The Citizen (Dar es Salaam)
Mkinga Mkinga
30 October 2008
Time is running out for the 19 suspects expected to be arraigned over the Sh133 billion Bank of Tanzania External Payments Arrears (EPA) account fraud, as the deadline given to them to refund the stolen money expires today.
Having keenly followed the saga of the monumental rip-off, the public's attention will be riveted on finding out who were behind the 13 companies that scooped a whopping Sh90 billion from the central bank through fraudulent payments.
The special task force, which President Jakaya Kikwete appointed in February to investigate the massive theft and recover the money, reportedly failed to trace nine other companies that received the balance of the money.
The presidential task force, which is led by Attorney-General Johnson Mwanyika, includes the Director of the Prevention and Combating of Corruption Bureau, Dr Edward Hosea, and the Inspector-General of Police, Mr Said Mwema, is expected to haul the suspects to court as they failed to take advantaged of a presidential amnesty window to hand back the loot.
However, there were reports yesterday that two of the nine companies, G&T International Limited and Excellent Services Limited, may have been traced in the past few days.
The Citizen can today reveal some of the suspects behind the 13 companies, and the names of the 19 individuals who could face prosecution from Monday.
Those within the sights of the presidential task force, include Mr Jantkumar Chandubhai Patel, who is popularly known as Jeetu Patel, Mr Jayantulal Chandubhai Patel and Mr Devendra Patel, who between them own nine of the 13 companies suspected of involvement in the fraud.
The three are listed at the Registrar of Companies in Dar es Salaam as joint directors in Bencon International Limited, V.B. & Associates Company Limited, Bina Resorts Limited, Venus Hotels Limited and Maltan Mining Company Limited.
They also are directors in Bora Hotels and Apartments Limited, B.V Holdings Limited, Ndovu Soap and Navy Cut Tobacco (T) Ltd.
The others are Mr John Kyomhendo and Mr Francis William of Kagoda Agricultural Limited, Mr Japhet Lema, Ms Anna Lema, Mr Derrick Lema, Mr Abel Lema and Mr Bernard Lema, all directors of Njake Hotels and Tours and Mr Harierier Radhakrishna, who is a joint director at Maltan Mining Company Limited and Navy Cut Tobacco (T) Ltd with Mr Patel.
Mr Sadik Yacoub of Ndovu Soap, Mr Jose Van De Merwe, Mr Samson Mapunda and Mr Charles Mabina of Changanyikeni Residential Complex Ltd and Mr Paul Nyingo and Mr Fundi Kitungi of Money Planners & Consultants, are also targeted.
A prominent Dar es Salaam advocate associated with the firm, Malegesi Law Chambers, is also implicated in the scandal.
The Mwanyika team is holding the business registration files all of these companies as investigations continue.
There was conflicting information from inside the Government and the corridors of justice over what is likely to happen on Monday.
One view that has gained credence over the past two days is that the Mwanyika team might charge some of the suspects, and the names of three people, whose passports have been impounded, were being mentioned.
A source close to the task force told
The Citizen that the team was also considering seeking another extension of the presidential amnesty to give the suspects more time to continue repaying the money. This school of thought was pegging its argument on President Kikwete's apparent insistence that the team give priority to recovery instead of litigation, which he feared could last for several years.
"It's true that there has been a directive to that effect. The team is reportedly consulting widely before reaching a decision that will not raise eyebrow," another well-connected source said.
In his keynote address to Parliament in August, when he extended the amnesty to the suspects, President Kikwete declared that the Government would use the recovered funds to finance an expanded fertiliser subsidy programme for farmers.
He also said part of the money would be spent on re-capitalising the State-owned Tanzania Investment Bank (TIB) to offer loans to farmers.
The Mwanyika team managed to recover only Sh234 million from the suspects during the two- month presidential amnest
y period.
The amount was way below the more than Sh10 billion they had hoped to rake in.
President Kikwete granted the amnesty for the 13 companies to refund Sh10.7 billion before today.
"If any of the suspects fails to repay the money by the set deadline, then the authorities are under instructions to begin criminal prosecution as of November 1," President Kikwete told Parliament.
He said he had accepted an appeal from the Mwanyika team to extend the time to recover at least 73 per cent of the EPA loot.
The President said then that Sh53.7 billion had so far been recovered but that the team expected more, to bring the figure to Sh64.8 billion by the expiry of the October deadline.
However, sources close to the team have confided to The Citizen that only Sh43 billion had been recovered, most of it from one company.
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