Calls grow for probe into K2.1 billion NEEF contract amid allegations of corruption, political patronage

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Chakwera

A coalition of concerned citizens and civic activists have formally petitioned the Anti-Corruption Bureau (ACB) to investigate a controversial K2.1 billion contract awarded by the National Economic Empowerment Fund (NEEF) to Luthando Holdings.

The contract, which involves the supply and delivery of 100 motorcycles at a unit cost of K21 million, has sparked public outrage over alleged irregularities,00 potential corruption, and a possible conflict of interest involving the First Ladybug and the One I’s charitable organization.

In a complaint submitted to the ACB, Edwards Kambanje of Concerned Citizens of Malawi and Bon Kalindo of the civic movement Malawi First, questions the timing of a reported donation made by Luthando Holdings to the Shaping Our Future Foundation (SOFF), which is led by First Lady Madam Monica Chakwera.

“While this donation was reportedly part of the company’s corporate social responsibility, its proximity to the awarding of the NEEF contract raises the possibility of a quid pro quo arrangement and political patronage,” reads the letter to ACB.

The activists argue that the procurement process lacked transparency. No competing bids or evaluation reports have been made public, and there is no indication that due diligence was conducted on Luthando Holdings’ technical or financial capacity. They also question the K21 million price tag per motorcycle, describing it as excessive and unexplained.

The activists call for a full review of the procurement process, publication of all tender documents, an examination of potential political influence involving the Office of the First Lady, and a forensic audit of the contract pricing.

They have since warned that failure to investigate could erode public confidence in government institutions and set a dangerous precedent for future procurement.

“This matter is of urgent public interest, and the precedent it sets may threaten the integrity of public procurement if left unaddressed. We trust that the ACB will act swiftly and decisively in upholding the rule of law and protecting Malawian taxpayers from exploitative practices,” reads another part of the letter.

Meanwhile, public debate over the contract has intensified on social media and among civil society groups, with growing pressure on the government to demonstrate its commitment to transparency and anti-corruption reforms. 

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