Fiscal Police in Lilongwe have arrested businessman Leston Mulli and former Chief Secretary to the Office of the President and Cabinet, Lloyd Muhara.
Deputy Police Spokesperson, Harry Namwaza, has confirmed the development to MBC.
Namwaza did not elaborate on the details leading to the arrest saying he was gathering more information.
However, sources say the charges are to do with abuse of office in the manner in which they signed a loan repayment schedule to the defunct Malawi Savings Bank (MSB) with a repayment period of over 200 years.
Sources further say the loan has now accumulated to K30 billion.