ACB arrest Financial Intelligence Unit boss in cashgate ‘breakthrough’

A manager at the national Financial Intelligence Unit (FIU), Fumbani Mhango, is the latest high profile person to be arrested by the Anti-Corruption Bureau (ACB) in the public graft case known as Cashgate, Nyasa Times understands.

Mhango is manager at FIU monitoring and analysis.

He is suspected to be a conduit of the cashgate affair.

Investigators of the country’s corruption busting body told Nyasa Times that the arrest of Mhango is a “breakthrough” in the ongoing Cashgate prosecutions.

ACB’s senior public relations office , Egritta Mdala, has confirmed the arrest.

Mdala said Mhango will be charged for misuse of office contrary to Section 25B (1) of the Corrupt Practices Act; aiding and abbetting contrary to Section 35 of the Corrupt Practices Act; improperly disclosing information contrary to Section 25C (1) (a) (b) of the Corrupt Practices Act and money laundering contrary to Section 35(1) (d) of the Money Laundering, Proceeds of Serious Crimes and Terrorist Financing Act and tax related charges.

Several high profile people have been arrested in the cashgate affair including Paul Mphwiyo who was a budget director during the period when the government lost a lot of finances – that was between April and September 2012.

Paul Mphwiyo was a government witness in Cashgate trials after surviving an assassination attempt in September last year by people he believed were unhappy with his stand against corruption at his work place.

Others arrested but yet to undergo trial include former Malawi Defence Force commander Henry Odillo, director of the Public Officers’ Assets Declaration, Christopher Tukula, former publicity secretary of the former ruling People’s Party, Hophmally Makande and a lawyer, Ishmael Chioko.

There have been concerns about the “slow pace” at which the trials are moving.

Mwiza Nkhata, Dean of Law at the Chancellor College of the University of Malawi, told a local radio station the government should tread carefully on the arrests being made to avoid lawsuits which could later cost government a lot of money in compensation.

“Good practice requires that you should not arrest people unless you have built up a substantial case against particular individuals… If you are planning to arrest people you must have completed investigations ensure that the government does not expose itself to suits for malicious prosecution or false imprisonment,” said Nkhata.

The ACB authorities maintain the arrests are made after thorough investigations.

Follow and Subscribe Nyasa TV :