By Mercy Matonga:
Government has signed a $19 million (approximately K32.3 billion) military equipment procurement deal with Zuneth Sattar.
This is despite the ongoing investigations and corruption cases around the United Kingdom (UK)-based businessman.
The purchase seems to be a continuation of a contract between Sattar’s Malachite FTZ and Malawi Defence Force (MDF) for the supply of 32 armoured personnel carriers, reference number MDF/DOL/armoured personnel carriers 1/21/, worth $19,933,600.
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Sources close to the deal say this contract is already a subject of an ongoing investigation and various court cases.
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The Anti-Corruption Bureau (ACB) suspended several contracts, including the said contract between Sattar’s companies
and MDF and Malawi Police Service (MPS).
Later, the Attorney General announced the termination of all the contracts after an investigation in the UK, where Sattar is based, unveiled alleged massive corruption in the dealings.
Several local officials have subsequently been arrested and some are on trial, including Vice President Saulos Chilima.
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We have it on good authority that government has already paid Sattar $4.9 million out of the $19.9 million contract money.
And some government officials are already processing the deal by carrying out an inspection exercise.
However, procurement experts say this is an anomaly because inspection is done before payment.
Government has found itself in this situation because of the recent deployment of MDF troops to the Democratic Republic of Congo (DRC).
Malawi has deployed the troops under the Southern African Development Community (Sadc) to support the DRC government in restoring peace and security in the eastern region.
President Lazarus Chakwera, who travelled to DRC last week, also touted peace restoration as one of the items on the agenda of his visit.
Under the mission, each contributing country will be responsible for its own weaponry, with Sadc not expected to pay any compensation should cases demanding so arise.
DRC’s eastern region has witnessed an increase in conflicts and instability caused by the resurgence of armed groups, especially M23 group.
According to a Sadc statement posted on its website www.sadc.int, the deployment of the SAMIDRC was approved by the Extraordinary Sadc Summit of Heads of State and Government held in Windhoek, Namibia, on May 8 2023 as a regional response to address the unstable and deteriorating security situation in Eastern DRC.
In an earlier interview, MDF spokesperson Emmanuel Mlelemba confirmed the deployment of Malawian soldiers under the Sadc Mission.
South Africa is leading the troops.
Mlelemba also confirmed that each participating country will be responsible for its own weaponry.
“As you are aware, Malawi is committed to peace in the Sadc sub-region and the whole of Africa.
“As such, we are deploying a battalion to DRC to support the peace enforcement mission under Sadc, besides the contingent we already have there under the United Nations Organisation Stabilisation Mission in the Democratic Republic of the Congo (Monusco),” Mlelemba said.
On each troop contributing country (TCC) being responsible for its own weaponry and compensation, Mlelemba said: “It is important to note that Malawi’s commitment to peace is unquestionable and [we] will make sure that this mission is successful.”
He added: “We are certain that our efforts will contribute towards achieving intended results because we, as a country, are committed to promoting and maintaining peace and security in the region.
“Besides, the troops will be operating in line with their conditions of service.”
He could not shed light on the duration for the mission.
But yesterday he did not respond to our questions on the procurement of the weaponry from Sattar.
He just said he was working on the response.
Attorney General Thabo Chakaka Nyirenda said he could not comment as he did not have information on the matter.
“Let me not give you half-baked information. Right now, I cannot comment,” Chakaka Nyirenda said.
In another interview, ACB Director General Martha Chizuma, expressed surprise about the deal.
She said the bureau restricted all Sattar-linked contracts.
Indeed, the Attorney General cancelled them a month after ACB’s restriction.
Chizuma said she was not aware of the ongoing procurement.
“I have no idea of what you are saying. All I know is that we, as ACB, restricted all Sattar’s contracts, which were cancelled by the office of Attorney General thereafter,” Chizuma said.
According to a report the ACB presented to Chakwera in 2022, which pertained to public officers that are alleged to have dealt with Sattar, the bureau found that in the four years between 2017 and 2021, MPS and MDF awarded 16 contracts worth over $150 million to five companies belonging to Sattar.
Here is the list of some of contracts and suppliers under probe:
- MDF: Supply and delivery of ration food packs with reference number MDF/DOL/Food ration packs at $7,866,000 with Sattar trading as Xaviar Limited.
- MDF: Supply and delivery of 6 armoured trucks (water cannons) with reference number MDF/DOL/Armoured trucks 01/20 at $10,524,000 with the supplier Malachite FZE
- MDF: Supply and delivery of riot control equipment with reference number MDF/DOL/Riot control 01/20 at $28,650,500.00 with supplier Crimson Trading LLC.
- MDF Supply and delivery of 32 armoured personnel carriers with reference number MDF/DOL/Armoured personnel carriers 01/21/ at $19,993,600.00 with the supplier Malachite FZE.
- MPS: Supply and delivery of food ration packs with reference number MPS/SB/16/04/2021 at $7,875,500.00 with supplier Xavier Ltd.
- MPS: Supply and delivery of food ration packs with reference number MPS/SS/08/04/2029 at $4,830,000.00 with supplier Xaviar Limited.
- MPS: Supply and delivery of food ration packs with reference number MPS/SS/22/09/2019 at $18,078,000.00 with supplier Pyrite General.
- MPS: Supply and delivery of ration food packs with reference number MPS/SB//06/12/2012 at $9,660,000.00 with supplier Xaviar Limited.
- MPS: Supply and delivery of 8 armoured trucks (water cannons) under LPO 629951 at $14,032,000.00 with supplier Sattar trading as Malachite FZE.
- MPS: Supply and delivery of uniform with reference number MPS/SS/08//05/2019 at K2,852,938,800.00 with supplier Xelite Strips Ltd/Capstone Ltd.
- MPS: Supply and delivery of food ration packs with reference number MPS/SB/07/09/2018 at $4,600,000.00 with supplier Xaviar Ltd.
- MPS: Supply and delivery of food ration packs with reference number MPS/SB//140/05/ZZ/2017 at $3,220,000.00 with supplier Xaviar Ltd
- MPS: Supply and delivery of food ration packs with reference number MPS/SS/49/08/2017 at $3,680,000.00 with supplier Xaviar.
- MPS: Supply and delivery of ration food packs with reference number MPS/SS//02/10/2019 at $4,830,000.00 with supplier Xaviar Ltd.
