Four cashgate firms deregistered
The National Construction Industry Council (NCIC) has since 2014 deregistered four construction companies associated and in some cases owned by Cashgate suspects and convicts.
The companies include Caroline Savala’s Cam Construction which earned her a Judge Fiona Kalemba conviction last week for theft and money laundering involving K84 million.
Other companies whose owners have been convicted include: Osward Lutepo’s O and G Construction Company and Faith Construction Company associated with Angella Katengeza among others.
NCIC Chief Executive Officer, Linda Phiri, said in an interview that the deregistration follows the conviction of those behind the companies.
“The suspension and subsequent deregistration is dependent on the convictions of those involved with the companies. We are dealing with cases, one by one, depending on the outcome in court,” Phiri said.
The companies obtained an injunction against the de-registration but Phiri said the injunction was disregarded because it had anomalies.
“The injunction they got was served wrongly because they were supposed to serve it to the Ministry of Transport so the board disregarded it,” she said.
In May 2014, the NCIC’s ethics and disciplinary committee suspended about 25 construction companies and completely deregistered another two for their involvement in the infamous plunder of public funds.
The NCIC Act gives the council powers to take disciplinary action over any person engaged in the construction industry and practising in Malawi.
But responding to questions, in Parliament, on Thursday, Minister of Justice and Constitutional Affairs Samuel Tembenu said government still did not have a concrete figure.
“Government is currently compiling a list of those that have been convicted of Cashgate to ascertain how much in total it is going to recover,” said Tembenu
As of February this year government had recovered K299 million only since investigations and prosecutions began about two years ago. At least K24 billion was lost through Cashgate.
Anti- Corruption Bureau (ACB) Senior Public Relations Officer, Egrita Ndala, said the bureau, in conjunction with the Director of Public Prosecutions (DPP) were yet to recover any money or property from former director of Tourism, Leonard Kalonga, Caroline Savala and Mkhudzo James Bandula Chirwa, some of whom were convicted but were waiting sentences
A vibrant writer who gives a great insight on hot topics and issues
