By Edwin Mauluka

The Attorney General (AG), Frank Mbeta, for the second time failed to appear before a parliamentary inquiry into the controversial purchase of the Amaryllis Hotel by the Public Service Pensions Trust Fund (PSPTF).

Mbeta had been scheduled to testify before the Public Accounts Committee (PAC) on Wednesday at Parliament, following his absence from an earlier session on Monday.

Before suspending proceedings, PAC chairperson Steven Malondera told members the committee had received no formal explanation for the AG’s absence.

“I appreciate the sacrifice members have made to conclude this inquiry. However, despite issuing summons to the Attorney General, the committee has not received any formal communication explaining why he is not before Parliament,” said Malondera.

He added that any communication from the AG would be shared with stakeholders and directed the parliamentary secretariat to seek legal guidance on how the committee should proceed.

However, in a letter dated March 18, 2026, Mbeta requested at least seven days’ notice, citing Standing Order 185(5). He said his office had been served with a summons at noon requiring him to appear at 5:30pm the same day.

Mbeta argued that the additional time would allow his office to adequately prepare on legal matters arising from the inquiry. He also maintained that, as the government’s principal legal adviser, he should be the final witness.

Earlier, on Monday, the committee had been informed that Mbeta communicated at 8:45am that he would not attend a 9:30am session due to “extremely urgent commitments.”

Meanwhile, the inquiry has uncovered major developments, with the Reserve Bank of Malawi (RBM), acting as Registrar of Financial Institutions (RFI), confirming that approximately MWK72.6 billion linked to the transaction has been traced and frozen.

Director of Pension and Insurance Supervision, Kaluso Chihana, told the committee that the RFI instructed the Financial Intelligence Authority (FIA) and commercial banks to track and freeze accounts associated with the pension fund investment.

Chihana said the move was taken to preserve funds after serious governance breaches were identified. The registrar has since imposed administrative penalties on trustees for violating directives under Section 135 of the Pension Act.

The penalties stem from failure to submit the sale agreement within required timelines. The seven-day deadline for submission expires on March 19, while trustees have until March 24 to pay fines totaling MWK40 million.

Chihana further revealed that PSPTF made substantial payments toward the hotel purchase while operating without an active board, and ignored an RFI directive issued on November 14, 2025, to halt the transaction pending review.

According to him, the RFI later learned from the newly appointed board on November 19 that the sale agreement had already been signed, without the knowledge of some trustees.

RBM Governor George Partridge, who also heads the RFI, described the trustees’ decision to proceed with the purchase as “disobedience bordering on arrogance.”

Earlier, the committee heard from acting principal officer Boyd Hamela, who defended the hiring of EMJ Advisory Public Accountants, an unregistered firm.

Hamela said the firm recommended the acquisition after valuing the Amaryllis Hotel between MWK115 billion and MWK145 billion. He added that EMJ completed the assignment within 10 days and was paid MWK26 million.

As the probe intensifies, PAC has directed the RFI to engage an international audit firm to conduct lifestyle audits on individuals suspected of involvement in the deal.

The committee has also expanded its list of summons to include key figures such as suspended PSPTF principal officer, former Chief of Staff Prince Kapondamgaga, and former Secretary to the President and Cabinet Colleen Zamba.

Others summoned include the FIA Director General, officials from Yusuf Investment Limited — the owners of the Amaryllis Hotel — as well as Anti-Corruption Bureau (ACB) investigators.

The inquiry is scheduled to conclude on Wednesday, March 25, 2026, with testimony from the Secretary to the Treasury. A joint hearing involving former and current PSPTF trustees, alongside EMJ Advisory Public Accountants, is also expected later that day.

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Also Read: Malawi lawmakers question MWK145bn Amaryllis valuation by unlicensed valuer

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