Registrar Orders PSPTF to Cancel Amaryllis Hotel Deal Within Seven Days
Published on February 20, 2026 at 3:00 PM by Evance Kapito
The Registrar of Financial Institutions has ordered trustees of the Public Service Pension Fund Trust PSPTF to rescind their controversial acquisition of the Amaryllis Hotel within seven days or face administrative penalties.
In a letter dated February 20, 2026, Registrar George Partridge, who also serves as Governor of the Reserve Bank of Malawi RBM, demanded that the Board explain why penalties should not be imposed for allegedly defying regulatory directives and proceeding with the transaction.
According to the letter, the Registrar had earlier issued a directive on November 14, 2025, instructing the trustees to suspend all transactions related to the hotel acquisition. A subsequent letter dated December 23 required the Board to submit a comprehensive report outlining the viability of the investment and how pensioners’ funds would be protected.
However, the Registrar expressed concern that the Board went ahead and closed the deal before the directive was lifted and before submitting the requested assessment.
He stated that after the direction of 14 November 2025, the Board proceeded with the transaction before the direction was varied or removed.
The Registrar further noted that the trustees proceeded well knowing that the Fund would be in breach of prudential limits stipulated under the Financial Services Investment Management of Life Insurers and Pension Funds Directive of 2025.
Citing Sections 39 and 75 of the Financial Services Act, the Registrar has given the trustees seven days to provide reasons why administrative penalties should not be imposed.
The acquisition has sparked widespread debate and is currently trending online amid allegations of procedural irregularities and concerns over the sharp rise in the purchase price. Reports indicate that the hotel was valued at approximately K47 billion in 2024, but the final contract signed in November 2025 placed the price at K128.75 billion.
The sharp escalation in value has raised questions about due diligence, governance standards, and the protection of public pension funds.
Attention now turns to the PSPTF Board as it prepares its response to the Registrar’s directive, a development that could have significant implications for pension fund governance and financial regulation in Malawi.
