Four FISD Limited Company directors are in police custody over suspected theft of government funds.
The four are 40-year-old Moses Chirambo, FISD executive director Frank Mwenechanya aged 40, Kondwani Namchukwa aged 40 and 35-year-old Aurther Mpama.
National Police spokesperson James Kadadzera has confirmed the arrest of the four who were picked up by the Fiscal Police department today.
Kadadzera, however, did not mention the amount of money which the four are suspected to have misappropriated.
The arrest of the four comes as FISD is demanding K2.4 billion from government over termination of a contract.
According to reports, in 2017 FISD was hired to construct Gravity Fed Piped Water Schemes in Ntcheu District.
The project commenced on December 12, 2017 and was supposed to complete on December 12, 2018.
Government terminated the contract in 2019 on grounds of departure from specification, defective works, failure to pay wages on time and delayed services to communities.
FISD went to court over the issue but the two parties later agreed to settle the matter out of court with the help of an arbitrator.
FISD behave disasterously with their employees. They regularly don’t pay them, amd.sometimes for very long.periods (up to 6 months) yet they still receive lots of foreign donor money. I tried to warn the EU about their activities but they still carried on funding them. It is not a surprise the directors have been arrested.