Tony Blair faces questions over Malawi scandal But Conservative MPs and campaigners in Malawi are now demanding to know whether Mr Blair and his team were aware of the allegations. They want to know whether Mr Blair was warned about corruption, and if so what he did about it. If his team was ignorant, then it raises potentially embarrassing questions about what AGI's "governance" programme was actually achieving. Two of those arrested include the accounting officer and a principal secretary from Dr Banda's presidential office, in which Mr Blair's team was also operating. There is no evidence that Dr Banda, a friend of Mr Blair and his wife Cherie, is involved in embezzlement. DfID is also facing criticism over its handling of the crisis in Malawi. Justine Greening, the International Development Secretary, has refused to make any public statement. One anti-corruption campaigner said British officials were warned at least five months ago but continued to pour money into the country. Richard Bacon, a Conservative MP and member of the public accounts committee, which has highlighted corruption in Malawi under Dr Banda's predecessor, said: "This is potentially very embarrassing for Tony Blair. He needs to explain what his people were doing there. What did they know given they were there for more than a year? If they didn't know anything, then why not? If they are in the president's office what does that say about the quality of the governance? Rafiq Hajat, director for the Institute for Policy Interaction in Malawi, said he had mistrusted Mr Blair's arrival. "I would certainly take these people [Blair's team] to task to find out what exactly they had done or not done," said Mr Hajat. I have seen many well-intentioned Brits come here to help the government with this or that and they find themselves deliberately blocked every step of the way. They end up throwing their hands in despair and serving out their time, waiting for the day they go back home. AGI began working in Malawi following a visit from Mr Blair who said he wanted to "put on record" his "admiration and respect" for Mrs Banda's leadership, and Malawi's "exciting possibilities." Mr Blair set up his African charity after leaving Downing Street in 2007. It offers governance advice to seven African countries including oil-rich Nigeria and Rwanda. The scandal engulfing Malawi, which has become known as Cashgate, has dire implications for its economy. The European Union and other donor nations have suspended direct aid to the government. About 40 per cent of Malawi's budget came from overseas aid payments and paid the wages of 170,000 public servants, army and police. A DFID spokesman said: "While there is no evidence that UK funds have been misused, it is clearly not possible to provide direct support to Malawi's government at this time. No funds will be paid until we are fully satisfied that taxpayers" money is safe." Yesterday, a spokesman for Mr Blair said that neither the former prime minister nor AGI had any idea of the corruption before it was made public in September. "AGI focuses on government delivery - this is what we mean by governance," he said in a statement. Our role is not political. We work on building the systems and structures to support better policy delivery. Like any other charity or organisation working on technical support, we are not party to everything that happens within the governments we work with.