Case of Fumbani Mhango stalls: Arrested over ‘faclitating Cashgate’ at Malawi Financial Intelligence Unit

The corruption case of Fumbani Mhango, a manager at the Financial Intelligence Unit (FIU) is not making progress  with fears of ‘money exchanging hands’.

Anti Corruption Bureau (ACB) lasy year arrested Mhango for allegedly leaking intelligence information to cashgate suspects.

Accoridng to ACB, Mhango was conniving with suspects that plundered the economy through money and information facilitation.

“Mr. Mhango, (Manager, Monitoring and Analysis) at the Financial Intelligence Unit abused his office by leaking sensitive financial intelligence information to some suspects and facilitating some of the transactions,” said ACB spokesperson, Egrita Ndala in a statement when Mhango was arrested..

The arrest is in connected with the complaint the bureau recieved on 12 September 2013 alleging that Government Officers at Capital Hill were making illegal entries into the Integrated Financial Management Information System (IFMIS) with intent to defraud Malawi Government.

Malawi lost billions of Kwacha through illegal transactions in what is commonly known as Cashgate. A number of people have so far been convicted while others are still being tried in court.

Mhango was  slapped with four counts of misuse of office, aiding and abetting, improperly disclosing information and money laundering which is contrary to Sections 25B (1), 35 and 25C (1)(a)(b) of the Corruption Practices Act and 35(1)(d) of the Money Laundering, Proceeds of Serious Crimes and Terrorist Financing Act and tax related charges.

However, his case has been warehoused in mysterious circumstances.

Sources also said Mhango continue to have access to information of all payments being made at Accountant General where his wife works and is disclosing informations.

Malawi lost billions of Kwacha through illegal transactions in what is commonly known as Cashgate. A number of people have so far been convicted while others are still being tried in court.

The theft of public funds forced donors to suspend budgetary support to government.

FIU is an autonomous central national body reporting directly to the Minister of Finance. It was established under the Money Laundering, Proceeds of Serious Crimes and Terrorist Financing Act of 2006.The unit collects information, substantiates it and forwards it to investigating authorities such as ACB, the Director of Public Prosecutions (DPP), Fiscal and Fraud Police Unit (FFU), National Intelligence Service (NIS) and the Malawi Revenue Authority (MRA).

FIU also coordinates and strengthens efforts of national and international intelligence and enforcement agencies in pursuing the global efforts to fight money laundering, terrorist financing and related crimes.