Richmond corruption scandalMbona aling'oka na richmond bado ipo na inafanya kazi , sasa inaitwa symbion ?
On February 7, 2008, Lowassa was forced to resign after being implicated in the Richmond Energy deal corruption scandal. This followed a parliamentary select committee report on an emergency power generation contract between the Tanzania Electric Supply Company Ltd (TANESCO), a public corporation, and a US company styled Richmond Development Company LLC of Houston, Texas. The five-member select committee, headed by Kyela MP, Dr. Harrison Mwakyembe, found the contract to have been fraudulently concluded, hence unconscionable. Richmond was contracted to provide 100 megawatts of electricity each day after a drought early in 2006 but the Richmond generators arrived late and did not work as expected. In spite of this, the government paid Richmond more than $100,000 a day.[5] Lowassa's office then influenced the government's decision to extend Richmonds contract despite advice to the contrary form TANESCO. Two other cabinet ministers who had held the energy portfolio, Dr. Ibrahim Msabaha and Nazir Karamagi were forced to resign as well.[8][9]
Lowassa however denied that his office was involved in improperly awarding a contract to US-based electricity company Richmond Development in 2006.[3]