The Attorney General of Malawi, Frank Mbeta, has joined a court case in which the Malawi Communications Regulatory Authority (Macra) is challenging a $40.4 million arbitration award in favor of Lacell Private Limited. Mbeta argues that the award is excessive, unlawful, and unsupported by evidence. The case has been adjourned to November 9, 2026, to allow Mbeta to file supplementary arguments.
According to court documents, Mbeta formally joined the matter as an additional legal practitioner for Macra through a notice of appointment dated October 20, 2026. In his skeleton arguments, Mbeta is asking the court to set aside the $40,453,857.81 award, arguing that arbitrator Chikondi Khondiwa exceeded his jurisdiction and disregarded the law in determining the dispute.
Mbeta argues that the arbitrator had no authority to determine allegations of anti-competitive conduct under the Communications Act, as such matters fall within the jurisdiction of the High Court. The AG contends that the arbitrator's approach was legally flawed, particularly because Lacell had no audited accounts or evidence of business operations to support the projected loss of profits.
The dispute arose after Macra sought to recover outstanding licence fees from Lacell, which subsequently filed a counterclaim alleging that the regulator had failed to discharge its statutory obligations under the Communications Act. The arbitration process resulted in an award, dated February 26, 2025, followed by an ancillary order on the assessment of damages dated July 2, 2026.
Mbeta has also challenged the decision to award damages in United States dollars, arguing that both parties are locally incorporated companies and that the claims were initially presented in Kwacha. He maintains that the award contravenes provisions of the Foreign Exchange Act of 2025 and Malawi's public policy.
The AG further argues that the arbitrator took more than two years to deliver the main award after the conclusion of the hearing, a delay he claims prejudiced Macra. Macra is now seeking to have both decisions set aside and the dispute over outstanding licence fees referred to another arbitrator.
The case is being heard before High Court Commercial Division Judge Jabbar Alide, with further proceedings scheduled for November 9, 2026. The Attorney General's involvement in the case is aimed at ensuring that the award is reviewed in light of the law and evidence presented.
Key points
- The Attorney General of Malawi has joined a court battle challenging a $40.4 million arbitration award in favor of Lacell Private Limited.
- The award is being challenged on grounds of jurisdiction, evidence, and legality.
- The case has been adjourned to November 9, 2026, to allow the Attorney General to file supplementary arguments.