The weekly, regularly critical of the government, was suspended after it published front page pictures of former presidents Jakaya Kikwete (2005-2015) and Benjamin Mkapa (1995-2005) on Thursday, linking them with dubious mining contracts.
On Wednesday, President John Magufuli had threatened "severe measures" against any media that suggested Kikwete and Mkapa might be involved in signing contracts that were disadvantage to the state.
Justice Minister Palamagamba Kabudi pointed out that the former heads of state enjoyed immunity from prosecution over events occurring during their mandates.
A commission of enquiry set up by President John Magufuli on Monday estimated that 75 billion euros (84 billion dollars) had been lost in tax evasion arising from mining operations since 1998.
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The panel found that the losses were primarily due to the failure of foreign companies operating in Africa's fourth largest gold producer to declare earnings. It blamed flawed contracts unfavourable to the state.
The weekly was ordered to suspend publication of both its print edition and the internet edition for 24 months from the date of notification.
Following publication of reports on the mining sector, Magufuli ordered the revision of laws on the allocation of mining contracts and asked prosecutors to question -- and even charge -- ministers of mining and of justice found to have signed contracts harmful to state interests in recent years.
Mawio has already faced a government ban for its coverage of a political crisis after elections late in December 2015 in the semi-autonomous Zanzibar islands. That ban was lifted by the courts.
Tanzania has rich stocks of minerals. Apart from gold, the country exports copper, nickel, silver, diamonds and other precious stones such as tanzanite.