Malawi’s Attorney General has announced that the contract awarded to Techno Brain in March 2019 to upgrade the passport issuance system and introduce the e-passport has been terminated and the company has been served with the notice today.This contract was worth USD$60 million.
Attorney General Thabo Chakaka Nyirenda insists that government is not under any obligation to pay for the loss of profits following the termination of a contract .
Nyirenda has said this after government has served Technobrain a 30-day notice of contract termination based on Section 46(e) of Public Procurement and Disposal of Assets Act.
According to Nyirenda the Act does states that government is not under any obligation to pay for loss profits but only for services rendered and goods supplied.
In 2019, the Government awarded a US$60.8 million (about MK50 billion) electronic passports contract to Techno Brain Global FZE for the supply of 800,000 passports.
The Tonse Alliance during campaign promised to reduce the passport fees to K14,000.
Last year, President Lazarus Chakwera blamed the Techno Brain contract for his government’s failure to reduce the fees.
