Exposed! Luthando Holdings allegedly collects MK4.bn in Chakwera leadership without supplying single motorcycle after year winning four contracts

….As Mutharika takes charge of state affairs…
….Luthando is not legitimate Yamaha dealer in Malawi….

LILONGWE-(MaraviPost)-One of the country’s motorcycles and spare parts suppliers Luthando Holdings Limited is being accused of collecting about MK4 billion from four government agencies without supplying any single motorcycles after a year of winning contracts.

This publication understands that Luthando Holdings was awarded four contracts with instruction from the former President Lazarus Chakwera Statehouse in pretext of being local supplier Company.

For instance in 2024, Luthando got contracts from ESCOM to supply motorcycles pegged at MK483, 792,009.05 and MK1,351,400,000.00 from Malawi Police Service (MPS) to supply 20 motorcycles.

Not only that but also this year, 2025, the same Chakwera government through NEEF and National Local Government Finance Committee offered Luthando Holdings MK2, 147,152,085,00 and MK868,000.000.00 to supply motorcycles respectively.

Despite Luthando collecting funds from all public institutions, no single motorcycle has been delivered.

This publication has documents which head of the four institutions awarded contracts to Luthando while reminding the company’s owner Hedrex Laher to meet the supply chain, nothing to show instead he demanded extra funds.

According to sources at MPS where Luthando is supposed to supply 20 motorcycles, the company demanded extra funds of 50% in reference to forex crisis the nation is going through.

Efforts to get feedback from Luthando Holdings proved futile of several attempts on his mobile phone.

Therefore, with the change of leadership, the nation expects President Arthur Peter Mutharika administration to review all government contracts which have failed to meet the requirements including Luthando.

Luthando has been using fake Yamaha dealership certificates to win government contracts with support from Chakwera’s State House.

In 2022, Yamaha Motor Corporation Japan formally appointed Paramount Holdings as the sole authorized distributor of Yamaha motorcycles and related products in Malawi.

During Chakwera era, Laher has been using the legal system in bad faith to eliminate competition, relying on unofficial channels and political pressure.

“Laher has consistently used unofficial channels and political connections to harass business rivals, but the truth always comes out,” said a source familiar with the case.

Further concerns have emerged about Luthando Holdings’ unauthorized use of the Yamaha trademark.

The company has reportedly advertised Yamaha-branded products across Malawi—despite lacking any formal authorization from Yamaha Japan.

Legal experts have criticized these actions as misleading and potentially fraudulent.

Luthando is allegedly to have bid for government tenders using documentation from Yamaha agents based in South Africa—raising questions about the legitimacy of such practices under Malawi’s procurement laws.

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