Traditional leader Mwahenga of Rumphi district has been mentioned in a bogus house project that saw his subjects being defrauded of K788,000 for its implementation.
According to reports, the chief is reported to have connived with Michael Banda to cheat locals that they were to have new houses under the Clinton and Hunter Foundation.
Banda who got arrested earlier is said to have demanded cash from 400 beneficiaries whom he identified arguing that it was part of registration charges for the project.
The swindler is reported to have collected K788,000 from the locals using the trick and when he was arrested he told the police that he will name other people who had a hand in the scam.
Mzimba police officer in charge deputy commissioner Clinton Mithayi disclosed that investigations revealed that the chief was one of the principal scammers.
Banda who is a former police officer, told the law enforcers that the chief pocketed K300,000 out of the initial amount raised in the scam.
When asked, Mwahenga admitted receiving the money but said he was not aware where the suspect got it.
Meanwhile, Traditional Authority Mwahenga has asked the police to give him two weeks to pay back the money.