THE Anti-Corruption Commission (ACC) has arrested former defense Permanent Secretary Stardy Mwale for corrupt practices involving $574 million in relation to the procurement of the Gulfstream presidential jet.
ACC head of communication Timothy Moono said in a statement that Mr Mwale, 51, of Flat 21 Eureka Park in Makeni, has been charged with three counts of Willful Failure to Comply with Applicable Law and Procedure contrary to Section 34 (2) (b) and one count of Fraudulent Facilitation of Payment from the Public Revenue Contrary to Section 34 (2) (a) (i) of the Anti-Corruption Act No.3 of 2012.
He said investigations have established that Mr Mwale, whilst acting together with others, between January 1, 2017 and December 31, 2017, being Permanent Secretary and the Chairperson of the Ministerial Procurement Committee for the Ministry of Defence, did willfully fail to comply with the applicable law and procedure in the manner he approved the award of the tender number MOD/MPC/024-17 and signed the amendment of contract number MOD/MPC/024-17 relating to the procurement of the modernisation of the defence forces Program at a contract price of US$ 400,000,000.00 to Elbit Systems Limited without approval from the Ministry Procurement Committee.
Mr Moono further said investigations have also established that Mr Mwale, whilst acting together with others, between the January 1, 2019 and December 31, 2019, being Permanent Secretary of the Ministry of Defence, did willfully fail to comply with the applicable law and procedure in the manner he signed a novation of the contract number MOD/MPC/002-19 between Elbit Systems Limited and Ministry of Defence to Savenda Systems Limited at a contract price of US$ 123,965,000.
He said Investigations have further established that Mr Mwale, whilst acting together with others, between the April 1, 2017 and December 31, 2019, being Permanent Secretary of the Ministry of Defence, did fraudulently facilitate a payment of US$ 50,000,000 under the contract number MOD/MPC/024-17 to Elbit Systems Limited for goods and services not supplied in full.
Mr Moono said the Commission also arrested and jointly charged members of the Ministerial Procurement Committee for the Ministry of Defence with Stardy Mwale for Willful Failure to Comply with Applicable Law and Procedure contrary to Section 34 (2) (b) of the Anti-Corruption Act No.3 of 2012, in the manner they approved the award of the tender number MOD/MPC/024-17 for the procurement of the Modernisation of the Defence forces Program to Elbit Systems Limited at a contract price of US$ 400,000,000.
He said those arrested and charged were former Defence Secretary Rtd. Brigadier General Michael Obister Mbewe, Former Ministry of Defence Director General Medical Services Rtd, Brigadier General Frank Hardy Sinyangwe and Director-Finance at Ministry of Green Economy and Environment Esabel Willima Chinji who was then Acting Chief Accountant at Ministry of defence.
