The governor of the Bank of Mozambique (BoM), Rogério Zandamela, said that the country should celebrate the compensation it expects to receive from Privinvest as a result of the judgement handed down in London in the context of the hidden debts trial.
“This is a time for celebration and Mozambicans should be proud of the decision taken, which is the result of a lot of effort and sacrifice. Now we must hope that everything goes well and believe that this money will enter the country,” he said.
Speaking at a press conference on Wednesday 31 July, the head of the central bank revealed that the 7 million dollars returned by Manuel Chang more than a year ago are being kept in the BdM’s vaults.
“The money has been with us for a long time, I think since last year, and we’re waiting for the Prosecutor’s Office and the courts to decide, but so far we’re the custodians of that amount,” he argued.
On Monday 29 July, the London Commercial Court ruled in Mozambique’s favour in the ‘hidden debts’ case and determined that the shipping group Privinvest must pay compensation for the corruption of former Finance Minister Manuel Chang.
“I am convinced that Mr Safa and the Privinvest group were willing to promise or pay anyone, and specifically Minister Chang (…). And that’s what they did,” said Judge Robin Knowles, quoted in the judgement.
According to the Mozambican Attorney General’s Office, the state’s representative in the case, the Privinvest group was ordered to pay a total of 2.3 billion dollars in damages, but the net amount was set at 1.9 billion dollars, since the authorities had seized various assets of people involved in the case.
Meanwhile, in a statement issued after the judgement, Privinvest said it intends to appeal because it considers that the conclusion that Manuel Chang was corrupted is “based largely on assumptions and not supported by credible analysis”.
Privinvest also expressed its intention to launch legal proceedings “vigorously” against the head of state, Filipe Nyusi, when he loses his diplomatic immunity in January, considering that, at the time of the events, he was Minister of Defence and should also be held responsible.
“This is a time for celebration and Mozambicans should be proud of the decision taken, which is the result of a lot of effort and sacrifice.Now we must hope that everything goes well and believe that this money will enter the country”
The hidden debt scandal dates back to 2013-14, when the then finance minister, Manuel Chang, now in detention in the United States, approved state guarantees on loans from ProIndicus, Ematum and MAM to the banks Credit Suisse and VTB, in absentia.
Discovered in 2016, the debts were estimated at around 2.7 billion dollars, according to figures presented by the Mozambican Public Prosecutor’s Office.
The trial was the culmination of almost four years of litigation in the British courts, to which the country appealed alleging corruption, conspiracy to defraud by unlawful means and dishonest assistance to cancel debts and claim financial compensation worth millions of dollars.
