Malawi Human Rights Defenders Coalition (HRDC) has petitioned the Board of Malawi Communications Regulatory Authority (MACRA) to carry out a comprehensive investigation on the circumstances surrounding procurement of the Consolidated ICT Regulatory Management System (CIRMS) equipment -- otherwise known as the spy machine.
MACRA bought the CIRMS machine from Agilis International Inc -- a US firm in 2011 at a total cost of US$22,961,719 and addressing the Board through chairperson, Dr. Stanley Khaila, HRDC says they believe "there were several significant anomalies in the procurement process and subsequent software upgrades, which warrant a thorough investigation".
"Recently, the HRDC discovered -- through a court arbitration award -- crucial details regarding the procurement of the CIRMS machine," says the statement signed by national chairperson, Gift Trapence and his management team.
"It was revealed that MACRA had paid a staggering sum of $13,891,969 over 10 years for software upgrades alone, surpassing the initial procurement cost.
"Furthermore, an arbitration hearing has ruled in favour of MACRA, ordering Agilis International Inc to refund the full amount due to their failure to meet the contract's conditions. However, we contend that there are additional irregularities that need to be examined to understand the flawed nature of MACRA's contract with Agilis International Inc."
HRDC thus highlights the additional irregularities, saying: "Firstly, a cursory internet search reveals that Agilis International Inc lacks a known physical address, online presence, or even a website.
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"Such a deficiency is perplexing for a company that claims to be an internationally renowned IT services firm. This raises concerns about whether due diligence was adequately conducted for the companies that submitted bids for the provision of the CIRMS machine.
"We, therefore, urge the Board, in its investigative efforts, to scrutinize the tender documents closely and ascertain whether all guidelines were adhered to during the contract award process.
"Additionally, we are deeply troubled by MACRA's decision to continue paying Agilis International Inc a substantial amount of $13,891,969 for software upgrades over a span of more than ten years.
"This revelation emerged during the arbitration hearing, where it became evident that Agilis International Inc had failed to fulfill three out of the four deliverables stipulated in the contract.
"It is essential for the HRDC, as well as the entire nation, to understand the rationale behind MACRA's choice to continue making these significant payments despite the evident breach of contract by Agilis International Inc."
HRDC adds that through such inquiry, it can then "obtain clarity regarding the procurement process and address the lingering questions that have arisen", while also offering any additional information or assistance from civil society organization.
