The development has not gone down well with the public, with some pointing out that it smacks of a lack of seriousness by the Mutharika led administration in the fight against corruption.
They are since calling for appropriate action to be taken against the concerned officers, pointing out that they have to face the law.
Inside sources from the ministry have confided in Capital Fm that those implicated were simply shifted to other departments, besides the ones that have been forced to retire for fear of losing benefits.
It is feared that the money involved might not be recovered, since the people are being let scot-free.
63 employees were implicated in the scandal including Directors of HIV, Finance and Human Resource in the ministry.
The money was provided by the US government for the project under Center for Disease Control (CDC).
The funds were abused through pocketing of hefty allowances and bogus trips.
Initially the embezzled amount was MK 2.5 billion, but it was later reduced to over MK 900 million.
The issue did not go well with the US government who demanded an audit and that the money be repaid.
Speaking to Capital FM earlier, US government Public Affairs Officer Edward Monster called for the government to ensure accountability and that those implicated be identified and prosecuted.
And Garton Kamchedzera who is a Law Professor at the Chancellor College strongly spoke against such tendencies of shielding accused persons as they get away with crimes.
Malawi, whose 40% of the national budget depends on foreign aid, has suffered following the withholding of the direct budgetary support due to corruption.
It is the hope of Malawians that those implicated will face the law and not be shielded as inside sources have revealed.