The Malawi Revenue Authority (MRA) has cancelled its plan to award security services contracts to three firms, including one owned by Minister of State Alfred Gangata, following public pressure and concerns over possible legal and ethical breaches.
In an intention-to-award notice dated December 26 2025, MRA indicated that it intended to award contracts worth a combined K5.4 billion to Masters Security Services (K3.3 billion), Kamu Guard Services (K897 million) and Iringa Security Services (K1.14 billion).
However, in a letter dated December 31 2025 addressed to Masters Security Services, MRA Commissioner General Felix Tambulasi said the authority had resolved to cancel the procurement process and would re-advertise the tender.
The letter reads in part: “Please be informed that the authority, acting through its Internal Procurement and Disposal of Assets Committee [IPDA] has resolved to cancel the above-mentioned procurement process.”
contracts: Tambulasi | Nation
In a written response yesterday, MRA spokesperson Wilma Chalulu said publication of an intention to award forms part of the procurement and evaluation process.
She said: “The publication of the intention to award is a deliberate transparency measure intended to provide an opportunity for any bidders who may have concerns or have noted irregularities in the process to come forward, for MRA to address before the contracts are formally awarded.”
However, in a story published by our sister paper The Nation on December 30, 2025, governance and legal commentators questioned why MRA was considering awarding a contract to Master Security Services while the authority is involved in a legal dispute with Gangata over alleged forgery of tax clearance certificates for the same company.
In that case, Gangata was represented by Tambulasi, who, prior to his appointment as MRA Commissioner General in October this year, was a private practice lawyer. Tambulasi has also previously served as MRA head of legal and corporate services.
The pundits argued that Section 75(2)(f) of the Public Procurement and Disposal of Assets Authority (PPDA) Act bars public entities from entering into contracts with bidders who are subjects of legal proceedings.
They further cited Section 88(5) of the Constitution, which prohibits the President and Cabinet ministers from using their offices for personal gain or placing themselves in situations where their material interests conflict with their official responsibilities.
Commenting on the cancellation yesterday, private practice lawyer Benedicto Kondowe said MRA’s initial intention to award the contract exposed serious lapses in judgment, due diligence and adherence to legal safeguards.
“The subsequent cancellation, while welcome, amounts to damage control rather than vindication. It does not erase the fact that the process advanced despite obvious legal and ethical red flags,” Kondowe said.
He added: “Cabinet members must not conduct business with the State in ways that compromise their public duties.
“Due diligence must be substantive, not merely procedural. Laws barring contracts with bidders who are subjects of legal proceedings exist to protect public finance and institutional integrity.”
Kondowe warned that failure to address such issues decisively would set a dangerous precedent, suggesting that legal compliance is negotiable and enforcement selective—an outcome that would undermine fair competition and public confidence in state institutions.
Human Rights Defenders Coalition chairperson Michael Kaiyatsa said public institutions should not be praised for reversing decisions that ought to have been prevented through proper due diligence, transparency and ethical compliance.
“It reflects not merely an administrative lapse, but a systemic failure to recognise and manage conflicts of interest in public procurement. Such failures erode public trust and reinforce perceptions of elite capture of state institutions,” Kaiyatsa said.
He demanded a public explanation from MRA on how the tender was evaluated, why conflict-of-interest safeguards failed, and full disclosure of shortlisted companies and the criteria used.
Civil Society Accountability and Transparency executive director Willy Kambwandira echoed similar sentiments, saying the cancellation sends a clear signal that conflict of interest and political capture will not go unchallenged.
“However, we demand full disclosure and accountability for those who approved the flawed procurement process. There is also a need for firm safeguards to prevent political interference. Public institutions must protect their credibility, as reputational damage costs more than cancelled contracts,” he said.
Governance analyst George Chaima also urged duty-bearers to ensure transparency and accountability are upheld in all public contracts.
While representatives of Kamu Guard Services and Iringa Security Services had not responded by press time, Master Security Services business development manager Chris Njeula said he would only be able to access office emails on Monday to confirm receipt of MRA’s letter.
