The Anti-Corruption Bureau (ACB) on Tuesday arrested a Lilongwe-based businessman, Jimmy Mbuliro for allegedly defrauding government.
Mbuliro’s case is latest in a series of arrests ACB has made since 2013 under the public graft scandal also known as Cashgate.
ACB Senior Public Relations Officer’ Egrita Ndala said Mbuliro was arrested following a tip-off.
”On 5th October, 2011 the Anti-Corruption Bureau received a complaint alleging that public servants were making huge payments to companies owned by themselves or their colleagues for services not offered to Malawi Government,” said Ndala.
Ndala said ACB’s investigations established that some payments were made from the Malawi Government (Pensions and Gratuities Account) and Accountant General to Mbuliro’s accounts, trading as Jipone Enterprises without offering to Government any service.
Mbuliro will be charged with two counts of corruptly obtaining an advantage contrary to Section 26(1) of the Corrupt Practices Act, two counts of money laundering contrary to Section 35 (1) (c) of the Money Laundering, Proceeds of Serious Crimes and Terrorist Financing Act and two counts of theft contrary to Section 278 of the Penal Code.
”He will be taken to Court after the Bureau recorded a statement from him.”
Cashgate has affected the country’s relations with donors and caused outrage among Malawians.
At the centre of the scandal is a computer-based financial information storage system.
Some government officials have allegedly been exploiting a loophole in the system to divert millions from government coffers.