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LILONGWE (Reuters) - Malawi's President Peter Mutharika has dismissed the agriculture minister after an investigation into maize procurement, the southern African nation's information minister said on Wednesday.

Mutharika ordered an investigation last month into a $34.5 million government maize purchase from Zambia after allegations that the price had been inflated.

"The President has removed from Cabinet Hon George Chaponda as agriculture minister with immediate effect following after he was found with millions of money at his residence yesterday," Minister of Information Nicolaus Saudi told Reuters.

(Reporting by Mabvuto Banda; Editing by James Macharia)