Finance Bank money laundering charges downplayed: Goodall granted licence for Malawi re-opening – M&G Report

The controversial Chairman of Finance Bank Rajan Mahtani has said his bank is not a “money laundering” institution as it was claimed when Reserve Bank of Malawi (RBM) revorked its licence, 10 years ago, saying Finance Minister Goodall Gondwe granted new last licence last year because “the injustice that happened years back has been clarified.”

Mahtani. Chairman of Finance Ban;: Licence granted last year after meeting with Goodall Gondwe in Lilongwe

Mahtani. Chairman of Finance Ban;: Licence granted last year after meeting with Goodall Gondwe in Lilongwe

Goodall Gondwe:  Granted licence last year

Goodall Gondwe: Granted licence last year

Mahtani, who was banned from banking in Malawi over money laundering accusations and who has dodged multiple criminal charges in Zambia, said his new licence to reopen Finance Bank in Malawi was granted last year after a meeting with Minister of Finance Gondwe in Lilongwe.

According to the Mail and Guardian report, Gondwe confirmed that he had delayed issuing the licence, but said he could change his mind because of the “enormous” legal implications of withholding it.

Mahtani said the “money laundering” allegations were “vehemently” denied and appeared to be manufactured to justify ill-conceived action.

“Simply put, the bank was never involved in money laundering,” he said,

Mahtani said that he had obtained a new licence “to ensure that the injustice that happened years back has been clarified.”

He said as quoted by M&G: “Malawi is a small market and cannot make profits. The motive was simply to restore our integrity.”

The report also indicated that Mahtani had promised former president Joyce Banda a $150-million biothermal energy plant for Malawi  in a bid to regain his banking licence.

“We promised to carry out international banking business under internationally acceptable standards of integrity, ethics and best practice, assisting Malawi in its economy, employment and economic growt,” he is quoted as saying.

He promised that Credit Suisse,  a shareholder of Finance Bank of Zambia,   would broker a loan for Malawi government.

He said he would keep his promise to establish the biothermal plant, using cassava to produce ethanol for export to China.

Banda said she referred Mahtani to  Reserve Bank technocrats to independently do “a risk-based due diligence” assessment of all would-be investors and that “no investment would take place until and unless the [Reserve Bank], as a regulatory body for commercial banks, completes this process”.

The former president reportedly left State House before the process was completed and only last year the Finance Minister Gondwe granted the licence for the bank to reopen in Malawi from this week.

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Kenkkk
Guest
The crux of the matter here is that this man has bribed the whole DPP hierachy. Gondwe can’t do this on his own. This man is a DPP well wisher funding them. The history of this man is very bad, just look at what successive govts in Zambia did to him. Even JB eventually kicked him out, so why is the DPP govt allowing this crook back? Has RBM now okayed him? Why is the ministry of finance involved in this matter anyway? This is RBM’s territory, only it can have the last say as it did last time. It… Read more »
wanangwa
Guest

Kanthu kako, this is just semantics. Whether you say Goodall or Minister of Finance is just the same. The truth is Goodall is not supposed to issue a banking license. Mahtani is corrupt to the core. No doubt Goodall got a bribe.

Truth shall free you
Guest

The same Mahtani was arrested and imprisoned by Kenneth Kaunda’s government.
The same Mahtani was arrested and imprisoned by Frederick Chiluba’s government.
The same Mahtani was arrested and imprisoned by Rupiah Banda’s government.
Google for more details on this crook.

sain it like it is
Guest

amwenye ambili ndi okuba nde uyunso tinadziwa pa kale kuti ndi mbava tamuonenni?

Kanthu
Guest

Fathi dont comment on something u dont know licensing a bank is for RMB and ministry of finance not Bankers ass.

Chejumo
Guest

Wapulika iwe??????? wapulikiska apa sono iwe??????????

ujeni
Guest

Leave Mahtani alone, he is a genuine proper investor unlike the Nigerians we allow to come and open ma hawkala and practice money laundering.

Kanthu Ako!!
Guest

Reporting of issues in Malawi is very personal.

Gooddall Gondwe did not grant the licence, Finance Minister did. The name of the Finance Minister is not relevant.

I would have understood if you had said Finance Minister (Goodall Gondwe) just to show which finance minister it was, But to say Goodall granted the licence as if he did it in is personal capacity is rubbish to say the least.

Fathi Alshehaab
Guest

kodi a Gondwr ndi licensing authority wa commerviak banks? why was banjers ass. not involved in the process

inayake
Guest

Gondwe is a thief and corrupt as they come. Has his excellence ever wondered why he was dropped as Minister of Finance. This issue was being looked into by the Reserve Bank. Sad that APM is being hoodwinked. Mahtani is got cases in Zambia he is running away from. I cry when all I see is laziness, greed and corruption.

wpDiscuz

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