'Anti-graft crusader' held in Malawi corruption scandal

2015-11-12 18:03
iStock

iStock

Multimedia   ·   User Galleries   ·   News in Pictures Send us your pictures  ·  Send us your stories

Blantyre - A former Malawian civil servant once hailed as an anti-graft crusader has been charged along with 16 other officials in the country's widening "Cashgate" scandal, a court spokesman said on Thursday.

The multi-million-dollar scandal prompted foreign donors - who provide around 40% of impoverished Malawi's budget - to pull the plug on aid worth around $150m.

Paul Mphwiyo, the former budget director at the finance ministry, was among 17 suspects charged with a raft of graft offences and theft of $4m in the Cashgate affair, which originated in 2005.

Mphwiyo two years ago was shot outside his house and badly injured when he was reported to be about to expose a network of corrupt officials.

He was previously credited with overhauling the public finance system to close loopholes that allowed fraud, and for cancelling dubious government contracts.

"Mphwiyo and his co-accused are yet to enter a plea and he remains in police custody," a high court official told AFP on condition of anonymity.

An audit by British experts ordered by then president Joyce Banda found that $30 million had been looted in a period of less than six months in 2013 while Mphwiyo was in the powerful position of budget director.

In November, Oswald Lutepo, the chief suspect in the fraud, was sentenced to 11 years in jail.

He accused Banda of masterminding the scam to syphon off money from government coffers through ghost companies.

The scandal helped push Banda, who has denied any wrong-doing, out of power at last year's elections.

Current President Peter Mutharika has vowed to tackle corruption and pleaded for foreign donor nations to support the country.

Read more on:    joice banda  |  peter mutharika  |  malawi  |  southern africa

Join the conversation!

24.com encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions.

Inside News24

 
/News

Book flights

Compare, Book, Fly

Traffic Alerts
There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.




Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.