The Director of Public Prosecution (DPP) Masauko Chimkakala has discontinued a case in which Paramount Holdings Limited directors were answering charges of making and uttering false documents to get contracts.
The three directors are Prakash Virji Ghedia, Arvindikumar Atiti Patel and Surej Khimji Jagatiya as the first, second and third accused, respectively.
The three were being accused of offences surrounding conspiracy to utter false documents and utter a false document showing that the company is an authorized dealer of Yamaha Motorcycles in Malawi.
However, Chimkakala refused to disclose the reasons behind the move.
“At this stage, I am not at liberty to disclose until other stakeholders have done their processes,” he told The Nation newspapers.
“Prakash Virji Ghedia, Arvindikumar Atiti Patel and Surej Khimji Jagatiya and Paramount Holdings Limited on or about August, 2020, being Directors of Paramount Holdings Limited in Malawi and the company itself conspired to make false document and utter a false document showing that the company is an authorized dealer of Yamaha Motorcycles in Malawi,” reads part of the summon
According to the summons sheet, the three also made a false document contrary to section 353 of the penal code as a second count.
The third count surrounds uttering false document contrary to section 360 of the penal code.
Reads the third count in part: “…on or about August, 2020, being Directors of Paramount Holdings Limited in Malawi and the company itself uttered a false document to Ministry of Education, Ministry of Local Government, Ministry of Health, Kamuzu University of Health Sciences, UNC Project and Jphiego to win tenders for the supply of motorcycles showing that Paramount Holdings is an authorized dealer of Yamaha Motorcycles in Malawi on behalf of Yamaha Company Limited.”
In February 2023, Attorney General Thabo Chakaka Nyirenda told this publication that Paramount Holdings Limited was being investigated over the forgery of documents relating to supplying motorcycles
He clarified that criminal investigations against Paramount Holdings were still ongoing relating to the forgery of documents which the accused company used to tender for a business of supplying motorcycles.
A few years ago, Capital Hill suspended Paramount Holdings and other companies following serious allegations of various procurement-related crimes that the companies committed.
In a letter dated January 27, 2023 which this publication saw, and was addressed to Malawi’s Deputy Ambassador to Japan Joseph Chikwemba, Chakaka wrote: “Although the suspension of Paramount Holdings Limited was lifted, investigations that led to the suspension of Paramount Holdings Limited are still on-going.”
“The results of the investigations would lead to debarment hearing. If found guilty, Paramount Holdings may be debarred from participating in public procurement in Malawi. Further, although the suspension was lifted, Paramount Holdings Limited has not yet been cleared of any wrong doing in respect of allegations of procurement related malpractices against Paramount Holdings Limited,” Chakaka-Nyirenda was quoted in the letter titled “Status of Paramount Holdings in Malawi.”
Paramount Holdings, has been embroiled in flurry of scams in Malawi involving billions of taxpayers’ money.
In 2018 and 2019, the local media was awash with stories that Ministry of Health (MoH) officials went behind the ACB to issue a MWK4 billion Ambulance contract to Paramount Holdings despite enforcing institutions raising concerns.
The Government Contracting Unit (GCU) raised concerns with legal compliance issues surrounding the Paramount contract raised advised the MoH to consult the Attorney General before issuing the contract.
But the MoH proceeded to award Paramount contract without regard of procurement procedures. GCU has mandate to vet high value government contracts before they are awarded.
