By nyasatimes
Africa-Press – Malawi. The Financial Intelligence Authority (FIA) has exposed a dreadful financial scam involving UTM torch bearer in Tuesday’s election, Dalitso Kabambe, which has revealed that the former Reserve Bank of Malawi (RBM) Governor secretly holding shares in Payment Solutions (M) Limited, a firm that secured lucrative government contracts during his tenure at the Central bank.
Payment Solutions (M) Limited is a financial technology firm that secured a money-spinning deal with government, through the Accountant General’s Office to offer digital financial services to the Malawi government and several public institution and particularly through salary deduction software used in managing public service loan repayments.
Nyasatimes has learnt that Kabambe, while serving as the governor of RBM, facilitated the company’s operations and contractual engagement with the Malawi government and its registration in the country.
The company offers the government 2.5 percent return on all deductions processed, 1 percent of which is suspected to have been diverted directly into a personal account belonging to Kabambe.
Information gathered by Nysatimes show that the company in question was incorporated under the Companies Act No. 19 of 1984 on 14th February 2011 as a limited company. The registration number of the company is 11102.
The tax ID number for the company is 20194916 and has a registered address P/Bag B520, Capital City, Lilongwe 3 and is housed in Arwa House, plot 13/4, Lilongwe.
However, a financial investigation by FIA reveals that Kabambe received K73.9 million in suspected dividend payments from the company between March 2023 and July 2025. The funds is an underestimation as Kabambe is suspected to have pocketed billions in Kwacha from the company.
The investigation show that Kabambe has been receiving illicit dividends through his Standards Bank account and the transfers were made by one Owen Phiri who is Managing Director for Payment Solutions (M) Limited.
“Dr. Kabambe secretly owns shares in the company as he received dividends totaling K45,600,000 directly from Standard Bank account of Payment Solutions (M) Limited and indirectly received K28,300,000 from Owen Phiri who is managing Director of Payments Solutions (M) limited. Thus, in total, Dr. Kabambe received K73, 900,000 from March 2023 to July 1, 2025 alone,” reads the FIA investigation report in part, which Nyasatimes has seen.
The report further states that it is also likely that Kabambe has a number of nominees through whom he continues to receive dividends from the company under microscope.
The investigations reveal that Kabambe has three major bank accounts one of whoch received a total of K6.5 billion between June 2017 and July 2025, with the other account pocketing K4.8 billion between August 2018 and July 2025 while the last one receiving K1.3 billion from 908 credit between June 2017 and July 2025.
Kababambe’s financial conduct has raised serious questions about conflict of interest and potential contraventions of Malawi’s financial laws.
The FIA probe was triggered by intelligence suggesting that Payment Solutions (M) Limited had secret shareholding arrangements with the former central bank chief.
The investigation tracked financial flows from Payment Solutions (M) Limited’s Standard Bank account number 9100002759036 directly into Dr. Kabambe’s business account, with transactions carrying the narration “Dividends prepay.”
Payment Solutions (M) Limited operates third-party payroll deductions and secured contracts with the Accountant General’s office during Kabambe’s tenure as RBM Governor from April 2017 to July 2020.
The Corrupt Practices Act, which covers public officials including RBM governors, prohibits the use of public office for personal advantage.
Recent court proceedings involving Kabambe have already seen charges including “conspiracy to use public office for personal gain” under the same Act.
The RBM Act places strict fiduciary duties on the Governor, while the Financial Crimes Act addresses money laundering and related financial offenses.
Furthermore, Conflict of interest provisions under various statutes require public officials to disclose financial interests that could influence their decision-making.
The timing of the alleged dividend payments, continuing well after Kabambe left office in July 2020, suggests the shareholding arrangement may have been established during his tenure when the company was securing government contracts that required central bank oversight and approval.
Kabambe’s Standard Bank business account, opened in July 2020 shortly after leaving RBM, declared monthly income of K10 million from housing apartments.
However, the FIA analysis revealed total credits of K801,164,372.71, which the report notes is “way beyond the declared amount.”
The FIA has since recommended that the case be referred to the Anti-Corruption Bureau(ACB) for investigation of conflict of interest and abuse of office elements, noting that such matters fall beyond FIA’s investigative scope.
Source: Malawi Nyasa Times
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