By Jones Gadama
A shocking revelation has emerged in the High Court’s Commercial Division, casting a dark shadow over businessman Shiraz Ferreira’s $7.1 million claim against the Malawi government.
Ferreira, owner of SF International, allegedly supplied old and used vehicles to the Malawi Defence Force (MDF) between 2012 and 2017, contrary to the contract requirements.
According to testimony from Anti-Corruption Bureau (ACB) investigator Flattery Nkhata, the vehicles supplied, including Samil cargo trucks and Pumas, developed faults soon after distribution.
Nkhata revealed that Malawi Revenue Authority (MRA) documents show the vehicles were manufactured between 1980 and 1988, far from the “new, recent model” stipulation in the contract.
“The supplier had given us used and old vehicles but did not disclose this at the time of delivery,” Nkhata told the court.
This nondisclosure has sparked intense scrutiny over Ferreira’s claim, which includes $6,942,359.49 in compound interest and $202,270.78 in legal costs.
The contract, worth $30 million, was signed in 2017, with Ferreira delivering goods in 2019.
However, the government disputes Ferreira’s claim, alleging that his company was overpaid and owes the state $2.5 million.
Attorney General Thabo Chakaka Nyirenda argues that Ferreira did not supply all goods as stipulated in the contract.
This case has raised questions about corruption and accountability in government dealings.
Ferreira’s history with the Malawi government is checkered; he was previously arrested by the ACB and MRA for tax evasion and later paid back the owed amount in an out-of-court settlement.
The businessman has also been debarred by the Attorney General for entering into overpriced contracts with the government.
The court’s decision on Ferreira’s claim is eagerly awaited, with implications for government procurement processes and accountability
