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Former Defence PS nabbed in relation to procurement of Gulfstream G650

• Mwale, 51, has been charged with three counts of Willful Failure to Comply with Applicable Law and Procedure.
• He willfully failed to comply with the applicable law and procedure in the manner he approved the award of the tender.
• He has also been arrested and charged with one count of Corrupt Acquisition of Public Property and Revenue.

Anti-Corruption Commission (ACC) has arrested former Permanent Secretary at Ministry of Defence for corrupt practices involving over US$573.9 million in relation to the procurement of the Gulfstream G650 Presidential Jet.
In a statement, Commission Head-Corporate Communications Timothy Moono said investigations have established that Stardy Mwale 51, being Permanent Secretary and Chairperson of the Ministerial Procurement Committee for the Ministry of Defence, whilst acting together with others, between 1st January, 2017 and 31st December, 2017, willfully failed to comply with the applicable law and procedure in the manner he approved the award of the tender number MOD/MPC/024-17 and signed the amendment of contract number MOD/MPC/024-17 relating to the procurement of the Modernization of the Defence forces Program at a contract price of US$ 400,000,000 to Elbit Systems Limited without approval from the Ministry Procurement Committee.
Mr. Moono explained that investigations have also established that Mr. Mwale, whilst acting together with others, between 1st January, 2019 and 31st December, 2019, willfully failed 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$123, 965, 000.
“Mwale, 51, of Flat 21 Eureka Park in Makeni, has been charged with three counts of Wilful Failure to Comply with Applicable Law and Procedure contrary to Section 34 (2) (b) and one count of Fraudulent Facilitation of Payment from the Public Revenue Contrary to Section 34 (2) (a)(i) of the Anti-Corruption Act No.3 Of 2012.”
“Investigations have further established that Stardy Mwale, whilst acting together with others, between the 1st April, 2017 and 31st December, 2019, being Permanent Secretary of the Ministry of Defence, did fraudulently facilitate a payment of US$ 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 stated.
He further disclosed that the Commission has 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, in the manner they approved the award of the tender for the procurement of the Modernization of the Defence forces Program to Elbit Systems Limited at a contract price of US$ 400,000,000.
“Those arrested and charged are 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.”
“In another development the Commission has also arrested and charged Stardy Mwale with one count of Corrupt Acquisition of Public Property and Revenue contrary to Section 34 (1)(b) of the Anti-Corruption Act No.3 Of 2012. Details are that Stardy Mwale, jointly and whilst acting together with others, on dates between the 1st April 2019 and 31st October 2019, being Permanent Secretary at the Ministry of Defence, did fraudulently or unlawfully divert 65,000 metric tonnes of fertilizer belonging to the government of the Republic of Zambia to a private entity. A matter or transaction that concerned the Ministry of Defence a public body,” he said.
He added that Mr. Mwale and three others have been released on bond and are expected to appear in court soon.

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