Cashgate suspect Phyoka Kaunda pleads guilty, convicted

The Lilongwe Magistrates Court on Thursday convicted Phyoka Oscar Kaunda on his own plea of guilty in the “cashgate” corruption scandal.

Phyoka owns Hardline Construction Company which was one of companies that were used to defraud government billions of Kwacha without offering any service.

Government officers at Capital Hill were making an unauthorized entries into the Integrated Financial Management Information Systems (IFIMIS).

Phyoka through Hardline Company was paid a cheque amounting to K7, 395,431.20.

He was arrested by the Anti-Corruption Bureau which has been pursuing the “cashgate” affair – the worst financial scandal in the country’s history.

Phyoka will appear in court on 15th  December, 2016 for sentencing.

The first person to be convicted in relation to the high-profile case was former Principal Secretary in the Ministry of Tourism, Tressa Namathanga Senzani, who was sentenced to three years in jail and is now out of prison.

Western donor nations and agencies, which provide 40% of Malawi’s budget, froze vital aid worth around $150m in reaction to the scandal.