Malawi 'cashgate' Ex-army chief Odillo  also facing charges  'over corruption'

Malawi ‘cashgate’ Ex-army chief Odillo also facing charges ‘over corruption’

LILONGWE  (Malawi NewsNow)-Anti Corruption Bureau (ACB) has arrested and charged Malawi’s retired Colonel Nelson Kauwa  in relation to payments that were made to his Thuso Group without supplying contracted goods/services to the Malawi Defence Forces (MDF).

A total of K1.5 billion cheques were paid to South Africa based Thuso Group owned by Kauwa and Alexander Banda.

ACB’s Senior Public Relations Officer, Egrita Ndala says Kauwa’s arrest comes following investigations that “on 12 September, 2013, the ACB received a complaint alleging that Government Officers at Capital Hill were making entries in the Integrated Financial Management Information System (IFMIS.”

The investigations revealed that some payments were made to Thuso Group without offering to Government any service.

According to ACB, Kauwa who has since been granted a court bail. is likely to be charged with three counts.

The first for Conspiracy to commit an offence contrary to Section 35 of the Corrupt Practices Act.

The second of Money laundering contrary to Section 35 (1) (c) of the Money Laundering, Proceeds of Serious Crimes and Terrorist Financing Act.

And finally of Theft contrary to Section 278 of the Penal Code.

The bail is running on conditions that he deposited with the Court K1,000,000.00 cash, produced two sureties bonded at K500,000.00 cash each, ordered to report to the Bureau twice every month, as well as ordered to surrender travel documents to the Anti-Corruption Bureau</p>

Kauwa was also arrested on 21 November 2014 also arrested alongside prominent businessman Shiraz Ferreira in an operation the ACB worked with the Malawi Revenue Authority (MRA).</p>

Thuso Group, was also named in the Baker Tilly Forensic Audit Report last year to have attained MK 1,921,028,000 reflecting a 7.9% share of the highest funds were paid to four individuals who control seven different businesses being TP / RP, IPS / O&G Construction, Thuso Group, Stadal Building Contractors and Image Investments.

Recently ACB also arrested Thuso Group’s official Ganizani Sionga Kuchombo for money laundering charges.