$5.8 Billion Lost Under Muluzi and Bingu rule

Muluzi: Ruled for two terms

Muluzi: Ruled for two terms

By Chimwemwe Lusungu

Corruption under the Bakili Muluzi administration and later President Bingu wa Mutharika’s rule cost Malawi $5.8 billion in the illicit financial flows, says the Global Financial Integrity (GFI)

According to GFI, Malawi lost the money between 2003 and 2012 through tax invasion, corruption, money laundering techniques and the use of shell companies to transfer dirty money.

In 2003, Muluzi was at the helm and finished two 4 year terms. Mutharik was in power up to 2012 up until April when he suddenly died.

Muluzi still has a case to answer on how he allegedly stole $11 million while late Mutharika can’t explain his wealth estimated at over $100 million.

Joyce Banda, who took over from Mutharika in 2012, was rocked by the infamous cash gate scandal which saw Malawi lose about $15 million within six months.

But Banda did something. She asked the British government to do a forensic audit and arrested both high profile personalities and low level civil servants who were part of the syndicate.

Key donors, however, went ahead and withdrew budget support until the cash gate culprits were dealt with.

Muluzi and Bingu, however, never instituted any major investigations to uncover the stealing of public funds.