Simplex Chithyola Banda arrested: Ex-finance minister nabbed over alleged K39bn Greenbelt fraud
Malawi24 confirms that former Finance Minister Simplex Chithyola Banda has been placed in police custody after being linked by suspects to the K39 billion Greenbelt scandal, one of Malawi’s most significant alleged corruption cases.
The arrest marks a major development in investigations into the Greenbelt Initiative, a flagship agricultural programme aimed at transforming farming through irrigation and infrastructure.
The project is now under scrutiny over alleged financial mismanagement and looting.
Authorities say Chithyola Banda, also Leader of the Opposition in Parliament, is being questioned over multiple irregularities tied to the project.
Suspects already in custody have allegedly implicated him, linking him to questionable procurement decisions and financial transactions.
Investigators allege the scandal involves manipulation of procurement processes, awarding contracts under unclear conditions, and payments to contractors despite incomplete or limited work.
They also report “layered money flows,” suggesting funds were routed through intermediaries to conceal their origin and beneficiaries.
Financial intelligence teams are tracing transactions to establish whether public funds were diverted.
The Greenbelt Initiative, designed to boost irrigation and reduce reliance on rain-fed agriculture, is now being described by investigators as potentially exploited for large-scale financial misconduct.
The Greenbelt mega farm scheme, which President Lazarus Chakwera described as a game-changer for Malawi’s agriculture sector, emerged as one of the country’s biggest corruption scandals, with more than K36.8 billion allegedly misappropriated through senior government officials, contractors and politically connected individuals.
Investigations have established that part of the loot was used to finance the 2025 campaign. It is alleged that the Greenbelt Authority (GBA) was instead used to channel public funds to selected companies, with some of the money allegedly financing political activities linked to the then ruling Malawi Congress Party (MCP) covering various political campaign initiatives.
It remains unclear whether President Chakwera was aware of the alleged misconduct taking place within his administration. What is evident, however, is that the programme failed to deliver the intended outcomes while substantial public funds were disbursed as Malawi remains food insecure and significantly reliant on aid.
In the Cooler: The Full List
Chithyola is far from alone in custody. Former Cabinet Ministers Sam Kawale and Sosten Gwengwe, as well as former SPC Colleen Zamba, were arrested in February this year in connection with the separate East Bridge scandal, in which billions of government funds were paid out under suspicious circumstances, including a now infamous payment to a UK-based butchery for fertiliser that was never delivered. Chithyola’s arrest therefore signals that the net of accountability in Malawi is widening well beyond the Greenbelt Authority alone.
Within the GBA itself, Director of Finance and Investments Linda Phiri, Procurement and Assets Disposal Manager Masautso Kamowa, and Infrastructure Development Manager Synoden Kautsi were all arrested in January.
On the private sector side, Kenneth Khonje of Einstein Construction Limited, Victor Chabwera of PLMB Engineering Investment, and Ephrone Mwenitete of EMD Consulting Engineers have also been taken in. The arrests are a joint operation between the Anti-Corruption Bureau and the Fiscal Police Department.
Taken together, the picture emerging is of a sprawling web of corruption spanning multiple institutions, multiple scandals, and some of the most senior figures in Malawi’s recent political and public service history.
The ACB says investigations are ongoing and more arrests are expected.
Civil society groups are calling for transparency and justice as authorities continue investigations.
Law enforcement and anti-corruption agencies say more arrests are possible as evidence develops.
