Gam Filling Station ‘clandestine’ sale raises MPs’ eyebrows

The service station is being contested after the High Court of Malawi sheriffs decided to seize and sell it to Simama Group of Companies without the knowledge of the owners.

Malawi: Members of Parliament (MPs) have expressed an interest in investigating and uncovering the 'secret' sale of Gam Filling Station in Kanengo, Lilongwe, writes Watipaso Mzungu.

The service station is being contested after the High Court of Malawi sheriffs decided to seize and sell it to Simama Group of Companies without the knowledge of the owners.

Gerson Mkweza, Chairman of Gam Investments and Fuels Limited, stated that the seizure is the result of his failure to pay K747 million in legal fees incurred as a result of a misunderstanding with Alfred Gangata, Managing Director of Masters Boreholes Drilling Company.

Initially, Gangata owed Mkweza K1, 550, 000.00 in credit fuel, prompting the latter to seize keys to a borehole-drilling machine from the former.

Gangata then filed a lawsuit against Mkweza, claiming damages for lost business. In his phased judgment, High Court judge Ken Manda ruled that Gam Investments and Fuels Limited must pay Masters Boreholes Drilling Company K747 million in damages for lost business.

Sheriffs went to seize Mkweza's K2.5 billion worth of property and sold it to Simama Group of Companies for K610 million as he prepared to challenge the judgment in the Malawi Supreme Court of Appeal.

Malawians have expressed dissatisfaction with the sheriff's handling of the property sale, which has occurred at breakneck speed.

The legislators believe this is blatant robbery that should not be tolerated in Malawi.

Mulanje Bale legislator Victor Musowa described the sale as "absolute impunity."

Musowa stated that MPs will have to debate the issue in parliament.