News broke on Thursday that thirteen firms, including eight Malawian companies, have submitted proposals to the government to be considered for the passport tender contract previously held by Techno Brain.
While it is obviously encouraging to see such competitive interest in the contract, the fact of the matter is that little has been resolved since the government initially cancelled its agreement with Techno Brain back in December 2021.
As things stand, Attorney General Thabo Chakaka Nyirenda has yet to produce any evidence that Techno Brain, in his words, “fraudulently” obtained their contract to upgrade Malawi’s passport issuance system and deliver 800,000 e-passports in 2019. The company has completely denied wrongdoing and negotiations between the two parties are still ongoing. Meanwhile, government documents have revealed that in November of last year the Department for Immigration and Citizenship Services (DICS) owed the tech firm $23 million.
Therefore, if the government is to accept any bids for the new contract it will have to show precisely how it was that Techno Brain cheated the system in order to obtain the contract two years ago. Otherwise, they run the risk that Techno Brain win their case and the government is forced to cancel its contract with the new company – potentially at great expense to the taxpayer. Moreover, if the case is left unproven, there is nothing to stop the government from accusing the next contractor of malpractice when it starts to rack up debts with them as well.
If the government is to avoid this costly legal quagmire, it must settle the Techno Brain case without a shadow of a doubt. Furthermore, it must also commit to being entirely open and transparent about any future tender process. This will not only help to avoid another similar dispute but will also restore some investor confidence in the government following its horrendous treatment of Techno Brain.
At time of writing, Techno Brain’s employee Prakash Naidu has been under effective house arrest by officers from DICS for over one month; unable to leave the company’s guesthouse in Lilongwe. The government has not provided a warrant for his arrest or any legal justification for his detention save that he might leave without handing over the passwords to Techno Brain’s database. His detention is therefore tantamount to a ransom while the company solves its dispute with the government.
Irrespective of the outcome of the contract dispute, this behaviour is patently unacceptable and Mr Naidu should be allowed to leave immediately. This government must hold itself to a higher standard if it hopes to shake the reputation of corruption and misrule which has stalked it practically since coming to power in 2020.
An open, fair and expedient arbitration process with Techno Brain will be key to restoring this trust; as will a transparent tender process should a new contractor be required. Already, the government’s dispute has cost Malawians dearly, with millions of kwacha likely spent in legal fees and disruption to the passport issuance system leaving countless citizens without proper documentation to work, travel and see their relatives. The least authorities can do now is ensure they don’t make the same mistakes in the future.