FISD directors out of court

BLANTYRE-(MaraviPost)—Lilongwe Magistrate Court  on Friday, November 13, 2020 granted bail to four FISD Directors who were arrested three days ago for being suspected of defrauding and forgery in its dealings with the government.

The suspects are Frank Mwenechanya, Arthur Mpama, Moses Chirambo and Kondwani Nanchukwa.

In her bail ruling Magistrate Shyreen Chirwa said Constitution of the Republic of Malawi on Section 42 says everyone has a right to access bail.

Chirwa said Section 118 also gives right for any suspect to apply for bail.

The Magistrate said she could not give the bail as earlier applied because there were other documents which needed to be collected at ADB and that the court was assessing  if the suspects might interfere with witnesses.

The directors have been told to surrender all travel documents, pay MK100,000 in cash and MK10 Million Sureties.

Fiscal police in Lilongwe arrested Fisd directors over fraud allegations on Monday and were taken to court where they applied for bail but they were denied.

The four were remanded to Maula prison awaiting the bail ruling.

This comes after industrial court faulted Malawi government through Ministry of Agriculture, Irrigation and Water Development for unfairly terminating a contract for FISD Limited Company under contract No. 021/SRWIHL/W/2017/015a-LOT 1 for the rehabilitation, and expansion of three gravity fed water systems in Ntcheu district.

The project is titled “Sustainable Rural Water Infrastructure for Improved Health and Rural Livelihoods Project”

The contract valued at MK2.4 billion commenced on December 12, 2017 and was supposed to complete on December 12, 2018.

The Maravi Post understands that towards project completion period FISD through the project consultant requested for contract extension as the client wanted the contractor to do some additional works which were not part of the initial contract.

These works include construction of water points and associated connection pipelines from water points to main lines.

FISD delivered work

According to the contract seen by Maravi Post, FISD was initially supposed to just supply the pipelines and associated water point materials and the Water User association (WUA) was supposed to do construction works as part of their community contribution.

As the works were implemented during the campaign period of last parliamentary and Presidential elections, FISD limited was instructed to do WUA assigned works to fast tract the same

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