The Lilongwe Chief Resident Magistrate’s Court has committed to the High Court of Malawi Financial Crimes Division fraud cases against several high-profile individuals, including former Reserve Bank of Malawi (RBM) governor Dalitso Kabambe.
Chief resident magistrate Austin Banda made the decision yesterday in the multiple cases involving politicians, businesspersons and individuals.
To better manage the cases, prosecution led by former director of public prosecutions Kamudoni Nyasulu split them into three categories, namely letters of credit extended to suppliers, Covid-19 funds abuse and foreign exchange swap and Treasury note programme with Afreximbank.
Besides Kabambe, who is now UTM Party president, others committed to the High Court are former RBM deputy governor Henry Mathanga and businesspersons Leston Ted Mulli, Joseph Khupe, Feston Mulli and Mulli Brothers Limited.
They are charged with conspiracy to use public office for personal advantage. Particulars of this charge are that between April 2019 and June 2020, they allegedly generated letters of credit valued at K13.6 billion for the benefit of Mulli, Khupe and Mulli Brothers Limited.
The accused also face money laundering charges for possessing K13.6 billion, knowing it represented proceeds of a predicate offence during the same period.
Earlier, one of the defence lawyers John Kalampa asked the court not to proceed with the committal because one of the accused persons, Leonard Kandoje, was ill and needed medical examination to determine if he is fit to stand trial.
He said: “The presiding magistrate, now a judge [of the High Court Madalitso Chimwaza], had ordered that the accused should be examined by doctors, but nothing was done. Should we proceed to hear the matter and ignore that order?”
However, the court agreed with the State to proceed with the available accused, arguing that the committal proceedings would not affect the right to a fair trial.
Kabambe, Mathanga, Samuel Chilembwe Malitoni, Elvis Thodi, former secretary to the Treasury Cliff Chiunda and former Minister of Finance Joseph Mwanamvekha are also charged with conspiracy to use public office for personal gain.
Kabambe, Mathanga, Malitoni, Thodi, Chiunda and Mwanamvekha also face money laundering charges for possessing K11.4 billion at a local bank, purportedly knowing it represented proceeds of a predicate offence of expending money without appropriation.
The court also committed to the High Court a fourth case involving four individuals accused of fraud at Greenbelt Authority through Salima Sugar Company Limited, a former public private partnership between the Malawi Government and an Indian firm.
The accused, who were arrested on Monday, were granted bail which will be formalised by the High Court of Malawi.
The accused include Mwanamvekha, former presidential economic adviser Collins Magalasi, former secretary to the President and Cabinet Lloyd Muhara and Chiunda.
