Malawi Observer

CDEDI pens AG Chakaka-Nyirenda demanding progress report on K51 billion misappropriated at Salima Sugar Company

CDEDI Director Namiwa on duty

By IOMMIE CHIWALO

The Center for Democracy and Economic Development Initiatives (CDEDI) is demanding for an immediate intervention from the Office of Attorney General to take action by challenging Court order on freezing SSCL bank accounts.

In a letter copied to Salima Sugar Company Limited and Green Belt Authority, CDEDI Executive Director Sylvester Namiwa wants the commitment made by Attorney General Thabo Chakaka-Nyirenda in recovering public finances come to pass.

Namiwa is against the current trend of selective justice that is portraying the office of the Attorney General as among compromised agencies.

The call by CDEDI are coming after Malawians have had a rude awakening from verified media reports indicating that the High Court had ordered the freezing of the SSCL’s bank accounts yet it has been on the mercy of its stakeholders.

For instance Mount Meru which also had its bank accounts frozen oover dubious exportation of 1,500 MT Salima Sugar to Rwanda and asked
the current management of SSCL to have mercy as the company was willing to be a government witness.

The Attorney General has been reminded that the SSCL was set up to among others provide the much-needed competition
to the Illovo dominated sugar industry, for the betterment of the majority low-income consumers that are struggling to access the basic commodity,
fortified with Vitamin A supplement.

“For your own information, Illovo has
raised sugar prices twice this year, in a space of six months, therefore
Malawians’ eyes are fixed at the developments unfolding at the SSCL to provide affordable sugar, hence their interest on this matter,” says Namiwa.

The government principal legal advisor has since been urged to challenge the High Court ruling as well as ensuring that the remaining suspects are arrested, starting with their local agents, who are currently facilitating the freezing of the SSCL’s bank accounts.

Chakaka-Nyirenda has also been ordered to give a progress report and
justify the apparent selective application of justice on arrests, including how much in cash and assets has been recovered so far, ten months after committing to address the vice.

“Failure to do the needful, will prompt Malawians to conclude that you are too compromised to defend public interests, therefore,
the noble thing to do is to force you Sir, to resign since you made that public undertaking while fully aware of its implications,” reads the letter from CDEDI and the office of the Attorney General has confirmed receipt of the same.

The recent media reports that the High Court’s commercial division in
Blantyre has barred Salima Sugar Company Limited (SSCL) from using $2.3 million (about K5.3 billion) in its bank accounts, pending the conclusion of an outstanding case between the firm and Mukteshwar Sugar mills Limited,
coupled with the Illovo Sugar price hike, has reminded Malawians of an undertaking AG Chakaka-Nyirenda publicly made on December 5, 2023 when officially unveiling the contents of the November 2023 forensic audit commissioned by the Malawi Government on SSCL, which brought to light reports that about US$30 million (about MK51 billion) was misappropriated.

He made the pledge through a televised press briefing where Malawians were assured that all the money would be recovered and those involved would be arrested with their assets forfeited to recover the public funds, some of which included public debts.

Initially SSCL Chairman Shirieesh Betgiri, was arrested and the national police spokesperson Peter Kalaya told the nation that the police had secured five warrants of arrests for Betgiri, Dr. Henry Njoloma, Prashant Sharma, Vikas Hirawatt and Sachin Nikam.

While there was a commitment by the Malawi Police Service to bring suspects home so that they can answer the charges in court, there has been deafening silence on the matter until in May this year when Media reported that Mount
Meru is off the hook having appealed for mercy.

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