K1bn ‘vanishes’ at judiciary
Parliament’s Public Accounts Committee (PAC) has given the Judiciary 14 days to provide documentation on how K1 billion was paid to City Building Contractors without authority from the Office of the Director of Public Procurement (ODPP).
The committee also alleged that the funds were spent on a non-existent project.
During an appearance before the committee in Lilongwe on Thursday to explain queries on Treasury minutes for the years ended June 30 2008, 2009 and 2010, the Judiciary controlling officer Agnes Patemba said there were no documents for the said project.
She said her management also noted the anomaly as observed by the Auditor General; hence, their reference to the internal procurement committee (IPC).
“Management has noted the anomaly as observed by the auditors that a revised contract sum of K251 272 725.72 was paid to City Building Contractors Limited without authority from the ODPP. The matter has been referred to the IPC to regularise the process with the office of the ODPP,” said Patemba, who is the registrar of the High Court of Malawi and Malawi Supreme Court of Appeal.
Verification of payment vouchers for the project showed K168 922 689 as the initial contract sum which was revised to K666 392 686.65 with authority from ODPP and further increased to K916 664 864.37 at the date of the audit, indicating an over expenditure of K251 272 725. 72 paid to the contractor before approval from ODPP.
Committee vice-chairperson Kamlepo Kalua said they have given the ultimatum to the Judiciary because the committee suspects that the money was misappropriated.
He said: “We have given her up to 13th of April that she should be able to come back to us with the documents. Then we will go to the Judiciary itself with the Chief Secretary, if we will not have the documentation by then. This money has to be recovered.”
Kalua said his committee was satisfied with Patemba’s responses as she did not beat about the bush but told the committee she did not have any documentation; hence, they could not send her and her team back.
In the past two weeks, Parliament’s PAC has been engaging controlling officers in various government ministries, departments and agencies (MDAs) to clarify on audit queries relating to their expenditures. Some of the MDAs were thrown out of the meetings for lack of preparedness.
