/ 11 August 2004

Malawi fires presidential aide over alleged graft

A top aide to Malawi’s ex-president has been sacked from his post as head of the state-run bus company over allegations of corruption involving purchases of buses and spare parts, an official said on Wednesday.

President Bingu wa Mutharika fired Humphrey Mvula — head of the state-run Shire bus company and a close confidant to former head of state Bakili Muluzi — after he was arrested by police two weeks ago for corruption and fraud.

Director of Public Prosecutions Ishmael Wadi said Mvula is under investigation for ”dubious purchases of a new fleet of buses and spare parts” at the bus company.

”The head of state made the decision and exercised his prerogative” to fire Mvula, said Charles Matabwa, chief secretary of the civil service.

Mvula allegedly approved contracts for the purchase of new buses and spare parts to companies owned either by Mvula or by his relatives and friends.

The arrest followed an announcement by the top prosecutor last month that several ministers who served in Muluzi’s administration are to face charges connected with the embezzlement of about $92-million from the state.

The embezzlement took place during Muluzi’s two terms in office from 1994 to May this year when he handed power to his chosen successor, Mutharika.

International donors have said that corruption in Malawi, one of the world’s poorest nations, is on the rise. Malawi now ranks 83rd on the list of the world’s most corrupt countries from watchdog group Transparency International, down from 43rd four years ago.

More than $75-million in aid was suspended in 2002 by the International Monetary Fund and donor countries, including from former colonial ruler Britain, due to concerns over spending in the Muluzi administration.

The World Bank, one of the main sponsors of the country’s tough economic reforms, has said high-level graft has worsened in the past five years and ”significantly slowed down economic growth”. — Sapa-AFP