- After some years of secrecy, a fraudulent act that plunged Mozambique into serious economic hardship has been discovered
- The criminal act involved Ndambi Guebuza, the son of a former president of the African nation, Armando Guebuza
- During a court proceeding on Wednesday, December 7, Ndambi and other former spies were sentenced to prison
- The former president's son was said to have illicitly borrowed $2 billion through state-owned companies from international banks back in 2013 and 2014
A Mozambican court on Wednesday, December 7, sentenced ex-president Armando Guebuza’s son, Ndambi Guebuza, for his involvement in a fraudulent act that triggered financial havoc.
Guebuza is among 19 defendants accused in one of Mozambique’s biggest corruption scandals, Daily Trust reports.
As stated by the presiding judge, Justice Efigenio Baptista, the crimes have brought consequences whose effects will last for generations.
It was gathered by Guardian that the scandal became public knowledge after firms owned by the country illicitly borrowed $2 billion (1.9 billion euros) in 2013 and 2014 from international banks to buy a tuna-fishing fleet and surveillance vessels.
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Although the government hid the issue from the parliament and the public for some time, when the “hidden debt” finally surfaced in 2016, the International Monetary Fund (IMF) and other donors cut off financial support from the African country.
Naturally, this decision by IMF triggered an all-time high recession in Mozambique.
An independent audit found $500 million of the loans had been diverted and the fund remains unaccounted for.
Delivering the verdict on Wednesday, Justice Baptista said the scam “aggravated the impoverishment of thousands of Mozambicans", adding that “The country became famous for the worst reasons".
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Hussain was responding to a post by Nigeria's anti-graft commission, Economic and Financial Crimes Commission (EFCC), with the title, Court Jails Obi One Year For Possession of Fraudulent Documents.