NOCMA U-turn backfires as police arrest two over K700m

...‘No money lost?’ Then why the arrests? Malawians taken for granted?

There are a lot of questions than answers. The NOCMA’s attempt to walk back its earlier account of the K700 million fuel payment has backfired spectacularly, with police arresting two senior officials over the same transaction.

The National Oil Company of Malawi first said the US$403,615.63 payment to an account linked to Moniray Mozhandlings Lda was being investigated as suspected fraud.

But after public pressure and growing questions over the missing money, NOCMA changed its tune, insisting that no money had been lost because Mozhandling’s bank had confirmed receipt of the funds.

That explanation has now been thrown into fresh doubt after the Malawi Police Service arrested Deputy Chief Executive Officer Miklas Reuben and Senior Operations Manager Thokozani Jacob Sesani in connection with the alleged fraudulent transfer.

The arrests have raised fresh questions over NOCMA’s sudden change of position and whether the state-owned company moved too quickly to declare that no money had been lost.

Police say the two officials are likely to face charges including negligence by a public officer in preserving money and misuse of public office, among other related offences.

“The money was allegedly transferred to account number 237055126003, belonging to Moniray Mozhandlings Lda,” reads part of police statement signed by Deputy National Public Relations Officer, Superintendent Alfred Chimthere.

Police said the payment was purportedly made to facilitate loading and clearing charges for fuel at the ports of Beira and Nacala in Mozambique.

NOCMA Public Relations Officer Raymond Likambale had on Tuesday dismissed claims that the company was swindled, saying any hacking would have occurred on the side of Mozhandling and not NOCMA.

“Mozhandling’s bank confirmed receipt of the funds, dismissing claims that NOCMA had been swindled. That means if there was hacking, it happened on the side of Mozhandling and not NOCMA,” said Likambale.

He said the payment was for services provided by Mozhandling in processing the MT Flora, which transported 15.1 million litres of Government-to-Government fuel through the Port of Nacala.

Likambale also said NOCMA would not make another payment for the same service because the company had already fulfilled its obligation.

But the police action has now put the transaction firmly back under the spotlight, leaving questions over who authorised the payment, why it was made and what happened to the money after the transfer.

The two suspects are expected to appear in court soon, while police investigations continue.

Reuben hails from Kabera Village, Traditional Authority Makwangala in Ntcheu District, while Sesani hails from Kathongera Village, Traditional Authority Chulu in Kasungu District.