Fraud Alert: Chimwendo Banda threatens to sue Gaming Board finance Director in relation to K0.6 billion scandal

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Chimwendo

Minister of Sports and Youth Richard Chimwendo Banda has threatened to sue Malawi Gaming Board (MGB) Finance Director Henry Bakuwa over the K600 million scandal.

The threat follows Bakuwa’s claim that the Minister received K4 million from MGB and that the money was withdrawn from an FDH account which was allegedly used by MGB managers to steal K600 million.

Bakuwa, in his submissions to the Auditor General for investigations into the alleged fraudulent transactions, alleged that MGB under current chief executive officer Rachel Mijiga dished out K43 million to Members of Parliament to vote for the bill which merged MGB with National Lotteries Board to form  Malawi Gaming Board and Lotteries Authority (MAGLA).

Out of the amount, it is alleged that K8 million was given to Chimwendo and Minister of Tourism Usi.

“MK4 million was paid personally to Hon Chimwendo Banda (through a payment of MK2 million cashed from personal accounts of CS and CEO) and refunds for the same were sought from the Malawi Gaming Board Office,” Bakuwa said in his letter.

Following the leakage of Bakuwa’s letter on social media, Chimwendo Banda yesterday, November 11, through his lawyers Wilkinson wrote Bakuwa saying the allegations mean that Chimwendo abused his position for personal gain and that he is a corrupt individual who participates in abuse of funds.

“Your defamatory words have thus injured his character and standing in the society and he demands a modest sum of K300 million as compensation for the defamation.

“Our client further demands a retraction of the defamatory words and publication of an appropriate public apology to be published in media platforms that enjoy wide circulation,” reads part of the letter.

Chimwendo has since threatened to commence legal action if Bakuwa fails to pay the money.

Yesterday, Chimwendo also released a statement saying he did not receive any money from Mijiga.

“I was not involved in any of the alleged transactions or activities for which the money is said to have been sourced,” said Chimwendo Banda in a statement on Facebook.

MGB also released a statement saying the Auditor General conducted investigations into the allegations and its findings did not substantiate the allegations made by Bakuwa.

“There were no irregular payments made to any minister, politician or public official as alleged therein at all,” reads part of the statement signed by management.

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