Centre for Democracy and Economic Development Initiatives (Cdedi) has demanded Salima Sugar Company Limited (SSCL) executive chairperson Wester Kosamu to make public the scope of audit work justifying the K623 million claim by Audit Consult.
Further, Cdedi wants the sugar company to also disclose all other related reimbursements as well as any relevant documentary evidence that validate the amount being claimed.
This comes after last week the High Court in Blantyre froze all Salima Sugar bank accounts until the company settles the K623 million it owes the audit firm which conducted a forensic audit.
“It is in view of this that we urge the Attorney General Thabo Chakaka-Nyirenda to vacate the injunction which has crippled SSCL’s operations.
“Malawians may wish to know that the initial contract for the audit signed in June 2023 was pegged at K160 million, and was duly paid but by the time the draft audit report was released the cost for producing the audit had ballooned to K250 million.
“In the same vein, Cdedi demands an explanation from SSCL former executive chairperson Shirieesh Betgri on why he accepted liability for an audit that was commissioned by government in exercise of its oversight role,” reads a statement signed by Cdedi executive director Sylvester Namiwa.
Cdedi notes that current developments at SSCL smack more of politics than institutional governance, which, if not checked, will have far-reaching consequences on survival of the company.
The organisation believes the developments will scare away both existing and potential investors.
“Cdedi wishes to warn politicians to take their hands off this otherwise only promising public-private-partnership initiative knowing that the rest have collapsed due to political interference,” reads the two-paged statement.
Source:NPL
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