{"id":20091,"date":"2022-04-09T19:25:56","date_gmt":"2022-04-09T19:25:56","guid":{"rendered":"https:\/\/www.africa-press.net\/malawi\/all-news\/mra-under-fire-for-flouting-procurement-guidelines"},"modified":"2022-04-09T19:48:07","modified_gmt":"2022-04-09T19:48:07","slug":"mra-under-fire-for-flouting-procurement-guidelines","status":"publish","type":"post","link":"https:\/\/www.africa-press.net\/malawi\/all-news\/mra-under-fire-for-flouting-procurement-guidelines","title":{"rendered":"MRA under fire for flouting procurement guidelines"},"content":{"rendered":"

Africa-Press – Malawi. <\/strong><\/span>Malawi Revenue Authority (MRA) has come under fire following its decision to flout its own laid down procurement guidelines in order to accommodate Swiss company \u2013 SICPA in a fiscal marks international competitive bidding process.<\/p>\n

The tender sought the services of the supply of monitoring, printing, and retailing of fiscal tax stamps. The original tender was opened in April 2021 having been advertised under the procurement reference number, MRA\/TAX STAMPS AND M[1]SOLUTION\/01\/03\/2022.<\/p>\n

Among others, the Authority stated that it would reject a recommendation for award if it determines that the bidder recommended for award has, directly or through an agent, engaged in corrupt, fraudulent, collusive or coercive practices in competing for the contract in question.<\/p>\n

MRA sources have confided that the initial tender drew seven bidders, including SICPA. The sources said they expected the management to block SICPA since the procurement rules of course did not appear to apply to SICPA, which are, under bidding conditions, expressly forbidden to have any contact or influence with government officials during such periods.<\/p>\n

But in a desperate attempt to accommodate SICPA, the Authority re-tendered the contract in March 2022 without explaining tangible reasons for the action.<\/p>\n

\u201cOur management has since removed from the bidding documents a clause that requires that the bidders should not have a record of corrupt practices in order to accommodate SICPA,\u201d said a source on a strict condition of anonymity.<\/p>\n

\u201cIt was clear that this would make an outright award to SICPA difficult and raise questions. It seems clear that the re-issue of a new tender is clearly aimed at compromising all the other participants, considering that their pricing is public knowledge,\u201d he added.<\/p>\n

His account has been corroborated by an announcement MRA made recently that it would issue a new bid for the same services. The announcement came after President Lazarus Chakwera, while on a trip to Belgium in February this year, traveled to Lausanne, Switzerland to meet Mr. Philippe Amon, Executive Director of SICPA.<\/p>\n

State House said the President engaged the leadership of SICPA about his Administration\u2019s digitalization agenda and the need to create a digital footprint and platform that enables the state to have no activities in Malawi\u2019s economy that go undeclared.<\/p>\n

\u201cThis is part of President Chakwera\u2019s quest to end the era of illicit economic transactions that perpetuate corruption,\u201d State House said.<\/p>\n

Asked to comment on the meeting, MRA Head of Corporate Affairs Steven Kapoloma said the Authority would not be in the best place to explain what transpired during the meeting.<\/p>\n

A quick search online revealed that SICPA, a Swiss company operating in the authentication of banknotes and traceability markets, was the target of an anticorruption probe in Brazil. As on April 2018, in addition to the administrative investigation, a former executive vice president was being tried on criminal charges in the country.<\/p>\n

Both cases involved the alleged payment of millions of dollars in bribes to secure a contract with the Brazilian Mint. SICPA was also under investigation by Brazil\u2019s Ministry of Transparency and Comptroller-General of the Union, and former company executive Charles Nelson Finkel was being tried in a federal court in Rio de Janeiro.<\/p>\n

Federal prosecutors alleged Finkel, who has American and Brazilian citizenship, paid $14.5 million in bribes to a fiscal auditor in order to secure Sicpa a contract worth more than $1 billion with the Brazilian Mint.<\/p>\n

According to prosecutors, because of bribes SICPA\u2019s Brazilian unit was deemed the only company able to implement a tracking system in the cold drinks industry.<\/p>\n

From January 2010 until June 2015, prosecutors said, CFC Consulting Group, a consulting company held by Finkel, paid $14.5 million to MDI Consultoria, a firm owned by fiscal auditor Marcelo Fisch de Berredo Menezes and his wife Mariangela Defeo de Menezes.<\/p>\n

CFC Consulting, headquartered in the US, sent the money to MDI Consultoria in a fictitious services agreement during the time that SICPA was working for the Brazilian Mint, federal prosecutors told the courts.<\/p>\n

In May 2019, Charles Nelson Finkel was found guilty and sentenced to prison for 11 years and 6 months for corruption and bribery linked to obtaining and executing SICPA\u2019s contract with the Brazil Federal Revenue. In June 2021, SICPA agreed to pay 135 million francs in a \u2018settlement agreement\u2019 with local authorities.<\/p>\n

Despite this tainted track record, MRA has reportedly settled for this company in a contract that will see Malawians paying K2.2 billion more because SICPA\u2019s bidding price in the first tender was 40 percent higher than the other compliant tenderer.<\/p>\n

For More News And Analysis About Malawi<\/a> Follow Africa-Press<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Africa-Press – Malawi. Malawi Revenue Authority (MRA) has come under fire following its decision to flout its own laid down procurement guidelines in order to accommodate Swiss company \u2013 SICPA in a fiscal marks international competitive bidding process. The tender sought the services of the supply of monitoring, printing, and retailing of fiscal tax stamps. […]<\/p>\n","protected":false},"author":84,"featured_media":20090,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,7,8,12],"tags":[233,371,300,306,234,1001],"class_list":["post-20091","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-head-lines","category-homepage-english","category-policy","tag-africa-press","tag-africa-press-malawi","tag-corruption","tag-lazarus-chakwera","tag-malawi","tag-malawi-revenue-authority-mra"],"yoast_head":"\nMRA under fire for flouting procurement guidelines - Malawi<\/title>\n<meta name=\"description\" content=\"Malawi Revenue Authority (MRA) has come under fire following its decision to flout its own laid down procurement guideli ...\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.africa-press.net\/malawi\/all-news\/mra-under-fire-for-flouting-procurement-guidelines\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"MRA under fire for flouting procurement guidelines\" \/>\n<meta property=\"og:description\" content=\"Malawi Revenue Authority (MRA) has come under fire following its decision to flout its own laid down procurement guideli ...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.africa-press.net\/malawi\/all-news\/mra-under-fire-for-flouting-procurement-guidelines\" \/>\n<meta property=\"og:site_name\" content=\"Malawi\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/AfricaPressTunisiaa\" \/>\n<meta property=\"article:published_time\" content=\"2022-04-09T19:25:56+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2022-04-09T19:48:07+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/static.africa-press.net\/malawi\/sites\/36\/2022\/04\/img-6251e2d7755ca.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"720\" \/>\n\t<meta property=\"og:image:height\" content=\"464\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"cfeditoren\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"cfeditoren\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.africa-press.net\/malawi\/all-news\/mra-under-fire-for-flouting-procurement-guidelines#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.africa-press.net\/malawi\/all-news\/mra-under-fire-for-flouting-procurement-guidelines\"},\"author\":{\"name\":\"cfeditoren\",\"@id\":\"https:\/\/www.africa-press.net\/malawi\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\"},\"headline\":\"MRA under fire for flouting procurement guidelines\",\"datePublished\":\"2022-04-09T19:25:56+00:00\",\"dateModified\":\"2022-04-09T19:48:07+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.africa-press.net\/malawi\/all-news\/mra-under-fire-for-flouting-procurement-guidelines\"},\"wordCount\":761,\"commentCount\":0,\"image\":{\"@id\":\"https:\/\/www.africa-press.net\/malawi\/all-news\/mra-under-fire-for-flouting-procurement-guidelines#primaryimage\"},\"thumbnailUrl\":\"https:\/\/static.africa-press.net\/malawi\/sites\/36\/2022\/04\/img-6251e2d7755ca.jpg\",\"keywords\":[\"Africa Press\",\"Africa Press-Malawi\",\"corruption\",\"Lazarus Chakwera\",\"Malawi\",\"Malawi Revenue Authority (MRA)\"],\"articleSection\":[\"all news\",\"head lines\",\"homepage-english\",\"policy\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.africa-press.net\/malawi\/all-news\/mra-under-fire-for-flouting-procurement-guidelines#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.africa-press.net\/malawi\/all-news\/mra-under-fire-for-flouting-procurement-guidelines\",\"url\":\"https:\/\/www.africa-press.net\/malawi\/all-news\/mra-under-fire-for-flouting-procurement-guidelines\",\"name\":\"MRA under fire for flouting procurement guidelines - 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