Fiscal Police Wednesday arrested four directors of Foundation for Irrigation and Sustainable Development (Fisd) on suspicion that they defrauded the government and development partners.
National Police spokesperson James Kadadzera identified the suspects as Moses Chirambo, Frank Mwenechanya, Kondwani Namchukwa and Aurther Mpama.
“Police have indeed arrested the four after our investigation indicated that their company has been defrauding the government through various contracts and forgery of important documents,” Kadadzera said.
He said one of the suspects appeared in court on Wednesday in Lilongwe while the rest would appear in court soon.
The Ministry of Agriculture, Irrigation and Water Development awarded the company a K2,4 billion contract to construct, rehabilitate and expand gravity-fed water supply systems in Ntcheu District.
However, disputes emerged between the company and government officials. In 2019, the government terminated the contract on grounds of departure from specifications of the contract, defective works, failure to pay wages on time and delayed service to communities.
FISD Limited challenges the government’s decision.
Kadadzera said the suspects would answer charges of conspiracy to defraud, forgery, uttering false documents, theft by public servant, obtaining money by false presence and money laundering.