Mota Engil, the company whose workers were accused of racism, is back in the news for controversially demanding K96 billion from government.
The company’s Managing Director Nuno Antunes says in a letter to the Roads Authority that government owes it over K47 billion for works that have been completed and those substantially completed. Another K48 billion is for interests accrued as some of the debts date back to 2008.
“From the amount owed, it can be observed that at the prevailing interest rate a total amount of not less than five hundred million is being added monthly to cover for financial charges. The accrued financial charges are estimated to be fourty eight billion kwacha due to delayed payments on all completed contracts,” reads part of Nunes’ letter dated July 20.
He added that the company’s operations have been hampered by the owed funds hence it has suspended works.
“Much as we would like to have all suspended sites resume work, we would like to inform you that financial conditions are not permitting us to do so,” he said.
Spokesperson of the Roads Athority Portia Kajanga has since cast doubt over the amount owed saying government has made payments to the company in the past couple of months.
Meanwhile, Malawians have accused Mota Engil of being involved in corrupt acts during the Democratic Progressive Party (DPP) regime.
Malawians say the company was awarded a lot of contracts by the DPP government because it was paying kickbacks to win contracts.
“Also, y’all heard how Mota made deals here and got a lions share of contracts in Malawi then their mother company in Portugal helped people either buy real estate outside or paid kick backs in foreign held accounts,” wrote one Malawian on Facebook.
A Twitter account called Friends of HRDC Malawi @HRDC_Mw wrote: “Mota-Engil’s alleged money laundering, bribery & corruption are well-known not just in #Malawi but in multiple jurisdictions worldwide. This letter is standard; unscrupulous companies threaten costly, arduous litigation over unsettled bills to obfuscate their financial crimes!”