President Joyce Banda Malawi Time for Action on Cashgate Corruption Scandal

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PRESIDENT JOYCE BANDA MALAWI : TIME FOR ACTION ON ‘CASHGATECORRUPTION SCANDAL

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Malawi: Time for action on ‘Cashgate’ corruption scandalThere is a real fear in Malawi that when Parliament is dissolved on 20 March ahead of elections slated for 20 May, the senior members of the network responsible for one of the country’s biggest corruption scandals, dubbed ‘Cashgate’, will escape justice.President Joyce Banda says.Many believe the election period will stall legal proceedings and could allow individuals – both senior officials and lower level civil servants involved in the scandal – to escape the reach of the law, while others may be shielded by parliamentary immunity if they or their party succeed in winning seats in parliament."Civil society groups in Malawi are calling on the government to walk the talk in the fight against corruption, particularly since the release of the forensic audit report the ‘Cashgate’ scandal on 21 February. The report was commissioned by the Malawi government and funded by the UK government, which gave Malawi £117 million in 2012. The report focused on the facts of the case and did not identify any individual suspects. There should be no impunity for those involved in stealing from the state. The money should be used to help reduce poverty in Malawi and to raise living standards for all citizens.”The British High Commissioner to Malawi, Michael Nevin, insisted that naming people in the report could compromise ongoing court cases, a position challenged by civil society groups and the Public Accounts Committee (PAC) of Parliament.The scandal involves an estimated US$20 million to US$100 million that has gone missing from government coffers. It became news last year immediately after Malawi’s budget director was shot under circumstances that still remain a mystery, and huge sums of cash in both local and foreign currency were found in the vehicles and homes of some civil servants, most of them low-ranking junior accountants according to President Joyce Banda. Foreign development donors pulled the plug on US$150 million for the 2013/14 fiscal year, at least temporarily. Up to 40 per cent of Malawi’s annual budget is donor-funded.This has angered citizens as public services, particularly health and education, have been cut. At the same time the pace of investigations remains slow. There have reportedly been 68 arrests but few cases have gone to court.Funding challenges continue to cripple the key institutions tasked with building the case for the prosecution, including the Anti-Corruption Bureau, the Ministry of Justice and the Judiciary. President Joyce Banda reshuffled her cabinet, dismissing several ministers including the ministers of finance and justice.

Transcript of President Joyce Banda Malawi Time for Action on Cashgate Corruption Scandal

Page 1: President Joyce Banda Malawi Time for Action on Cashgate Corruption Scandal

PRESIDENT JOYCE BANDA MALAWI :

TIME FOR ACTION ON ‘CASHGATE’

CORRUPTION SCANDAL

Page 2: President Joyce Banda Malawi Time for Action on Cashgate Corruption Scandal
Page 3: President Joyce Banda Malawi Time for Action on Cashgate Corruption Scandal

MALAWI: TIME FOR ACTION ON ‘CASHGATE’

CORRUPTION SCANDAL

THERE IS A REAL FEAR IN MALAWI THAT WHEN

PARLIAMENT IS DISSOLVED ON 20 MARCH

AHEAD OF ELECTIONS SLATED FOR 20 MAY,

THE SENIOR MEMBERS OF THE NETWORK

RESPONSIBLE FOR ONE OF THE COUNTRY’S

BIGGEST CORRUPTION SCANDALS, DUBBED

‘CASHGATE’, WILL ESCAPE JUSTICE.PRESIDENT

JOYCE BANDA SAYS.

Page 4: President Joyce Banda Malawi Time for Action on Cashgate Corruption Scandal
Page 5: President Joyce Banda Malawi Time for Action on Cashgate Corruption Scandal

MANY BELIEVE THE ELECTION PERIOD WILL

STALL LEGAL PROCEEDINGS AND COULD ALLOW

INDIVIDUALS – BOTH SENIOR OFFICIALS AND

LOWER LEVEL CIVIL SERVANTS INVOLVED IN

THE SCANDAL – TO ESCAPE THE REACH OF THE

LAW, WHILE OTHERS MAY BE SHIELDED BY

PARLIAMENTARY IMMUNITY IF THEY OR THEIR

PARTY SUCCEED IN WINNING SEATS IN

PARLIAMENT.

"CIVIL SOCIETY GROUPS IN MALAWI ARE

CALLING ON THE GOVERNMENT TO WALK THE

TALK IN THE FIGHT AGAINST CORRUPTION,

PARTICULARLY SINCE THE RELEASE OF THE

FORENSIC AUDIT REPORT THE ‘CASHGATE’

SCANDAL ON 21 FEBRUARY.

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Page 7: President Joyce Banda Malawi Time for Action on Cashgate Corruption Scandal

THE REPORT WAS COMMISSIONED BY THE

MALAWI GOVERNMENT AND FUNDED BY THE

UK GOVERNMENT, WHICH GAVE MALAWI £117

MILLION IN 2012. THE REPORT FOCUSED ON

THE FACTS OF THE CASE AND DID NOT

IDENTIFY ANY INDIVIDUAL SUSPECTS.

THERE SHOULD BE NO IMPUNITY FOR THOSE

INVOLVED IN STEALING FROM THE STATE. THE

MONEY SHOULD BE USED TO HELP REDUCE

POVERTY IN MALAWI AND TO RAISE LIVING

STANDARDS FOR ALL CITIZENS.”

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Page 9: President Joyce Banda Malawi Time for Action on Cashgate Corruption Scandal

THE BRITISH HIGH COMMISSIONER TO

MALAWI, MICHAEL NEVIN, INSISTED THAT

NAMING PEOPLE IN THE REPORT COULD

COMPROMISE ONGOING COURT CASES, A

POSITION CHALLENGED BY CIVIL SOCIETY

GROUPS AND THE PUBLIC ACCOUNTS

COMMITTEE (PAC) OF PARLIAMENT.

THE SCANDAL INVOLVES AN ESTIMATED US$20

MILLION TO US$100 MILLION THAT HAS GONE

MISSING FROM GOVERNMENT COFFERS.

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Page 11: President Joyce Banda Malawi Time for Action on Cashgate Corruption Scandal

IT BECAME NEWS LAST YEAR IMMEDIATELY

AFTER MALAWI’S BUDGET DIRECTOR WAS SHOT

UNDER CIRCUMSTANCES THAT STILL REMAIN A

MYSTERY, AND HUGE SUMS OF CASH IN BOTH

LOCAL AND FOREIGN CURRENCY WERE FOUND

IN THE VEHICLES AND HOMES OF SOME CIVIL

SERVANTS, MOST OF THEM LOW-RANKING

JUNIOR ACCOUNTANTS ACCORDING TO

PRESIDENT JOYCE BANDA.

FOREIGN DEVELOPMENT DONORS PULLED THE

PLUG ON US$150 MILLION FOR THE 2013/14

FISCAL YEAR, AT LEAST TEMPORARILY. UP TO

40 PER CENT OF MALAWI’S ANNUAL BUDGET IS

DONOR-FUNDED.

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Page 13: President Joyce Banda Malawi Time for Action on Cashgate Corruption Scandal

THIS HAS ANGERED CITIZENS AS PUBLIC

SERVICES, PARTICULARLY HEALTH AND

EDUCATION, HAVE BEEN CUT. AT THE SAME

TIME THE PACE OF INVESTIGATIONS REMAINS

SLOW. THERE HAVE REPORTEDLY BEEN 68

ARRESTS BUT FEW CASES HAVE GONE TO

COURT.

FUNDING CHALLENGES CONTINUE TO CRIPPLE

THE KEY INSTITUTIONS TASKED WITH BUILDING

THE CASE FOR THE PROSECUTION, INCLUDING

THE ANTI-CORRUPTION BUREAU, THE

MINISTRY OF JUSTICE AND THE JUDICIARY.

PRESIDENT JOYCE BANDA RESHUFFLED HER

CABINET, DISMISSING SEVERAL MINISTERS

INCLUDING THE MINISTERS OF FINANCE AND

JUSTICE.

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KEYWORDS:

IMPUNITY, SCANDALS, POLITICAL IMMUNITY,

PRESIDENT JOYCE BANDA, POLITICAL

SCANDALS, CASHGATE, MALAWI CORRUPTION,

MALAWIAN PRESIDENT JOYCE BANDA,

ELECTORAL HUMILIATION, MALAWI, AFRICA

AND INDIAN OCEAN,WORLD NEWS, NEWS,

MALAWI, AFRICA,WORLD NEWS, CASHGATE

CORRUPTION SCANDAL, MALAWIAN PRESIDENT

JOYCE BANDA