Allan Harrison Magombo one of the suspects in the Cashgate scandal has been jailed by the Lilongwe Magistrate Court for stealing about K32.5 million from Capitol Hill.
While confirming the conviction to Malawi24, spokesperson for the Anti-Corruption Bureau (ACB) said Magombo used his company called Down Stairs to steal the money.
“The Bureau established that Mr. Allan Harrison Magombo owner of a company known as Down Stairs received K16, 555,126.08 and K15, 920,000.00 respectively from Ministry of Local Government for rendering no service to the Malawi Government” said Egrita Ndala, publicist for the Bureau.
Magombo was charged with two counts of theft and one count of money laundering contrary to Section 278 and Section 35(1) (c) of the Penal Code and the Money Laundering, Proceeds of Serious Crime and Terrorist Financing Act. He will be sentenced on 18th February, 2016.
A forensic exercise by British Auditors established that K24 billion of public funds was stolen between April and September 2013 while another audit analysis by PricewaterhouseCoopers (PwC) found that K553 billion was uncounted for during the two years that Joyce Banda was president.