Close to 24 months after a forensic audit exposed procurement irregularities worth K6.7 billion at the Electricity Generation Company (Egenco), the alleged fraud remains unresolved.
The audit, dated February 13, 2024, revealed irregular payments totaling K6.7 billion, with K4 billion disbursed to just two firms—Mauritius-based Teligenta Limited and Lloyd Electrical, owned by local businessman Hussein Osman Nurmahomed. Former CEO William Liabunya was found to have authorised payments for transactions unrelated to Egenco’s operations.
Covering January 2017 to March 2022, the audit exposed systemic procurement mismanagement, including unauthorised requisitions, unissued stock, and widespread single-sourcing in violation of competitive bidding rules. Egenco held K1.8 billion in unissued stock from purchases made between 2018 and 2020.
Liabunya and company secretary Videlia Mluwira were implicated in the audit conducted by Mwenelupembe, Mhango & Company on behalf of the Auditor General. Liabunya exited Egenco in January 2024 after his contract expired, having served since 2017. Prior to his departure, both officials were placed on forced leave pending an audit into their handling of cyclone-related damage at Kapichira Hydro Power Station, which had caused prolonged power outages.
Though they obtained an injunction from the Industrial Relations Court to block the leave, subsequent legal proceedings did not favour them. In an April 2024 interview, Liabunya expressed surprise at the audit’s findings, claiming he was never contacted and was unaware of the report.
Governance experts are now urging authorities to act decisively, warning that prolonged inaction undermines public trust. Moses Mkandawire, executive director of the Nyika Institute, said government silence reflects a broader failure to combat corruption. “Citizens demand leadership that delivers justice, not rhetoric,” he said, adding that delays could allow the accused to sue the State for defamation.
Willy Kambwandira of the Centre for Social Accountability and Transparency echoed these concerns, saying unresolved high-profile cases reinforce the perception that accountability only applies to the powerless. He urged oversight bodies—including the Anti- Corruption Bureau, National Audit Office, and Public Procurement Authority—to act independently and transparently.
Ministry of Justice spokesperson Frank Namangale confirmed that former Attorney General Thabo Chakaka Nyirenda successfully challenged the injunction. However, Namangale said he needed time to consult on the audit’s findings and the current status of the case
