MRA concedes billions lost through mining cartels

The Malawi Revenue Authority (MRA) has admitted that Malawi is losing billions of kwacha though cartels operating in the country’s mining sector.

MRA’s Head of Corporate Affairs Steven Kapoloma said exportation of samples in mass quantities by mining companies operating in the country is questionable.

“As MRA we have noticed that there are some transactions that are very suspicious, they have been some samples that have been sent out of the country in huge quantities and we have questioned the authenticity of these samples.

“In one or two occasions, we have put a stop to such exportations of such samples and currently some of the mines are under investigations so that we are able to dig these issues to the bottom of the matter,” he said.

Kapoloma, who was speaking during a meeting with Public Accounts Committee of Parliament (PAC) in Lilongwe, has disclosed that the revenue collector is probing a number companies in relation to collection of samples.

“Due to taxation matters we will not be able to reveal actual name of the company but yes as MRA we are deep into investigation on issues of exportations of samples of which we think they are not samples.

“We believe that out of this we are expected more income because we believe that there was some sort of under declaration and there was false declaration as well and we are digging deep into it,” he said.

The Committee has since expressed displeasure on how the country is running its mining sector as it leaves a lot to be desired.

“We are very much concerned, you know cartels in mining their purpose is to suppress Malawi Government from receiving the revenues that supposed to be collected.

“We should be worried and we are worried and that’s why the Committee raised that issue if MRA is aware of that issues of which they have responded that they are aware and that they are enforcing audits,” said Shadric Namalomba who chairs the Committee.

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