BREAKING NEWS

MRAMBA YONA LAND IN COURT

Two former ministers appeared before the Kisutu Resident Magistrate's Court in Dar es Salaam yesterday charged with abuse of office and occasioning loss of over 11bn/- to the government. Basil Pesambili Mramba and Daniel Ndhira Yona, who were minister for finance and minister for energy and minerals, respectively are facing a total of 13 counts. They pleaded a plea of 'not guilty' before Resident Magistrate Hezron Mwankenja.

The accused were remanded until December 5, after failure to meet bail conditions including depositing 3.9bn/- cash and secure two reliable sureties. He also ordered them to surrender their passports and restrained them from leaving Dar es Salaam without the court's permission. Though they appeared composed as the prosecution read the charges against them, Yona was sweating profusely as he kept on wiping his face.

Members of the public booed at them as they were being taken to remand after failure to meet conditions of bail. Investigations into the case have not been completed, the prosecution told the court. Members of the prosecution team are Principal State Attorney Boniface Stanslaus, Senior State Attorney Frederick Manyanga and three officials from the Prevention and Combating of Corruption Bureau (PCCB), Hole Joseph, Benn Linkon and Tabu Mzee.

The then ministers, who are defended by advocates Michael Ngalo, Joseph Tadayo, Sam Mapande, Mafuru Mafuru and Elisa Msuya, arrived at the court premises in a PCCB vehicle, Toyota Land Cruiser GX registration number T 319 ATD. They also boarded the same vehicle when they were taken to Keko Remand Prison. Their arraignment was witnessed by several people who jammed at the court premises early in the morning after learning that the duo would be brought there to answer criminal charges.

The charges against the two former ministers are not related in any how on the scandal surrounding the External Payment Arrears (EPA) account of the Bank of Tanzania as previously stated by a section of the media. Both accused are facing jointly five charges of abuse of office and one count of occasioning loss to the government, while Mramba alone faces eight similar counts. It is alleged that the duo committed the offences between 2002 and 2007 at their respective offices.

The prosecution alleged that between August 2002 and May 28, 2005, being employed as ministers, the duo abused the authority of their offices by doing several decisions. They include arbitrarily procuring M/S Alex Stewart (Assayers) UK and its subsidiary company, M/S Alex Stewart (Assayers) Government Business Corporation to sign and execute gold production assaying agreement in Tanzania in contravention of Public Procurement Act and Mining Act, respectively.

The prosecution alleged that the former ministers left the Alex Stewart (Assayers) Government Business Corporation to sign an addendum extending gold production assaying agreement for two years from June 14, 2005 to June 23, 2007 in contravention of the said Acts. It is alleged further that the duo invited Dr Enrique Sugura of the said company to formalise the two years extension before the Government Negotiation Team was convened to work on the matter.

The accused also abstained from attending the mining assayer's fees issue and submitting the agreement to the Attorney General for vetting as it was recommended by the team consequent upon which act an addendum extending the gold production assaying agreement for two years. Between June 2003 and May 28, 2005, serving as ministers, wilfully and by their failure to take reasonable care or discharge their duties in reasonable manner, the duo unjustifiably allegedly processed a gold production assaying agreement with a clause number 4.3.1.

The prosecution alleged that the said clause led to unjustified tax exemption in favour of M/S Alex Stewart) Assayers) Government Business Corporation, thereby occasioning loss to the government to the tune of 11,752,350,148/-. While Mramba alone, the prosecution alleged, between October 10, 2004 and November 15, 2005, as Minister for Finance, abused the authority of his office by arbitrarily doing several unjustified decisions.

They include ignoring the recommendation by the Tanzania Revenue Authority (TRA) not to grant tax exemption to M/S Alex Stewart Assayers) Government Business Corporation.
He also allegedly processed and issued Government Notices (GN) No. 423/2003, 424/2003, 497/2004, 498/2004, 377/2005,378/2005, which granted tax exemption to the whole of withholding income tax payable by the said company contrary to the recommendations given by the TRA.

Between 2003 and 2007 in the city, as Minister for Finance, wilfully and by his failure to take reasonable care to discharge his duties in a reasonable manner, Mramba unjustifiably allegedly signed the said government notices. The said notices, according to the prosecution, had the effect of exempting the said company from paying income tax, thereby occasioning loss to the government of the said 11bn/-.