Former Ntchisi South MP Ulemu Chilapondwa has been arrested over allegations of pocketing K884 million in VAT collected from a government contract but never remitted to the Malawi Revenue Authority (MRA).
His arrest comes just days after a video of him went viral on social media, showing him lamenting the worsening cost of living in Malawi during a funeral ceremony.
Chilapondwa, a former Malawi Congress Party (MCP) legislator, is accused of collecting VAT through his businesses and failing to hand over the money to the tax authority.
MRA says the businessman, who operates Chamachete General Dealers and J.U.C Investments in Dowa, is being investigated over VAT linked to supplies made under the Malawi Rural Electrification Programme.
The authority’s Head of Corporate Affairs, Wilma Chalulu, confirmed the arrest, saying the case centres on Invoice Number 105, dated November 11, 2024, which was issued to the Ministry of Energy.
The invoice carries VAT amounting to K884,653,566.72, which MRA alleges Chilapondwa collected but failed to remit.
The case puts a former legislator at the centre of a major tax investigation in involving a government transaction, as MRA moves to enforce compliance with tax laws.
Chilapondwa, sparked public controversy in February 2022 when he stated in Parliament that cooking oil was a “luxury commodity for the elite”
