Government on instructions from President Peter Mutharika has paid MK3.1 billion to Mulli Brothers Limited (MBL) as compensation for losses in the 20 July, 2011 demonstrations.
According to a post by social commentator Onjezani Kenani, Mutharika approved the payment to Mulli Brothers which is owned by Democratic Progressive Party (DPP) politician Leston Mulli.
The High Court in 2013 ordered government to compensate the company after property belonging to its subsidiaries was damaged by protesters during the anti-government demonstrations.
The Facebook post by the commentator says government paid the MK3 billion starting from April this year.
“This was done secretly and the discussions happened in treasury in a meeting between the finance minister Goodall Gondwe, Ben Phiri and Leston Mulli (apparently Ben Phiri advised the two that the President had agreed to settle this issue),” says the post.
The revelation has angered Malawians since Mulli owes Malawians MK3 billion after government repaid a loan he took from the then state owned Malawi Savings Bank.
Some Malawians have accused Gondwe of failing to make sure the debt is collected and have called on him to resign.
They also want Mutharika to explain to Malawians why he approved the payment.
The revelation comes as government is already under fire for attempting to distribute MK4 billion to 86 Members of Parliament, most of whom blocked the Electoral Reforms Bills.