Parliamentary Committee Raises Alarm Over Alleged Misuse of Funds by MERA

The Parliamentary Committee on Public Accounts has brought to light serious concerns regarding the alleged misuse of funds by the Malawi Energy Regulatory Authority (MERA). The issue revolves around the purchase of a Mobile Testing Van, which cost approximately MK700 million but has remained parked at the supplier’s premises for over two years.

According to the Auditor General’s Report for 2021, the van, intended for crucial energy testing operations, has been unused since its purchase, raising questions about the necessity and management of this expenditure. The Chairperson of the Committee, Mark Botomani, addressed Parliament, stating that this situation reflects a lack of seriousness in the management of public funds. He suggested that the purchase might be the result of either poor decision-making or a deliberate attempt to defraud the government.

In an interview with MIJ Online, Botomani expressed his shock that no penalties had been imposed for this glaring issue. “The weak financial systems in some government bodies, as revealed by the audit report, have made it easier for money to be misused,” he said, underscoring the need for stricter financial oversight and accountability within government agencies.

The Committee also brought attention to another concerning case involving the Higher Education Students’ Loans and Grants Board (HESLGB). The audit report uncovered an overpayment of K160 million in tuition fees to Millennium University. However, the Committee suspects that the issue might be more extensive than reported, indicating potential collusion between HESLGB officers and Millennium University officials.

Despite efforts by HESLGB to seek assistance from the Attorney General, little progress has been made in resolving the matter. The Committee has called for urgent reforms and improved accountability measures within Malawi’s government agencies to prevent further financial mismanagement.

Following these revelations, Parliament has adopted a report from the Parliamentary Committee on Public Accounts. This report was formulated after a thorough examination of the Auditor General’s Report on the accounts of twenty-three selected statutory bodies in Malawi for the year ending June 30, 2021. The adoption of this report signals a commitment to addressing these financial irregularities and implementing necessary reforms to safeguard public funds.