Suleman Chitera 
By Suleman Chitera
Attorney General Frank Mbeta has told Parliament’s Public Accounts Committee (PAC) that his office had no legal mandate over the controversial purchase of a hotel by a public pension fund, insisting the institution operates independently as a trust.
Appearing before the committee, Mbeta clarified that the fund in question is not a parastatal body but a trust established by deed, with its own governance structure and decision-making authority. He stressed that, under such an arrangement, the board of trustees holds full responsibility for all financial and investment decisions.
“The fund operates as an independent trust, and the powers to make investment decisions rest entirely with its trustees,” Mbeta said. “My office does not make, approve, or endorse commercial transactions undertaken by such bodies.”
He explained that the role of the Attorney General is limited to providing legal advice to government and its institutions, and does not extend to influencing or directing the commercial activities of independent entities.
Mbeta told the committee that his office only became involved in the matter following a complaint lodged by the Malawi Law Society on November 19. In response, he advised the Anti-Corruption Bureau (ACB) to issue a prohibition notice to halt the transaction temporarily, pending further investigations.
He rejected assertions that he authorised the hotel purchase, maintaining that his input was strictly procedural and conditional. According to Mbeta, his office merely guided the process and urged the fund to carefully assess the risks associated with the transaction before proceeding.
The Attorney General’s remarks come amid heightened scrutiny over the hotel deal, with lawmakers seeking clarity on whether due process was followed and whether public funds were safeguarded.
The Parliamentary Public Accounts Committee continues to investigate the matter as concerns grow over governance, accountability, and transparency in the management of pension funds.
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