The Centre for Democracy and Economic Development Initiatives (CDEDI) has made an urgent appeal to the Malawian government to challenge a recent High Court ruling that has frozen the bank accounts of Salima Sugar Company Limited (SSCL). This decision has sparked concerns about the company’s future and its ability to provide affordable sugar to Malawians, especially amidst escalating sugar prices.
The High Court’s commercial division in Blantyre ordered the freeze of approximately $2.3 million (about K5.3 billion) in SSCL’s accounts due to a legal dispute with Mukteshwar Sugar Mills Limited. CDEDI’s Executive Director, Sylvester Namiwa, expressed alarm over the ruling, citing the government’s earlier commitments to recover misappropriated funds from SSCL.
Namiwa referenced the Attorney General’s televised press briefing on December 5, 2023, where he pledged to recover $30 million (about MK51 billion) misappropriated from SSCL and vowed to arrest those involved. However, the recent court ruling represents a setback for justice.
The police had previously indicated that they were pursuing additional suspects related to the misappropriation of funds, raising public expectations for accountability. Nevertheless, reports of leniency in exchange for cooperation have led to public skepticism.
CDEDI is urging the Attorney General to take decisive action to challenge the High Court’s decision, ensure the remaining suspects are arrested, and provide transparency in the process. The organization has also requested a progress report on the recovery of misappropriated funds.
As the situation unfolds, Malawians remain hopeful for a resolution that will allow SSCL to fulfill its role in the market, making sugar more accessible and affordable for all.
CDEDI’s appeal highlights the pressing need for the government to act swiftly to resolve this issue, restore consumer confidence, and ensure that SSCL can continue its operations.
