President Mutharika ordered the audit, following the abuse of over MK300 Million at the Malawi Mission in Ethiopia.
Among those suspected to have plundered the funds are Former Deputy Ambassador Doreen Kapanga and Fletcher Chowe who was the first Secretary for Finance.
They are currently on bail.
The fraud was first detected when Chowe wrote a cheque of $30,000 in his name, which was signed by Kapanga.
Radson Kagwam’minga who is Spokesperson for the Auditor General confirmed to Capital FM that as mandated by the constitution of this country and also the Public Audit Act, they carried out the audits in 10 embassies.
These include London, Brussels, Berlin, Tokyo, China, India, Dubai, Cairo, Johannesburg and Tanzania.
He added that the audit work progressed well and that they were almost through with compiling a report.
Malawians have since been expressing concern with the continued reports about abuse of public funds in government ministries and departments.
They are hoping the sanctioning of the audit in embassies will help end the vice.
Billions of Kwacha have been lost through corrupt means in many state ownwed departments.