The Shadow Over Kanengo: How a 2005 Land Deal for an Elite “Communal Village” Became a Two-Decade Nightmare of Dispossession, Family Succession, Probes, and Fresh Eviction Threats

In the mid-2000s, officials and developers promised to turn Area 26 in Kanengo into a luxurious self-contained “communal village” for Malawi’s elite 1,800 executive homes, a shopping mall, academy, clinic, golf course, the full package. Two decades later, the dream lies in ruins: a handful of half-finished pilot houses, endless court battles, and families facing fresh eviction orders while still waiting for fair compensation.

At the centre of this saga is GM Properties Limited and land title Alimaunde 26/5, a parcel reportedly between 100 and 200 hectares that swallowed customary land belonging to villages under Traditional Authority Chitukula in Kuliyani, Mwambakanthu, and Kwindanguwo villages.

The project was originally driven by the late Gaudy Maluza, one of Malawi’s richest and most connected businessmen at the time. He was the brains behind the Kanengo Northgate vision and served as general manager of GM Properties. After his death in January 2014, leadership of the company shifted to Noel Maluza, who has been listed as Managing Director of GM Properties in official business directories and investment profiles since at least 2016. The company’s ongoing direction therefore involves both the Maluza family and longstanding links to businessman Mahmood Azhar Chaudhry.

The 2005 Deal: Customary Land Turned Private Title

In 2005, GM Properties secured a 199-year lease through the Ministry of Lands. Developers talked big. In 2007, Shelter Afrique tied to the African Development Bank injected $1.2 million for a pilot of 20 three-bedroom houses. GM Properties co-financed roughly 20 percent of the infrastructure costs, with the entire land used as collateral for the loan. Nine units were sold, and buyer deposits were placed into an escrow bank account controlled by Shelter Afrique

part of the houses built

But the grand development never materialised. Villagers from Kuliyani, Mwambakanthu, and MKwindanguwo say they received little or no compensation for losing their farmland and homes. Many continued living on and farming parts of the site for years. The dispute landed in the High Court, where GM Properties sought to enforce its title against those it called encroachers. Residents pushed back on grounds of uncompensated customary rights and constitutional protections

Affected communities sought legal assistance early on. In June 2006, the Chief Legal Aid Advocate wrote to the Ministry of Lands, Housing and Surveys on behalf of the villagers. In response, on 28 September 2006, the Ministry (Ref. No. CL/CMPL/501) acknowledged the concerns and stated its desire to compensate and resettle the affected people as soon as possible preferably before the rains. The Ministry further noted that it had identified a place in Salima District for resettlement and would advise accordingly once final matters were concluded.

The 2006 letter from ministry of Lands to Legal Aid.

Despite this official undertaking, villagers maintain that meaningful compensation and resettlement largely failed to materialise. The dispute landed in the High Court, where GM Properties sought to enforce its title against those it called encroachers. Residents pushed back on grounds of uncompensated customary rights and constitutional protections.

A pivotal moment came during the full trial hearing in the Commercial Division before Judge Howard Pemba. On October 2, 2023, former Lilongwe District Lands Officer James Mwenda  by then District Commissioner for Salima testified as a court-summon witness. Mwenda categorically dismissed GM Properties’ claims of having paid compensation, stating that the affected villagers were never compensated. He noted that an assessment report had been done in 2005 and that residents were sensitized not to erect permanent structures, but no payments followed. Mwenda further revealed that the Lilongwe District Council holds no records of any compensation cheques or disbursements to the council or villagers. He faulted the developer for commencing work before fulfilling compensation obligations and for securing the lease without proper coordination with the council.

GM Properties maintains the acquisition was legal, that communities were sensitised, and that some compensation was paid. The glaring lack of documentation has left that claim heavily disputed.

After Gaudy: Noel Maluza Takes the Helm

Gaudy Maluza died on 27 January 2014 at Mwaiwathu Hospital in Blantyre. His passing marked a turning point. The ambitious vision he championed largely stalled. By 2016, Noel Maluza was publicly listed as Managing Director of GM Properties, a role he appears to have held as the company continued pushing the project now sometimes framed as an industrial park alongside the original residential concept.

At the Helm of GM Properties: Noel Maluza.

This family succession has kept the Maluza name central to the project, alongside Chaudhry. Comments from readers on Nyasa Times articles have referred to “the Maluza and Chowdry families who initiated this project” still being involved and ready to speak on its status.

2020 Probe and Political Connections

In August 2020, the Anti-Corruption Bureau and law enforcement opened investigations into Azhar Chaudhry and Norman Chisale, the powerful bodyguard to President Peter Mutharika. The land acquisition was labelled “dubious,” raising questions about how easily customary land was converted and who truly benefited.

Mutharika and Chaudhry.

The probe made headlines but delivered little visible accountability. No major convictions have been publicly reported. Meanwhile, in 2021 GM Properties obtained court injunctions stopping villagers from developing the land, intensifying accusations of a land grab.

The Court Rulings: Title Upheld, But Compensation Required

The dispute landed in the High Court. On 8 November 2024, Judge Howard Pemba ruled that GM Properties holds valid title to Alimaunde 26/5. He accepted the company’s evidence of lawful acquisition and prior notification. Crucially, however, he ruled that evictions could only proceed after full compensation at market rates in 2024.

That condition is now being tested. Mid  2026, Judge Pemba issued fresh orders directing sheriffs to evict residents from specific portions, especially in Kwindanguwo Village, where the court found some had been compensated but were defying the earlier ruling. For Kuliyani families, the situation remains unresolved. Residents like Watipaso Mzungu say they are still waiting for proper valuation and payment over 18 months after the main judgment. Local leaders have petitioned the President, Ministry of Lands, and Attorney General, warning of mass homelessness.

Meanwhile, in July 2026 , residents of Area 26 under Senior Chief Mkwindanguwo voiced their frustrations.

Many say they no longer want to remain on the land where GM Properties plans to develop the Kanengo Northgate project along the road to Lumbadzi, especially amid threats from individuals claiming to be sheriffs ordering them to vacate.

Senior Chief Mkwindanguwo expressed deep concern as a leader, noting that many people will be severely affected if the land is taken without fair compensation,even as he supports the idea of development coming to the area.

Senior Chief Mkwindanguwo

Alton Chikaoneka, from a village under Chief Kuliyani, highlighted worries over missing court documents and the developer’s failure to make meaningful progress since 2004 due to ongoing instability.

Speaking on behalf of GM Properties, Jefferson Luwa maintained that the company did not seize people’s land but rather government land. He stated that some residents had already received compensation and should therefore vacate, while denying any threats by sheriffs. Luwa insisted the land currently belongs to GM Properties and that the relevant court documents have not gone missing. Residents in the surrounding villages have reportedly been given 30 days to leave the approximately 250-hectare area.

Jefferson Luwa: GM Properties representative.

The Deeper Story

This is more than a stalled housing project. It’s a textbook example of how Malawi’s land governance system struggles when customary rights meet formal titles, political connections, and weak record-keeping. The transition after Gaudy Maluza’s death, the continued involvement of Noel Maluza, the links to Chaudhry, and the 2020 probe all point to layers of influence that ordinary villagers cannot match.

On the ground, the “communal village” remains mostly bush and a few lonely pilot structures. As sheriffs prepare to move in some areas and Kuliyani families dig in, the same question hangs over the entire saga: will the powerful finally deliver fair, documented compensation at today’s rates, or will legal title once again override the people who lived on this land first?