Tag Archives: Khato Civils Limited

Minister Abida Mia impressed with Salima-Lilongwe water project progress

LILONGWE-(MaraviPost)-Minister of Water and Sanitation, Abida Mia has expressed satisfaction with the progress made on the Salima-Lilongwe Water project.

Mia made the remarks after touring Khato Civils Water Treatment Plant in Lifuwu in Salima, along with the project sites, to inspect and appreciate the commencement and progress of the project.

She said the project has started on a high note and soon, the public will witness significant progress.

Mia however acknowledged that the project has faced challenges, particularly supply chain disruptions that contributed to the delays over the years.

“The project will improve water supply to the people of Salima, Dowa and Lilongwe. It is a huge milestone in solving water challenges ” she said.

Mia pointed out that fast tracking of the project will ensure that beneficiaries should start enjoying the fruits of the project without further delays.

Chief Executive Officer for Salima-Lilongwe Water Project Valentine Kaupa echoed Mia sentiments saying the project is making headway because all the machinery needed for the smooth execution is on site.

“Specialised machinery designed specifically for the water project is being used this shows our commitment to the level of precision and innovation being employed to ensure efficient delivery of the work,” he said.

Member of Parliament for Salima Central Constituency, Gerald Kapiseni Phiri said he is happy that the project has commenced, saying it has a huge economic impact on local communities.

The project is being implemented by Khato Civils and has been pegged at over 500 billion Malawi Kwacha (USD 315,000,000).

Thirty percent of the amount will be funded by the government of Malawi and 70 percent by private institutions.

Supreme Court honors AG Nyirenda wishes on Khato Civil’s MK105bn water deal query

BLANTYRE-(MaraviPost)-Justice of Appeal Dingiswayo Madise on Monday, May 22, 2023 granted Attorney General (AG) Thabo Chakaka Nyirenda an application for an order of stay on an injunction which was obtained by the Forum for National Development (FND) barring government from securing a MK105 billion loan meant for the Salima-Lilongwe water project.

This means that National Bank of Malawi and NBS Bank can proceed with lending Khato Civils Limited the money for the project on behalf of government.

According to a ruling which we have seen, Justice Madise has given the ruling on conditions that the applicant should file a fresh application within seven days and that hearing of the summons will be done within 21 days.

However, the banks are yet to proceed releasing the funds considering the complexity of the matter.

The country’s civil rights Forum for National Development (FND) has justified as to why it obtained an injunction stopping President Lazarus Chakwera’s Tonse Alliance government to borrow MK105 billion from commercial banks on behalf of Khato Civils Limited to finance the Lilongwe-Salima water project.

The grouping hinted that there is no way government could borrow money on behalf of private company that failed to meet contractual agreement on the project.

FND suspects public funds theft ploy in the project hence sought legal address while also engaging Anti-Corruption Bureau (ACB).

World Bank pulled out of the project due to overpricing.

Simbi Phiri owns Khato Civils Limited.

Phiri has been in the media for financing major political parties including politicians vying for presidency, Members of Parliament (MPs) in 2019 general elections and 2020 presidential polls.

Hopeless Chakwera’s Tonse uses MRA to intimidate Chodzi on Khato Civil’s MK105bn water deal query

LILONGWE-(MaraviPost)-Desperate President Lazarus Chakwera’s Tonse Alliance government has used Malawi Revenue Authority (MRA) to intimidate and suffocate Forum for National Development (FND) leader Fryson Chodzi’ efforts in demanding explanation of well-crafted MK105 billion payment to Khato Civils Limited on Lilongwe-Salima Water Project.

MRA has given a warning notice to Chodzi for outstanding tax arrears amounting to over MK679,000.

A notice signed by MRA team leader for collection & filing enforcement, Thomas Kapira available to The Maravi Post Wednesday, May 17, 2023 indicated that their records show that Chodzi has not remitted the due tax to MRA.


“This amount has been outstanding and is contrary to section 105 of the Taxation Act which stipulates that tax chargeable under the Act is payable the due date,” he said.

Kapira ordered Chodzi to settle the outstanding arrears by May 24, 2023 at its office in Lilongwe — adding that failure to pay the arrears in full, MRA will be “left with no option but it enforce the law as it is”.

However, Chodzi said in an interview that he will engage MRA on the issue to clarify how they came up with the figure.

“Which year did I default and what income are they referring to?” he queried, while indicating that he will honour the arrears if satisfied with the explanation — if not he will challenge the letter.

This comes as Chodzi has not relented on Fryson Chodzi’s court injunction stopping National Bank of Malawi and NBS Bank from dispersing the MK105 billion cut short the champagne popping at Khato and OPC who have cut corners.

Khato Civils at the start of 2016 initially won the contract on the pretext that it will finance the project to the tune of US$500 million.

The project was from a paper by experts in the Department of Water that had been proposed years before.

Without any Feasibility or Environment Impact studies, politicians pushed for the project without any consideration for public finances but their pockets, until the World Bank and IMF raised concerns about its impact on Malawi’s debt.

The project has since undergone changes that now its priced at MK500 billion, almost six percent of current debt levels, which the IMF is not sustainable.

Simbi Phiri owns Khato Civil Limited who has been boasting in the media to have sponsored major political parties during 2019 general elections and 2020 Presidential Elections.

Chakwera’s Tonse Govt, Khato Civil Ltd panic over MK105bn water deal query


…Judges put under pressure…
…AG’s joining could open pandora’s box

LILONGWE-(MaraviPost)-There is panic at Khato Civils Limited and the Office of the President and Cabinet (OPC) has the unexpected challenge to a well-crafted MK105 billion payment in the name of the Lilongwe-Salima Water Project seems to have backfired.

Experts in the President Lazarus Chakwera’s Tonse Alliance government say borrowing an extra MK105 billion at the time Malawi’s debt levels are very high could collapse the economy as it is a direct spite of the IMF’s current warning that Malawi needs to restructure not add more debt.

Should President Lazarus Chakwera have his way, it is highly unlikely that the IMF programme would resume under this regime.

Fryson Chodzi’s court injunction stopping National Bank of Malawi and NBS Bank from dispersing the K105 billion cut short the champagne popping at Khato and OPC who have cut corners since the beginning, that the company’s lawyer Chancy Gondwe approached the court on the weekend to have Chodzi’s injunction quashed. Justice Ken Manda refused.

Judiciary sources say the matter has caused anxiety that some senior Judges might have asked for a quick hearing.

The Investigator Magazine has been informed that the Supreme Court benches could offer comfort to the parties seeking to overturn the injunction should Justice Manda refuse the application and an appeal is lodged.

Attorney General Thabo Chakaka Nyirenda is said to have faced a “dress down” that he is now joining the case not to defend “public interest” but those of the few that are likely to benefit from the windfall of the project that has no feasibility studies done.

The project contract has also been hidden from the public as it contains “ugly and stupid commitments” that government does not want Malawians to see, whilst top civil servants have told us to “keep fighting and stop this madness.”

Lawyers for Chodzi hope Khato Civils and Chakaka Nyirenda will be able to avail the hidden contract in court to justify their interest in the matter.

This could open Pandora’s box for those involved as Malawians will know who, how, and when the decision to borrow from a private company was made.

Khato Civils at the start of 2016 initially won the contract on the pretext that it will finance the project to the tune of US$500 million.

The project was from a paper by experts in the Department of Water that had been proposed years before.

Without any Feasibility or Environment Impact studies, politicians pushed for the project without any consideration for public finances but their pockets, until the World Bank and IMF raised concerns about its impact on Malawi’s debt.

The project has since undergone changes that now its priced at MK500 billion, almost six percent of current debt levels, which the IMF is not sustainable.

But President Lazarus Chakwera is not hearing any concerns that the extra debt could collapse the economy.

Justice Ken Manda, who is being attacked by social media trolls, has set Wednesday, May 17, 2023 for a hearing. National Bank and NBS Bank have not joined the case.

Simbi Phiri owns Khato Civil Limited who has been boasting in the media to have sponsored major political parties during 2019 general elections and 2020 Presidential Elections.

Source: The Investigator Magazine

Of sleepy, incompetent LoP Kondwani Nankhumwa on Salima-Lilongwe Water Project’s MK105bn loan bill

By Falles Kamanga

BLANTYRE-(MaraviPost)-Malawi’s democracy is under siege considering weak and unproductive of opposition parties including Democratic Progressive Party (DPP), United Democratic Front (UDF) and independent legislators in Malawi Parliament for seriously failing to scrutinize President Lazarus Chakwera’s Tonse Alliance administration bills, budgets to meet Malawians expectations.

Opposition Parties must always vigilant to guard against public resources abuses but the notion is different as are weak, divided with power hungry and personal interests to fill their pockets for their families leaving Malawians with nothing.

The main opposition DPP which is in leadership crisis has also paralyzed its oversight role in Parliament that Chakwera’s Tonse block can do anything to appease themselves against the will of Malawians.

Laws, national budgets, loan authorization bills just pass in Parliament without scrutiny due to opposition leader incompetent.

For instance, on April 6, 2023 Chakwera Tonse block through Finance Minister Sosten Gwengwe, bulldozed Parliament with authorization Bill Number 9 of 2023 allowing government to borrow MK105 billion on behalf of Khato Civils Limited to finance Salima-Lilongwe water project.

The funds are meant to finance the abstraction and treatment of water from Lake Malawi at Lifuwu in Salima and transportation of the treated water through a 112 kilometre transmission pipeline to Lilongwe City under the Lake Malawi Water Supply Project.

Despite grey issues in the bill, Leader of Opposition (LoP) in Parliament Kondwani Nankhumwa who is also DPP vice president in the southern region failed to stand firm against the bill.

Nankhumwa failed also to command opposition block in Parliament against the bill but instead allowed it to pass until passionate civil right group, Forum for National Development (FND) obtained court injunction restraining two commercial banks, NBS Bank plc and National Bank of Malawi plc, from providing funds amounting to MK105 billion to Khato Civils towards the project.

Despite Nankhumwa’s defensive that he raised matters on the bill before it was passed, Malawians can not take him seriously.

Nankhumwa was quoted in the media as saying: “The Bill was circulated electronically at 9.40 am. Using its numerical strength, the government side moved a motion for the production of a supplementary order, which was passed. Consequently, the Bill was brought on the floor and got passed the same day amid protests from the opposition. How would members deliberate on a financial Bill that had just been circulated?”

Even DPP spokesperson on Finance, Ralph Jooma supported the bill without scrutiny.

“We also raised an issue if this money will cover the whole project, but we got a response from Minister that this will only cover 30% of the Project,” said Jooma.

On the need for properly scrutiny of money bills, Jooma expressed concern over government’s behavior to bring bills in the house without looking referring the some bill to relevant Committees for further consideration.

“Before we authorise as members of Parliament we are suppose to look into it, whether to express satisfaction or not,” be observed.

Both Nankhumwa and Jooma failed the nation to raised serious issues in the bill including initial MK25 billion pay out made to Khato Civils, the change of project designed to be ran by Lilongwe Water Board (LWB) and why Tonse administration wanted to borrow money on behalf of the private company against it’s original project design that the contractor which is Khato could source funding.

Simbi Phiri owns Khato Civils Limited. Phiri however has been boasting to have sponsored political parties and Members of Parliament (MPs) for both 2019 general elections and 2020 Presidential polls.

Is this the reason Nankhumwa and entire opposition block failed to scrutinize the bill as a pay back to Simbi Phiri as a good Samaritan? Is this also a reason for Chakwera Tonse block and Malawi Congress Party (MCP) MPs supported the bill without any overview on the bill as pay back to the master?

Is LoP Nankhumwa paying back to Simbi for failing to scrutinize loan bill to Khato?

Nankhumwa as LoP failed big time to analyse the bill until FND took the matter to court. There must be full accountability for this money.

FND has picked up a good fight. This money, which belongs to Malawians, must be fully accounted for before more is poured into this project.

This issue exposes how, incompetent and compromised Nankhumwa is as LoP in Parliament. Nankhumwa is always silent on corrupt deals that benefits him

For instance, the same happened on MK6.2 billion COVID-19 fraud as it took register copy to expose LoP Nankhumwa benefiting from the stolen money while all along he lamented innocence until he was exposed and forced to refund.

What Nankhumwa does in Parliament is spending hours rebuking Chakwera’s sugarcoating State of National Address (SONA) to score political points not beneficial to Malawians.

Malawians must carefully scrutinize Nankhumwa’s leadership ability as he plans to seek power attainment in opposition DPP ahead of 2025 polls.

Malawians are tired and sick with noisy makers, political rhetoric with lip services whose interests are to amass power, wealth for themselves, friends and family members.

Malawi needs competent, skillful and insightful leadership both in opposition and governing block for health democratic dispersion attained in 1994.

Disclaimer: The views expressed in the article are those of the author not necessarily of The Maravi Post or Editor

“Malawi Govt can’t borrow MK105bn on failed Khato Civils’ behalf for Lilongwe-Salima water project”-FND

LIONGWE-(MaraviPost)-The country’s civil rights Forum for National Development (FND) has justified as to why it obtained an injunction stopping President Lazarus Chakwera’s Tonse Alliance government to borrow MK105 billion from commercial banks on behalf of Khato Civils Limited to finance the Lilongwe-Salima water project.

The grouping hinted that there is no way government could borrow money on behalf of private company that failed to meet contractual agreement on the project.

FND suspects public funds theft ploy in the project hence sought legal address while also engaging Anti-Corruption Bureau (ACB)

The clarification comes barely days after FND on Friday, May 5, 2023 obtained an injunction stopping National Bank and NBS bank from releasing the mK105 billion to Khato, a loan which Parliament approved in the just ended meeting.

Though Khato has moved to challenge the injunction, FND insists the funds should not be released, fearing that public resources will be abused.

National Coordinator for FND Fryson Chodzi told the news conference on Wednesday, May 10, 2023 in the capital Lilongwe that Khato as a contractor was suppose to get a financier on its own and not government borrowing on its behalf.

Chodzi disclosed that the grouping has already penned Anti-Corruption Bureau (ACB) to investigate what happened with the project’s former financier Quay Energy and how the MK25 billion was spent on the project when there is nothing on the ground.

“We are in support of the project. However, we want to know if the project is still worth for public resources expenditure after seven years in deadlock while MK25 billion was already paid out but no single drop of water has been accessed.

“Immediately Khato failed to meet contractual agreement on financing, government was supposed to come to the public with new tenders by the law demands not twisting into further shabby deals by trying to borrow money on behalf of a private company. What’s the interest of government is this type of arrangement? queried Chodzi.

He dared Tonse administration to be prudent with public funds usages.

World Bank pulled out of the project due to overpricing.

Simbi Phiri owns Khato Civils Limited.

Phiri has been in the media for financing major political parties including politicians vying for presidency, Members of Parliament (MPs) in 2019 general elections and 2020 presidential polls.