Malawian law prof suggests way for Malawi govt to get Cashgate money back

2016-02-22 14:49
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Lilongwe – A law professor has discovered a way for the Malawian government to force those who looted money during the "Cashgate scandal" to return the money.

Malawi24 reports that Garton Kamchedzera from Chancellor College said in a public lecture organised by the Malawi Law Society that a "constructive trust" could be set up for the looters to pay back the money.

In a "constructive trust", the looter is declared a trustee and ordered to transfer the money to the trust.

"Constructive trust is used if somebody has misused public resources and has benefits. The law can declare the person as trustee then all the money can be recovered," Kamchedzera said.

According to Nyasa Times, the government has appointed a cyber security officer who will be in charge of the integrated financial management system (Ifmis) which was largely blamed for the Cashgate scandal.

The Cashgate scandal made headlines in 2013 after government officials, including the former budget director, Paul Mphwiyo and former justice minister, Ralph Kasambala, were accused of making fraudulent payments of up to $250m to businessmen for services that were not rendered.

The scandal angered a lot of Malawi's main donors who confiscated their donations until it was investigated. 

Read more on:    malawi  |  southern africa

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