commercial agricultural interest would do. This is important to provide the working population amongst the villagers with jobs, and a means to earn a living, so as to reduce poverty and desperation.

employment(3) Similarly, an administration office, a police depot, some schools, a technical college to provide skills training would need to be built. A library, a market, a hospital, some shops, possibly even a small shopping mall with a Cinema, and other important infrastructure would also be necessary, to provide amusement and entertainment, and to cater to the new settlement.

Students-Africa(4) The roads and transport links from the new settlement to the nearest city would need to be updated, to enable seamless travel, and encourage transfer of skills to the area.

road(5) Communication:- The government would need to be transparent and invite the villagers to relocate to the new town. Each family would be provided with a home depending on the size of the family and its earning potential. The ownership of the house would be 50% owned by the government and the other 50% by each household. Further, depending on their earnings, they would be asked to contribute a small amount each month towards buying the house, although alternative arrangements would be found for those who are old and can’t work, and those who are poor and have no income source. A relocation stipend to each household would also be provided to help them start their new life.

(6) A promise to preserve grave sites and religious or sacred sites at their old settlements would be necessary. Further, within reason, the villagers would need to be allowed access to the religious and sacred areas.

(7) Finally, Ownership. A trust fund would be created to be administered by representatives of the villagers ( and not the chiefs) whereby at least 20% of the hotel and golf-course’s pre-tax profits would be invested in to help developing the community, including creatint employment, to be invested in education and healthcare, and to maintain the housing estates or build additional settlements. This must be fixed contractually for the present hotel operator, and any future operators. Why? Because that’s the true meaning of Corporate Social Responsibility.

Only then would it be equitable and right to hand over the vacated land to the hotel developer. These people have to ask the question, how they would want the government to handle the matter had it been them who were being asked to move, and leave their land behind? Any developer who doesn’t agree to a deal that includes such considerations definitely does not have the people’s interests to heart.

Patriotism, National Pride, Public Responsibility and Self-Esteem

flag2I saw this image on a friend’s Facebook wall the other day. It shows a tattered Malawian flag suspended on a rusty pole outside Salima District Council, in what is Salima district.

And it got me wondering, whether there is a link between a country’s ‘perceived patriotism’ or shall we say national pride with its officials public responsibility (or responsibilities)?

I asked this question because I couldn’t help wondering just how much replacing that flag would cost. Surely it can’t possibly be that much? Or can it?

Okay, lets look at it a different way. Are the council officials, although not excessively paid, on a salary? They are not volunteers, so of cpourse they have to be paid. Also, as far as Malawian civil service salaries go, is it fair to say that they are paid the same or better than teachers or nurses? Being an ‘office job’, I’d imagine they are paid relatively decent wages for them to be able to support their families. I can also guess that they probably have some electronic equipment that enables them to undertake their duties? If they can create a Facebook page, they definitely have computers (or at least access to a computer). Which could mean their building has electricity, and someone pays for it.

So then, how much would it cost to replace a tattered flag? Something that should be a symbol of your nationhood. Something you should be proud of, flying at full mast outside your office. Shouldn’t this be a priority? I doubt it would cost much. I’d be surprised if it cost more than $300 -$400 to get the flag replaced. But even if it did cost that much, there are many relatively wealthy people in our societies who originally come from Salima, who if approached with such a request, I doubt would hesitate to donate something for the cause.

In the end, I think its down to diminishing public responsibility, on the part of public officials, in that a flag is not seen as important enough to maintain. Even asking for donations from the member of the public for such a cause has probably never been considered. I can also guess that if you dig beneath the surface, there will be further rot. Possibly toilets in a bad state, an air-condition system that’s either non-existent or has been broken for tens of years – and nobody has since bothered to report for fixing. There will probably be badly maintained if not dangerously under-maintained motor vehicles. And other examples of negligence. Funnily enough when you travel across Malawi, you see the same urban decay everywhere, not only in the public sector, even in the private sector. And its worrying to say the least.

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Because what does it say, what message does it give? Why the detachment from keeping things in a relatively functional or at least ‘not dysfunctional’ order? Why can’t Malawians be bothered about these things? Or about anything for that matter?

Surely it’s not only down to poverty? Or is it? I don’t think so because even wealthy neighbourhoods in the capital Lilongwe have under-maintained roads, and poor public facilities. Could it be a low-self-esteem issue linked to lack of education as others have pointed out in the past? Or is it that an increasing number of Malawians have somehow ‘evolved’ to adopt a mental state where they always expect someone else to do things for them? What exactly is going on here?

I think we have to flush out this toxic mentality because it gives the wrong picture. I think we have to begin to be concerned about things other than one’s immediate family, because a society where people care for each other is a strong society. I think public officials must take another look as to what their responsibilities are towards those they serve, and ask whether they are fulfilling those commitments.

  • Value and Ethics of Public Responsibility

Slow Justice: delays / inaction of Malawi’s institutions symptomatic of a weak democracy?

There’s a bad habit in Malawi of authorities sitting on cases  (in which shady dealings or suspect conduct had taken place) and piling them on the shelf for years and years. This almost intrinsic dormancy does not only affect formal legal cases. Even others which are strictly speaking neither before a court of law nor pending investigations of impropriety (but are nonetheless issues which in any decent democracy would call for investigations) are simply ignored, or at least not attended to. In Malawi, depending on who is in power, people often get prosecuted only after a new leader hostile to the old regime comes into power. At least that’s what seems to have been happening in the past.

And it’s not because there are no competent bodies to do the investigation or order the prosecutions (there is the Anti-corruption Bureau, the Judiciary or even the Public Affairs Committee to highlight wrongdoing). Yet more often than not, you find issues which should have been investigated or cases which should  have been brought to an end dragging on for years and years, when it is clear (or the suspicions are somewhat overwhelming) that wrongdoing may have occurred.

Obviously, such a state of affairs is undesirable and can only mean one or more of a number of things:  (i) A weak democracy with weak institutions incapable of competently undertaking their jobs for the benefit of Malawians – an unattractive market to any investor. or  it can mean (ii) Political interference obstructing the course of justice – making the market even more unattractive to investors ; or (iii) Under-resourced or overstretched institutions failing to allocate resources or cope with workload …

Among the cases / suspicious issues which call for investigation or are yet to be concluded in Malawi are the following:-

  • Bingu Wa Mutharika’s unexplained wealth  (see another source here)
  • Bingu’s relationship with Mota-Engil
  • Malawi: Ex-President Muluzi’s corruption trial – this trial has had some severe delays partly due to Muluzi’s ill health, and at one point last year, the then head of ACB couldn’t make a court date because he had to appear before a magistrate for a matter the ACB director had been arrested over. (see another source here and additional / alleged charges against Muluzi here)
  • Pioneer Chemicals saga which named Goodall Gondwe (never mind his latest turn back into politics) was dropped by the ACB with little explanation other than that ACB lacked evidence. Why then did ACB make the allegation in the first place?? What did they see or hear that drove them to make the allegation?
  • Patricia Kaliati – Nyika Corruption saga   (See another report here. A further corruption case against Kaliati here)
  • Apollo International fiasco in which Ken Lipenga has some explaining to do
  • Fertiliser subsidy saga which raises possibilities of conflicts of interests affecting cabinet ministers in Joyce Banda’s government
  • The Midnight six – how can people who plotted what was effectively a coup in a democracy be dealt with so leniently? Will they be let off the hook? Will they go to prison? Will the President pardon them? Something doesn’t add up…
  • The Paladin Kayelekera Uranium issue  (see other links here and here).  While Paladin has denied any involvement in paying bribes, to me two questions still remain: How could the government have signed such a bad contract with little or no benefit to Malawi – and how could such an action be justified as being in the interest of Malawians? (ii) Secondly, which Fraud/ Corrupt company ever admitted to paying bribes or doing wrong? (See related document about Paladin’s activities / transparency record here: Radioactive Revenues)
  • Mathews Chikaonda and Hitesh Anadkat –  the K320 million corporate scam, in which investors lost money, and which was alleged to have been a case of insider trading. However, as most Malawians know, president Joyce Banda has a close relationship with the duo, and in one instance was pictured wearing attire with colours of FMB, the bank in which Anadkat is the Vice Chairman.  The scandal was reported on Nyasa Times on March 6, 2012, although interestingly, the story has since been deleted – reinforcing some of the things people on social media have been saying about Nyasa Times’ lack of impartiality. Luckily for those of us who know how to hack our way around the web,  a cached version (which we have downloaded in full) is still available on google (accessible via  this link), as can be seen below:

Chikaonda-Anadkat

  • Dr Kamuzu Banda’s estate – was it really all legally obtained? Don’t Malawians deserve to know? In the bbc article, the writer says a missing death certificate is the reason why overseas financial institutions will not release the information regarding his accounts. My question is this:  if there was genuine leadership in Malawi, wouldn’t it be in the interest of the country, for the government (or the appropriate authority / hospital) to request the issue of another replacement death certificate, to audit the source of Banda’s wealth??
  • Then there are alleged cases of corruption mentioned in links such as these , which names late Aleke Banda, Cassim Chilumpha, Bakili Muluzi, the current vice president Khumbo Kachali and the president herself.

Reading all these allegations, it makes one wonder, if there wasn’t an investigation at the time when the cases were reported, if no one was prosecuted, and there was no clear clarification / acquittal, what hope would there be today of ending graft in Malawi?

In almost every advanced country in the world, institutions such as Anticorruption bodies and the judiciary operate independently of the government. If an official or politician commits what is clearly a crime or is involved in some kind of shady conduct, the courts in collaboration with investigators and the media will often get to the bottom of the matter, irrespective of whether the politician / official belongs to the ruling party or some power bloc.

This fact alone is probably one of the best indicators of a healthy democracy.

But in most African countries, this kind of thing doesn’t happen. Rather, one’s liability to prosecution is influenced by how many friends they keep in high political office, the police , the judiciary and suchlike.

How then can our democracies in Africa progress if our institutions are not genuinely independent of the powers that be?

So, on top of all that pile of cases add Cashgate to the list with its many complex scandals (most recently see  here)…and it starts to become clear that the road to a functional democracy in Malawi, one with effective  institutions that operate independent of the government, will be a very long one…

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Living in a country that breaks my heart time and time again

The following was a status update posted on a friend’s contact on Facebook: 

Living in a country that breaks my heart time and time again. Today at my son’s cardiologists appointment (Queens) I met a beautiful four month old baby. I immediately saw that she had down syndrome and a possible heart defect-she wasn’t growing much and laboured with her breathing.The mom,a simple unemployed woman, had no idea though and I feared that in just a short while her life would be turned upside down. She would soon experience an indescribable heart wrenching pain. She would be gripped with a fear of an uncertain future and the reality that she lives in an unjust society. Sure enough she walked out of the doctors completely shattered as she tried to make sense of the news she had just received, that her baby had two holes in the heart. The condition requires surgery but she was not told, instead simply sent away with tablets. Why? Because the option of surgery is not made available. Government does not provide financial assistance to children with Downs or similar genetic conditions. Only “normal” children. Effectively this child was sent home to die because our government decided that her life is not worth fighting for. That she is not a worthy citizen. That because she will have developmental challenges then she shouldn’t be given a chance at life. And these decisions are made on my tax money? Unbelievable!! Simply Unbelievable!!

Whodunnit : Kalambula bwalo

money-case-163495_640

“By making the government a combination of elected officials and citizen-backed initiatives and referenda, there can truly be a government of the people, by the people, and for the people.” Victoria Stoklasa, Sign It Into Law: How to Put Your Petition on the Ballot

Desperate times call for desperate measures, so the saying goes. Also, it takes a thief to catch a thief, so the idiom goes.

A scandal of rampant corruption on a colossal scale, dodgy deals that swindled millions of dollars from Malawi government state coffers, a mush of top-level fraud, pseudo-mafia syndicates, cover-ups, propaganda, damage limitation and possibly character assassination has been running amok on social media circles lately. The plot, which includes illegal cashing of cheques using ghost companies or companies that did not supply any goods or services to  the government, makes some astounding (but not entirely surprising) allegations and sounds like something out of a Nollywood movie. Or from a wild wild west film. You don’t believe me? Well, for a start take a look at these titles:

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And that’s before we even get to the issue of inflated invoices most recently decried here.

But, but before I continue (and before somebody erroneously labels me a cantankerous and belligerent git beguiled by rumour, speculation or social media chit-chat), I must categorically state that my interest in the story you are about to read is either as a messenger-cum-advocate (writing to advance and improve Malawi’s economic situation by dissemination of progressive ideas, views and inspiration – which probably includes exposing corruption that stands in the way of progress), or as a shocked Malawian national horrified by the scale and proliferation of impunity in government. At least that’s what I think.

I have absolutely no interest in petty fights or trifles, no interest in causing problems for anybody, neither interest nor intention in tarnishing individual reputations, I take absolutely no pleasure in defaming upright politicians or honest members of the public, and will take no responsibility whatsoever over the accuracy of what is handed over to me. I’m only reflecting what I’ve received and have been asked to publish, and should it be false, or not entirely true, I will do nothing other than publish one apology to those aggrieved by the allegations – here, on the same page as the allegation and, if they like, in BIG LETTERS and on a massive RED background, in a number of languages, for full effect:-

sorry

Obviously, anyone sensible never publishes serious allegations without doing some serious research and taking reasonable steps to invite comment or alternative storylines from those that stand accused of the allegations (as far as one is able to). And this I have done, although I must say after waiting for at least 9 days (during which I received no response or even acknowledgement) for the accused to comment, with what others term ‘righteous anger’ building in my loins, I had little choice but to proceed and publish this material.

Also, there is the element of common sense: which thief / conman who hasn’t yet been apprehended by the authorities or the law, and who has their liberty, will voluntarily confess of their thieving in public? That is why in legal circles evidence comes into play, because even if you deny doing it, if there is compelling evidence against you, beyond reasonable doubt, then you my friend are the one whodunnit.

But what if the evidence is fuzzy, or virtually non-existent (except for secret murmurs from fear-struck individuals who want to do what is right, but are afraid of the consequences)? And what if the conman happens to be cunning enough to cover up most (thankfully not all) of their tracks? Further, what if some of those accused are cagey about what happened (akin in opacity perhaps to the responses of US bank chiefs, when asked what they did with the bailout billions in re Troubled Assets Relief Program)? Also, consider the scenario whereby the ‘conmen’ are infact a sophisticated syndicate that includes powerful individuals within the Malawian government? Does the Malawian public still deserve to know of the allegations made against the public officials? I’ll let you think about that for a moment…

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So, after much soul-searching and indeterminate hours of painful research, telephone calls and discussions with legal types, hitting several dead ends and encountering various versions of the same story (an exercise that brought to mind the irreconcilable contradictions within the Biblical gospels), I have decided that the material I hold on the Mphwiyo shooting is plausible, of journalistic significance and squarely within the public right to know. After all, much of it is already on Facebook, and this will give those without a Facebook account a piece of the action.

Further (and please feel free to excuse any appearance of narcissism here), because well-known portals for aggrieved citizens to report the wrongdoings of their governments – such as Wikileaks – are often under siege/ attack (by, surprise surprise, government agencies) and burdened by other more spurious global matters (Edward Snowden affair, Julian Assange embassy hideout et al), it may not be too bad an idea to carry their mantle (in this regard that mantle is probably only a small scarf/handkerchief) a short distance, shedding light onto corruption that has been happening in recent months in more lowly places such as in the country of Malawi.

Thankfully, there are other warriors in this battle: The Chief Mourner is one, so is Billy Mayaya, Henry Kachaje and many other honourable and brave souls. I say Kudos to them all, no doubt, they have their own reasons and motivations, possibly agendas, definitely intentions for doing what they do, and you can ask them this, but I will not pretend that I know for sure what those intentions are, except to say that they wish the best for Malawi.

* * * * * * * * * * * * * * * * * * * The Background  * * * * * * * * * * * * * * * * * * *

While there has been both a positive (http://world.time.com/2013/09/15/malawi-official-who-fought-graft-shot-wounded/ ) and negative (http://www.nyasatimes.com/2013/09/18/smokes-and-mirrors-unpacking-the-paul-mphwiyo-saga/  ) picture painted of the budget director Paul Mphwiyo, who was recently shot outside his home, and according to news reports because he was close to exposing corruption in top government circles, a credible source reveals there is more meat to the story.

* * * * * * * * The Story – the allegations  – translated into English and with minor edits-  reference date: 17th of September 2013 * * * * * * * * *

Recently Paul Mphwiyo instructed his Budget Section to fund the Pensions Section with K450million (£ 842,239.46). Because Pensions is called Below-the-line account or in other words a Statutory Account (like miscellaneous deposit or the Presidency account) which means Auditors cannot question the Funds flow in these accounts since they are statutory, Mphwiyo took advantage of this loophole.

In a bid to either please or deceive the presidency, he was informing the Secretary to the Treasury that somehow the money will find itself in the hands of Peoples Party (PP) for their election Campaign. Mphwiyo shared the money with another gentleman; one Mr. Madzi (who apparently is the Chief Accountant in Accountant General’s office). This man was given K200million (£374,164.30) and he is the one who is keeping the ‘fund’ and distributing it amongst accomplice officers at the Accountant General’s office, while Paul Mphwiyo is keeping K250million (£ 467,688.20) to distribute with accomplices including officers at the Treasury. So this idea that Mphwiyo was fighting corruption is entirely false. It appears to be a carefully crafted lie designed to either cover up or distort the real truth.

Actually, for this issue to be uncovered there was a spat within the ‘corruption syndicate’ at the Accountant General’s office, as those involved began arguing as to how the funds will be divided amongst them, until Mr. Madzi suddenly took a holiday (‘bed leave’) the whole of last week. Predictably, some of the disgruntled officers began ‘talking’ threatening that they will out the accountant, including names of ghost pensioners they collectively used to make payments to, to embezzle the money out of government coffers.

My source tells me this is the third time that K450 million has been transferred from government accounts.  And interesting this is the third month that Government Ministries and Departments in Malawi have had only half of their budget funded. The excuse that was provided for the August transfer of K450 million was that there was the SADC Conference that needed to be funded.

And remember the K120 million which Patrick Sithole was arrested for several days ago? (http://www.nyasatimes.com/2013/09/11/malawi-public-servant-arrested-over-k120-million-cash/ ) Well, that’s related to this scandal because Patrick Sithole worked at Accountant General’s office in the reconciliation section. Here, he was responsible for accounting reconciliation on the books from all the government Ministries. He had access rights within the government accounting system known as IFMIS, which is used in all the Ministries. Because of having such access, temptation and excitement got the better of him and he began doing unauthorised deals and transactions. In order to get money out, he needed to find companies that were willing to receive money in seemingly ‘normal looking’ transactions, but from which he would be paid a cut, dividing the funds with the owner of the company. Unfortunately, he began to ask too many people to be accomplices in his fraudulent activities, and this exposed him as word travelled around as to what he was actually doing. With such rumours circulating, a man by the name of Pika Manondo (a man with connections to Ralph Kasambara – which Kasambara denies) approached Sithole, and gave him company names, so that they could be doing the fraudulent deals together. My source informs me that they have been embezzling governments funds for quite a while now and Pika Manondo (who was in fact fired from his role at Parliament because of fraud) has become incredibly wealthy such that he has K350million   (£ 654,982.14) in his bank account and owns a 15 vehicle car hire company. This wealth appears to have been accumulated from since the time Ralph Kasambara was appointed into government. So these deals extended to Ralph Kasambara and Wapona Kita (not least because some people knew that one day they will need legal protection).

These deals also involve companies belonging to Maxwell Namata (who was fired from Ministry of Housing due to fraud) [see different story implicating Namata’s company here: http://www.nyasatimes.com/2013/09/19/acb-arrests-2-public-servants-on-fraud-over-k70m/ ] and Mr Hophmally Makande’s protégés??

The Problem then arose about how they will be getting funds to fund Government Ministries which then can be used to process cheques to the Companies. That’s when Ralph Kasambara approached Paul Mphwiyo as Budget Director (because it is the budget section in the Ministry of Finance that does the funding in the IFMIS system) to help with the deals. Paul Mphwiyo is not at all a clean man, and it’s only a matter of time that these investigations reveal this very fact.

In actual fact, the Toyota Fortuner which was found at Patrick Sithole area 47 residence when he got arrested, and in which they found K80 million (£149,692.71), belongs to Paul Mphwiyo.

So, for a while these deals have been going on ‘smoothly’ but of recent, Pika Manondo, Ralph Kasambara, Hophmally Makande and Maxwell Namata (as owners of companies) were not happy with how the division of funds was going. And what happened was that A WEEK BEFORE Sithole was caught, armed thugs with guns raided Sithole’s house and stole K62million (£ 119,753.14). Some insiders say it was Max, Pika and Ralph who sent these thugs to Sithole’s house. The theft can be verified with LINGADZI POLICE STATION because Sithole is said to have reported the theft to police. This also explains why Wapona Kita rushed to defend Sithole. Which is why Ralph Kasambara was so concerned that he decided to go to Paul Mphwiyo and the Reserve Bank, as Government cheques are effectively cleared through Reserve Bank of Malawi using Commercial Banks as agents.

When Paul Mphwiyo heard this, there was an argument and he began threatening Pika, Maxwell Namata, Ralph and Hophmally that he would out them unless the thugs should return the money to Sithole. Mphwiyo said he didn’t care of the consequences because after all he was not the one who personally was affecting the fund in the IFMIS system; instead it was his junior officer.

This is where things went horribly wrong, there was anger against Mphwiyo, and one night the following days, Wapona Kita and Ralph Kasambara went to the house of Paul Mphwiyo to warn him that he could be killed because Maxwell Namata, Pika Manondo and the likes of Makande were not happy. This is what led to Mphwiyos shooting and people at the Ministry of Finance know this. In fact quite a good number would be willing to verify this information in confidence, if it wouldn’t threaten their jobs and lives.

As of 18th September 2013 Pika Manondo is in South Africa and Maxwell Namata was also in South Africa, but on a trip connected to China. However, some people believe a South African assassin has been hired to kill Mphwiyo, and his life is currently in danger.

*********************************The Response********************************

Ralph Kasambara and Wapona Kita have denied the allegations, and called them defamatory and malicious. They say these allegations come from people who wish them ill. In particular on Sithole’s K120 million case, Kita said while he is involved, it is not true that the instructions for him to represent Sithole in the case came from Kasambara as alleged. Further, Kasambara dismissed the allegations, saying  he has never been to the Budget Director’s office or his house, and Mphwiyo’s CCTV [which we can assume wasn’t tampered with] can prove this.

But it remains to be seen how true some of these allegations are, more so since Pika Manondo has now been put on Interpol’s wanted list. If the above story was entirely false, how has Manondo ended up on an Interpol wanted list?? :

manondo

[**** UPDATE -30 SEPTEMBER 2013MAXWELL NAMATA ARRESTED **** like above, if this story was entirely false, how has Namata been arrested in connection with these allegations?]

Some people are concerned that this may just be damage limitation and that Manondo the scapegoat may take the lashes which others duly deserve. However since police investigations are ongoing, this remains to be seen.

A different version of the story (with some similar allegations and naming similar characters)  appears here, on Maravi Post, titled “Marapost enquiry on malawi budget director shooting that triggered donor’s response-friday”. [Update 5th October 2013 – Theres another branch (one of many branches that show the workings of the syndicate) to the saga (now aptly named ‘Cashgate’) here. the K4.2 billion mentioned on this link is equivalent to £7,114,875.55 (Seven Million Pounds) – a hefty sum by any measure]

Whichever of the two versions is the most accurate or closer to the truth, donors are already calling for a swift probe into the matter, and have even offered help. In the interest of transparency and ‘clean hands’, president Joyce Banda would have been wise to take this opportunity to give donors unfettered access to all aspects of this case. Such an action would to an extent help restore public faith in the presidency

These are worrying developments that potentially risk Malawi’s stability, rule of law and reputation,” reads a statement signed by the British High Commissioner Michael Nevin, USA’s ambassador Jeanine Jackson, the head of the EU Delegation Alexander Baum, Germany Ambassador Peter Woeste, Iceland’s Maria Erla Marelsdottir, Ireland’s Liz HigginsJapanese Envoy Fujio Samukawa and Norwegian Mission Head Asbjorn Eidhammer.

As the drama was unfolding, president Joyce Banda (whose People’s Party (PP) is implicated by the allegations in that some of the money was allegedly meant for financing PP’s 2014 election campaign) was on another trip, this time in the US, in Austin, Texas where she even managed to find time to stop by a church, en route to giving an address at the 68th session UN General Assembly. The allegation against PP has a bit of a flavor of the troubles facing Afghan president Hamid Karzai, whose brother (more allegations here), is said to have embezzled US$1 billion from Kabul Bank (in which the brother is a minority shareholder). Part of the funds were said to be for financing Karzai’s re-election. Further, it is said Afghanistan loses 25% of its GDP to corruption, a curious percentage when we’ve just been informed by Malawi’s Anti-Corruption Bureau (ACB)’s director Justice Rezine Mzikamanda recently that Malawi loses 30% of budget money to corruption.

The question remains where exactly is that money going? And why are those responsible for the embezzlement not brought to book sooner than later?

Despite her assurances that her government is committed to combatting fraud, I wonder how this scandal will play out if indeed there were some people in her party who were in complicity with the swindlers, as the allegations seem to suggest. Will Joyce Banda sack them? How so, when the likes of Ken Kandodo or Khumbo Kachali, who themselves have also had some serious allegations made against them, got to keep their jobs? And if those officials get to keep their jobs, what will have become of one of the world’s most powerful black women, as she is fondly described in some quarters [see Forbes link here]? Word in the grapevine suggests that a cabinet reshuffle is imminent.

But since it’s doubtful whether any thief can voluntarily repent, and since in ages past people in positions of authority have been known to use their influence and power to cover-up wrongdoing (see the experiences in Kenya here and here), if what really happened in this scandal is not unfurled by independent parties unconnected with the wrongdoing, only time will tell whether these allegations hold water, or are in fact false. A complete fabrication. After all, it was only many years after Dr Kamuzu Banda lost power that the scale of misappropriation of public funds that occurred under his watch was revealed. Same story for aChair, same story with Bingu.

Madame President, some of us may have liked the way you began your presidency, but what’s happening now stinks! It stinks a lot. And believe me you, if you do not do what is right to clean up your government, your day of reckoning may be a lot more damaging than that which hit aChair, or what Bingu’s estate is currently going through.

God bless you all, God bless the Republic of Malawi.

***Update 30 September: Maxwell Namata Arrested ****

****** Update 2 October 2013 – Civil Society Organisations threatens to urge Malawians against tax payment: Gives JB 30 days ultimatum  ******

*** Anti Corruption Bureau Arrests man that got paid K1bn ($2.5 million) without having a contract ***

***Update 8th November : Pika Manondo Arrested ****

*****Update 9th November – Former Justice Minister Ralph Kasambara Arrested  via Voice of America *******

*****Update December 30 – Kandoje outsted as Malawi Accountant general over cashgate – redeployed *******

****Update 24th January 2014 – STRIPPING PRESIDENT **** NAKED, SEE HOW SHE STOLE YOUR MONEY MALAWIANS *****

****Update: 27th January 2014 – Former Malawi Justice Minister Ralph Kasambara re-arrested *******

***** Update 30th January 2014 – Pika Manondo Spits Fire, Says president Joyce Banda is shielding Big Fish in Cashgate *****

African Queens: the catty spats inflicting havoc on Africa’s first two female presidents

Malawi-President-Joyce-Banda
Joyce Banda and Ellen Johnson Sirleaf via http://womensenews.org

If you thought the verbal missiles flying between the Malawian President Joyce Banda and several prominent women in Malawi (Seodi White and Jessie Kabwila to name a few) was a phenomenon unique only to Malawi, think again.

In recent months, the Liberian president Ellen Johnson Sirleaf has also been on the receiving end of criticism by a woman she is well familiar with. Arguably one of her staunchest critic, Leymah Gbowee, the Nobel Peace prize laureate with whom Sirleaf shares her Nobel Peace Prize resigned last October as head of Liberia’s Truth and Reconciliation Commission, citing Johnson Sirleaf’s failure to combat corruption in government as one of the reasons. Further, she questioned why the president’s sons had important official jobs in Liberia. Gbowee said Sirleaf’s sons needed to be swept out. Singling out Robert Sirleaf, a senior adviser and chairman of the board of state-owned National Oil Company of Liberia Gbowee said:-

“This is wrong and I think it is time for her to put him aside,” Gbowee told the BBC. “He’s a senior economic adviser, and that’s well and good, but to chair the oil-company board—I think it’s time he stepped aside.”

An account on the Guardian puts it as follows:

While the criticism might come as a surprise to the international community, it’s nothing new in Liberia. “The issues raised by Gbowee are discussed in every sector of Liberian society,” said an official with an international NGO operating in Liberia, speaking to Daily Maverick. “There have been public outcries for months if not years that all the top positions in the government are friends and family. Corruption has overshadowed the country. And the gap between rich and poor is huge. Cabinet ministers have monthly allowances of $30,000 per month, while the average civil servant makes $100.”

This is not the first time Sirleaf has been criticised for her inability to tackle corruption. Despite her many accolades as a beacon of hope for Africa and women’s’ rights, her first term was littered with corruption scandals (to scratch the surface see here and here ) and indecision over corrupt figures in her government. One account reads:

Then, [Charles] Taylor’s presidency became a case study in kleptocracy and warlordism. By political necessity, the transitional government that followed, preceding Sirleaf’s administration, was made up by many of those who made money during the Doe and Taylor years. Even some members of Sirleaf’s government retains shady figures from the past.

Her 2011 re-election was very much in doubt such that the election was decided by a runoff in which her main opponent boycotted, leading to claims that she did not have a clear mandate; that she won by default because the voters of the other candidate never showed up.

Her Cabinet reshuffles have been criticised as superficial:

Minister of Agriculture Florence Chenoweth, for example, was spared despite being deeply implicated in a scandal regarding the questionable manner in which 25% of Liberia’s land and 40% of its rainforests were sold off to foreign logging companies….

Even the awarding of her Nobel prize just days before presidential elections in Liberia in 2011 didn’t go through smoothly, and was criticised as a political move by hidden forces attempting to win her political support; some have even called her a puppet forced onto the Liberian people by imperialist powers…

And fighting back she has, being quoted in 2012 to have said “she [Leymah Gbowee] is too young to know what we’ve done to reach peace and security in our country.” a statement which in my view hints of ageism, a bias not entirely desirable in a political leader.

In some respects Joyce’ Banda’s experiences as Malawi’s leader are not too dissimilar to those of Ellen Johnson Sirleaf as Liberian president. Like Johnson Sirleaf (who came to power after 23 years of war had devastated Liberia), Joyce Banda inherited a broken country that was on the brink of collapse as a result of Bingu Wa Mutharika’s troubled relationship with donor countries. While Malawi’s condition was a lot less severe than that of Liberia, Banda came to power when there was little forex in the country, and many services had been crippled; when foreign companies had pulled out (or were threatening to pull out); when there was shortage of sugar – this happening in a sugar exporting country; there were water shortages, and even the main brewery in the country scaled down operations (this was happening in a country which has a 360 mile long fresh water lake!?!); when teachers were on strike, the civil service including the police and lecturers hadn’t been paid for months (and the police were told to fend for themselves); corruption was commonplace; the price of fuel had gone through the roof and there was severe fuel shortages; prices of goods were increasing uncontrollably, there were demonstrations on the streets, and police brutality had killed at least 19 civilians and injured 58…

One and a half years on, while the situation has significantly improved from those turbulent days, most people agree that Joyce Banda’s honeymoon is long over. It is time for the president to show real leadership and put in place genuine policies that have a realistic chance of transforming Malawi. There is increasing frustration amongst many Malawians that the Malawian president has done too little to improve the lives of ordinary Malawians, and that nepotism (hiring family members to serve in government – the president’s sister was appointed as Principal Secretary in the ministry of Education) continues to be rife. There is a general feeling of discontent in some quarters that only people in government (or those who have connections with them) are truly benefitting from her presidency.

The president has publicly attacked unmarried women, and fuelled a spat with the above mentioned female activists. Further, like Johnson Sirleaf, there is concern that the president has turned a blind eye to corruption inside her cabinet, whereby several members of the government (including senior ministers) have been implicated in corruption scandals but have received no flak, and have not been prosecuted. In addition, there is growing concern that just as during Bingu Mutharika’s era the presidency was too close to a handful of corporations, Joyce banda’s government has been criticised for being too close to certain companies and corporations, in one instance the president was pictured clothed in attire having the logos of a local private bank –which had donated K28million (~£52,000) to one of the president’s initiatives. Then, there is the issue over the independence and competency of the judiciary – as the old legal maxim goes

“Justice delayed is Justice denied”

there are several high-profile cases (including several corruption cases) pending in the Malawian courts, which appear to be dragging through at snail’s pace, with little or no sign as to when a decision will be issued. Some observers state that this is unconstitutional and with good reason believe that the president has not done enough to ensure that justice is served promptly on such cases, or that any obstacles (be they shady judges or otherwise) are set aside from obstructing the course of justice.

In Education , and despite some glimmers of hope, there is concern that the president has not done enough to increase the standard of education in the country. To build more Universities and technical colleges to equip the large number of unemployed youths with skills necessary for vocations such as entrepreneurship or commercial farming.

Talk is also rife that Joyce Banda’s son, Geoff Kachale, raised eyebrows over the apparent quick and sudden accumulation of wealth he is said to have acquired. Further, according to Face of Malawi, there are reports that the man has been putting pressure on some parastatals to award him contracts, or suffer consequences. Whether this is in fact true or mere speculation is anyone’s guess? Similar to such allegations is another allegation that Mr Kachale imported a large number of trucks into Malawi, a few of which are now being used by Mota Engil…??

Add to that poor judgement (Madonagate, South Korea labour fiasco (more here), selling presidential jet to buy maize); the wasting of public resources (e.g. The president’s excessive travelling [with too many members of cabinet – all of whom claim allowances], Facebook fiasco – wasting unjustifiable amounts of public money to create a personal Facebook page); her troubled relationship with the media; carrying hard cash to distribute to rally goers; Refusing to disclose her assets; getting ‘cosy’ with Mugabe (more here); and like Johnson Sirleaf, Joyce Banda promised to repeal Malawi’s anti-gay laws, but has yet to make good on her promise…

Finally, there is also concern that most of Banda’s policies lack sustainability and potential for long-term wealth creation. Many of her widely publicised activities involve giving maize handouts, giving free money to supporters, distributing  blankets or livestock and such menial tasks that can be entrusted to a junior minister or low-level civil servant. They are mostly hand to mouth initiatives, and could never help Malawi achieve economic independence in the ways that other countries globally have done in the past.

However, unlike Joyce Banda, who is known to have travelled far and wide in an attempt to attract investment into Malawi, some of the achievements of Johnson Sirleaf are quite remarkable. Prue Clarke and Emily Schmall write in the dailybeast:

… Johnson Sirleaf deserves credit for some stunning economic achievements. The Harvard-educated (Kennedy School of Government, 1971) president used her credentials as a former World Bank and Citigroup economist, along with a mighty dose of charm, to persuade Liberia’s creditors to write off nearly all of the country’s crushing foreign debt. International investment in industries like oil exploration, iron ore, and palm oil has soared from nothing to $19 billion, much of it from emerging economies of India, Brazil, and China. Government revenue has grown 400 percent.

But while there have been many poor decisions, and lack of sustainable policies with developmental potential, Banda has been in power for just one and a half years now,…which may not be sufficient time to roll out a real developmental agenda. With the pressure of running a country, and elections looming in 2014, now may be the last chance for Joyce Banda to try to get things right.

Most foreigners who visit Malawi temporarily don’t get to see the real drama played out, and leave the country singing praises, a good example here are Tony Blair and Clinton, who promised to help Malawi fix its problems. However, for those who stay a bit longer to properly study the dynamics and  observe the course of things , they soon get to see the real deal

Similar links:

Restricted Opportunities

pp-joyce-banda
via The Chief Mourner

While some were busy drawing amusing cartoons that mocked the presidency of Joyce Banda, I received a comment on a blog post I visited the other day, which reads:

Hi Sangwani, Thanks for your comment. We’ve observed how the children we met, who are pupils at rural schools around the Mulanje area, seemed to have restricted opportunities to fulfil their ambitions and abilities due to large class sizes and lack of teaching materials etc. It’s difficult for us to answer your questions having only been in the country a couple of weeks and not knowing a huge amount about the politics here, but if there was more money available to spend on government schools, then maybe the children we met would have more support to be able to achieve their goals?

I couldn’t agree with this more. As I hinted here, Africa in general is severely underresourced, not only in educational equipment, but also in terms of manufactured tools that can be used to efficiently and safely undertake important tasks or activities. While many western countries have phased-out old and redundant equipment, machinery and other ‘tools’ necessary for some function, and generally tools that contribute (or at one point contributed) to creating, building and growing a society, most parts of Africa don’t even have such redundant tools.

And books and teaching materials are just scratching the surface; on this list we have:-

(i) Medicines + Medical equipment  [ there are people dying because they cannot be airlifted to hospital] (ii) Construction equipment [to build functional schools fit for purpose] (iii) Manufacturing / Industrial equipment [to reduce reliance on expensive imported commodities]  (iv) vehicles (or at least motorcycles — which advantageously uses less fuel–for the police + armed services to provide adequate security) (v) Firefighting equipment  …

Yet, with such shortages, you find leaders and managers who should know better continuing to make the classic mistakes. Why for example would  Escom spend MK1.4 billion (£2,701,636.88 ) [ Mid-market rates: 2013-08-30 10:00 UTC on Xe.com GBP £1 = MK518.204) to buy a new fleet of vehicles in the current economic climate?? And when you hear reports such as these that there is a shortage of supplies and personnel in hospitals. Even United States government recently embarked on an initiative to help increase the number of medical personnel in Malawi…yet when the country is broke (the football team can’t afford to pay for a trip to a World Cup qualifier match) you have some people who think that money can be thrown around.

While Escom says  they bought the cars on credit, they will ultimately pay more for them than if they had sourced reliable second-hand cars, as I demonstrated here.

Beggars can’t be choosers.

Visa facilitation as a means to support tourism growth, socio-economic development and job creation

joycebanda

Yesterday an update appeared on the Malawian president’s Facebook page, in which she informed her social media followers that she had participated in a ‘.. Ministerial Roundtable of the United Nations World Tourism Organisation at Victoria Falls’. The topic for discussion at the forum was ‘visa facilitation as a means to support tourism growth, socio-economic development and job creation’.

Considering that the themes of infrastructure, airports and increased cross-national trade within Africa have popped up several times in discussions and articles on this website (for example here, here and here), I think her angle on the issue is commendable, and deserves a mention.

Recently, the Sudanese Billionaire, Mo Ibrahim expressed his displeasure during his address at the 11th Nelson Mandela lecture, with the visa regimes in Africa, saying:

“..The second issue is African economic integration. Only 11% of our trade is amongst the Africans. We refuse to let our people travel from one country to another. We always need a visa. And l also say, sadly, although being Sudanese, whenever l travel in Africa l always carry a British passport, because l am welcome.

My colleague here, a Member of our Board, had huge trouble in getting a visa to be able to join me here. He was a Secretary General of the United Nations, a board member, just to get a visa here is a major trouble. But with my British passport l am welcome here through your immigration lines. Is that acceptable?..”

One can only hope that these kinds of initiatives — which clearly will have a tangible economic benefit to Africa – do eventually get implemented by the countries concerned, and do not end up onto the large pile of broken promises by political leaders past and present.

The full update on the Facebook page is as follows:

Good evening my friends

Today I attended a Ministerial Roundtable of the United Nations World Tourism Organisation at Victoria Falls, on the border of Zimbabwe and Zambia where I addressed participants on the topic: ‘visa facilitation as a means to support tourism growth, socio-economic development and job creation’.

I addressed participants that our continent possesses many places of great beauty and I went on to talk about our beautiful country, Malawi, which happens to be one of the most beautiful countries for tourists attraction as we are blessed with a large freshwater lake, surrounded by white sands and full of a diversity of fish species and country boasts of wide open skies, beautiful rolling hills and mountains that offer rare experiences to climbers, bird watchers and adventure enthusiasts.

I made it clear that Malawi’s description as the ‘warm heart of Africa’ does not just refer to our inviting climate or the deep red of our sunset. It aptly describes the welcome you will receive from all Malawians as we are indeed very friendly and “warm hearted people of Africa”!

While talking about tourism I addressed participants that , tourism promises immense opportunities for growth of our economies and job creation; however millions of people continue to face unnecessary barriers to travel. These barriers include complicated and expensive visa processes; difficult and therefore expensive transport connections, lack of integrated border management systems and security threats.

For example, according to research by the United Nations WorldTourism Organisation; and World Travel and Tourism Council, facilitating visas among the G20 countries alone would create an additional five million jobs by 2015. This is a clear indication of the impact simplified and user friendly visa system can have on our economies.

It is my view that Visa Facilitation has the potential to enhance regional integration, intra-regional trade and easy movement of capital and people between countries and regions.Therefore, visa policies and procedures are among some of the most important instruments influencing tourism and investment. The development of policies and procedures for visas as well as other travel documents is closely linked to the development of tourism. Furthermore, the quality, reliability and functionality of visas have a direct correlation to number of arrivals at a destination.

In lieu of the above reasons I am calling for regional interconnectivity amongst our nations which may entail improving the current state of transport and telecommunications infrastructure and facilitating institutional improvements to optimise the efficiency and capacity of road, rail, water and air transport and the social sectors in education and health.

I believe that this in turn has high potential on enhancing economic growth; thus contributing to overall objective of poverty reduction. The link between tourism and poverty reduction is well known as one of the fundamental contributions is job creation which is part of our government’s economic recovery plan that my government is pursuing.

Thank you all for your support and prayers

May God bless you!

Good night!

Dr Joyce Banda
President
Republic of Malawi “