The Centre for Democracy and Economic Development Initiatives (CDEDI) is calling on the government to urgently act on the alleged loss of billions of kwacha through fraudulent dealings at Salima Sugar Company Limited (SSCL), accusing politically-connected individuals, including senior Malawi Congress Party (MCP) figures, of benefiting at the expense of ordinary Malawians.
Speaking at a press briefing in Lilongwe on Monday, CDEDI Executive Director Sylvester Namiwa said the government must immediately recover the money, prosecute those involved, and restore accountability in a company that was meant to protect low-income consumers from exploitative sugar prices.
He said SSCL’s governance collapse under former Executive Chairman Wester Kossam opened doors for unchecked abuse, including irregular payments, dubious sugar import deals, and credit facilities extended to politically-connected individuals who have not repaid billions.
“CDEDI has information to the effect that Mr. Kossam single-handedly awarded a credit facility to a Malawi Congress Party (MCP) functionary and her son, who trade in different names, but jointly owe SSCL K1 billion in unpaid sugar supplies,” said Namiwa.
Namiwa also cited the K1.3 billion Brazil sugar deal which produced no sugar, saying such scandals clearly demonstrate how SSCL resources were diverted for personal and political gain.
“In February this year, he obtained an import licence from the Ministry of Trade and he, allegedly, awarded a K1.3 billion sugar contract to a politically connected ESTT Holdings, belonging to Ronald Mdoka, import Sugar from Brazil,” said Namiwa.
“Kosssam, therefore, owes Malawians an explanation as to why until now SSCL is yet to recover the K1.3 billon that was paid in February.”
He further questioned how Kossam continued to act as Executive Chairman despite the dissolution of the Greenbelt Authority (GBA) board in August 2024 and again under the new administration in October 2025.
“Government cannot suspend someone whose tenure already expired thrice,” he said, calling the situation a mockery of good governance.
CDEDI is demanding that Kossam repays all salaries and benefits earned from August 2024, that law enforcement agencies summon him to clear his name, and that businessman Ronald Mdoka immediately refunds the K1.3 billion paid for undelivered sugar.
The organisation is also pushing for an urgent, comprehensive audit of SSCL and wants the Ministries of Finance and Agriculture to engage the Export Bank to take over the SSCL loan currently draining over K1.1 billion monthly, warning that the company will collapse without intervention.
Namiwa said Malawians deserve decisive action, arguing that continued silence would only embolden those who plunder public institutions and emphasized that SSCL was created to uplift citizens, not to enrich political elites.
