High Court freezes Callista’s property

The High Court in Zomba has blocked a house belonging to former first lady Callista Mutharika on suspicion that it was bought using the late Binguwa Mutharika’s money, Weekend Nation has learnt.

Mutharika—who it has transpired was worth more than K61 billion—allegedly bought the house for Callista in 2009 from State-owned Malawi Housing Corporation (MHC).

The property is a victim of the Zomba High Court’s order issued on June 26 2013 freezing all but one bank account belonging to the late leader and also blocking the rest of the former leader’s estate from usage or transaction.

In June, government sought an injunction stopping anyone from using the Mutharika estate on concerns that the property is being tampered with, among other grounds.

Government, through the Estate Duty Commissioners, wants to tax the deceased estate and, therefore, hired YWM Property Investment Company, run by YeremiahChihana, to value the estate to find the basis for Treasury’s share.

Reads the June 26 order in part: “In the interim, an order for attachment by way of an injunction be and is hereby granted restraining the respondents either by themselves, their agents, their servants or by whosoever and howsoever otherwise from dealing with all the property, both real and personal (movable and immovable) wherever situate within the Republic of Malawi and outside the Republic of Malawi until otherwise determined by the court except bank account for Ndata Farm domiciled at First Merchant Bank Limited.”

The respondents are the administrators of Mutharika’s estate.

In an interview yesterday, MHC deputy general manager WanagwaMbeleka confirmed that MHC was served with the High Court’s freezing order on June 27 2013 in connection with house number MTR 6 in Zomba which is in Callista’s name. He, however, said he was not sure who paid for it.

“I have to check on who actually paid for the house, but for sure I know we received a cheque of around K9 million for the said house in 2009,” he said.

Although the house is Callista’s property, it cannot be disposed of without MHC authorisation as the land on which it is built remains the corporation’s.

Apart from MHC, the court order was also served on the Regional Commissioner of Lands (South), FMB and the Department of Road Traffic, among other institutions connected to the saga.

Meanwhile, YMW Property Investment has claimed that DPP leader Professor Peter Mutharika had joint accounts with his late brother outside the country.

YMW thus contacted Peter to provide some details on the fallen leader’s estate.

In a June 25 2013 letter to Peter, Chihana wrote: “We are valuers and we were contracted by the Malawi Registrar General to assess the real estate, shares and stocks, bank balances, chattels and other assets that form the estate of [the late Mutharika] as of the date of death on 5th April 2012.

“Upon examining the will of late Professor Bingu wa Mutharika, we have noted that you are one of the administrators/executioners of the will. We are, therefore, of the view that you would be in a position to provide some information on the accounts that were held in the name of Prof.Bingu wa Mutharika and yourself as either a co-signatory or administrator/executioner.”

Chihana said the said accounts were in Isle of Man, Zambia, United States, Portugal, Singapore, Taiwan, Mainland China and Australia.

In another letter on the same date to Peter, copied to the director of Road Traffic and the Inspector General of Police, Chihana also invited the former president’s brother to provide information on a list of 41 vehicles that were in Bingu wa Mutharika’s name and others that may not have been on the list attached to the letter.

But in response on June 26 2013, Peter—through his lawyer Kalekeni Kaphale—said: “Without prejudice to our client’s right to comment on the propriety of your appointment as valuer, our client is not aware of any bank accounts held in the name of the deceased and/or in our client’s name either as co-signatory or as administrator/executor of the will or in any other capacity whatsoever in the listed countries in indeed in any other country.”n