Former Ministry of Defence PS Stardy Mwale Arrested for Corruption

The Anti-Corruption Commission has arrested former Permanent Secretary at the Ministry of Defence Stardy Mwale for corrupt practices involving K8,500,000.00

Mwale, 51, of Flat 21 Eureka Park in Makeni, has been charged with two counts of Corrupt Practices by Public Officer contrary to Section 19(1) as read with Section 41 of the Anti-Corruption Act no. 3 of 2012. He has also been charged with one count of Possession of Property Reasonably Suspected to be Proceeds of Crime contrary to Section 71 of the Forfeiture of Proceeds of Crime Act No. 19 of 2010 and one count of Conflict of Interest contrary to Section 28 as read with Section 41 of the Anti-Corruption Act No.3 of 2012.

Investigations have established that between 1st March 2018 and 30th June 2018, Mwale, whilst being a public officer, namely Permanent Secretary at the Ministry of Defence, did
corruptly solicit and actually attempted to receive US $200,000 from Eagle Trading International, a representative of African Security Academy, a company engaged by the Ministry of Defence to finance, supply and deliver military uniforms for the Zambia National Service. The money was to be paid into an account of the Australian owners of Simonga Farm located in Chikankata District, which farm Mwale had purchased. The said money was an inducement or reward for having facilitated the signing and payment of the said contract.

It has been established that between the same period, Mwale, whilst being a public officer, namely Permanent Secretary at the Ministry of Defence, did corruptly solicit and actually received US $200,000 from Eagle Trading International, a representative of African Security Academy, a company engaged by the Ministry of Defence to finance, supply and deliver military uniforms for the Zambia National Service. The money was paid into an account of the Australian owners of Simonga Farm located in Chikankata District, which farm Mwale had purchased. The said money was an inducement or reward for having facilitated the signing and payment of the said contract.

Investigations have also established that between 1st January 2017 and 30th December 2017, in Lusaka, Mwale was in possession of K2,500,000.00 in his personal bank account, funds suspected to have been proceeds of crime. Further, between 1st August 2017 and 1st October 2020, Mwale, without declaring interest into the matter, did engage the Ministry of Finance to secure and facilitate the payment of US $1,675,497.76 to African Security Academy, as arrangement, management and insurance fees towards the contract on the supply of military uniforms to the Ministry of Defence. The actions were prejudicial to the interest of the Ministry of Defence, a public body.

The Commission has since seized Simonga Farm and the Zambia National Service has been engaged to manage it.

Mwale was released on bond and is expected to appear in court soon.

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