Identifier
Created
Classification
Origin
08DARESSALAAM809
2008-12-01 02:19:00
CONFIDENTIAL
Embassy Dar Es Salaam
Cable title:
ANTI-CORRUPTION SHOCK AND AWE: EX-MINISTERS
how-toVZCZCXRO2828 RR RUEHDU RUEHMR RUEHRN DE RUEHDR #0809 3360219 ZNY CCCCC ZZH R 010219Z DEC 08 FM AMEMBASSY DAR ES SALAAM TO RUEHC/SECSTATE WASHDC 8078 INFO RUCNSAD/SOUTHERN AF DEVELOPMENT COMMUNITY COLLECTIVE RUEHJB/AMEMBASSY BUJUMBURA 2732 RUEHKM/AMEMBASSY KAMPALA 3247 RUEHLGB/AMEMBASSY KIGALI 1176 RUEHNR/AMEMBASSY NAIROBI 1067 RUEATRS/DEPT OF TREASURY WASHINGTON DC RUEHLMC/MCC WASHINGTON DC RUEHDS/USMISSION USAU ADDIS ABABA
C O N F I D E N T I A L DAR ES SALAAM 000809
SIPDIS
AF/E FOR JLIDDLE; INR FOR FEHRENREICH; TREASURY OTA FOR D
VAN KOCH; STATE PASS USAID EAST AFRICA OFFICE
E.O. 12958: DECL: 11/30/2018
TAGS: PGOV KDEM EFIN ECON TZ
SUBJECT: ANTI-CORRUPTION SHOCK AND AWE: EX-MINISTERS
INDICTED AND JAILED
REF: A. A. DAR ES SALAAM 493
B. B. DAR ES SALAAM 778
Classified By: Pol/Econ chief Carl B. Fox for reasons 1.4 (b) and (d)
C O N F I D E N T I A L DAR ES SALAAM 000809
SIPDIS
AF/E FOR JLIDDLE; INR FOR FEHRENREICH; TREASURY OTA FOR D
VAN KOCH; STATE PASS USAID EAST AFRICA OFFICE
E.O. 12958: DECL: 11/30/2018
TAGS: PGOV KDEM EFIN ECON TZ
SUBJECT: ANTI-CORRUPTION SHOCK AND AWE: EX-MINISTERS
INDICTED AND JAILED
REF: A. A. DAR ES SALAAM 493
B. B. DAR ES SALAAM 778
Classified By: Pol/Econ chief Carl B. Fox for reasons 1.4 (b) and (d)
1. (C) Summary. Two former cabinet ministers, one of whom is
a sitting MP, were brought to court November 25 to face
charges in the second of a series of grand corruption cases.
The arrest of the two ministers was an encouraging surprise
for the public and the donor community, both of which had
been largely skeptical of President Kikwete's determination
to pursue senior political figures for public corruption.
End Summary.
2. (U) Basil Mramba and Daniel Yona face charges of abuse of
authority and occasioning loss to the government of over Tsh
11 billion (approx. USD 9 million). The case concerns their
actions in approving the procurement of a British company,
Alex Stewart Assayers (ASA),for gold production assays. The
alleged abuses took place from 2002 to 2005, although ASA
reportedly continued to receive payments through 2007.
Mramba and Yona have been held in prison since their arrests
because of their inability to meet the steep bail terms.
3. (U) The indicted are stalwarts of the ruling CCM party,
having held elected office since the 1980s. Mramba was
Minister of Industry and Trade from 1995 to 2000, then served
as Minister of Finance from 2000 to 2005. In the Kikwete
administration, he was initially Minister of Infrastructure,
then returned to run the Trade ministry until President
Kikwete reshuffled the cabinet in February 2008. He remains
an elected Member of Parliament. Yona was Minister of
Finance from 1996 to 2000 and Minister of Energy and Minerals
from 2002 to 2006.
4. (C) No other indictments have been announced in the ASA
case. Per ref a, the indictment list Prevention and
Combating Corruption Bureau Director Edward Hoseah showed us
in July included Gray Mgonja, Permanent Secretary in the
Ministry of Finance. Mgonja's retirement from government
service, ostensibly for reaching compulsory retirement age,
was announced November 29. On December 1, Tanzanian press
ran reports of a pending indictment against Mgonja.
5. (SBU) The arrests occurred during the General Budget
Support (GBS) Annual Review, which brings together the GOT
and all GBS donors, and a day before the scheduled review of
progress on corruption. PCCB Director Hoseah, presenting the
GOT's achievements, pointed out that several additional cases
are complete and pending approval by the Director of Public
Prosecutions. GBS donors praised the arrests and those in
the EPA case (see ref b) as sending a strong warning to those
who would consider engaging in corrupt activity. The
indictments allowed the donors to rate GOT progress as
"satisfactory" in fighting corruption, a determination that
had been in doubt before November. It appears that all GBS
donors now plan to make their full planned budget
contributions.
6. (C) Hoseah subsequently told Poloff that he was confident
the prosecutions - announced and forthcoming - would be
successful. He said PCCB had been careful to develop strong
cases, since the targets were of such high profile. He also
said the Buzwagi Gold Mine case would be dismissed for lack
of evidence.
GREEN
SIPDIS
AF/E FOR JLIDDLE; INR FOR FEHRENREICH; TREASURY OTA FOR D
VAN KOCH; STATE PASS USAID EAST AFRICA OFFICE
E.O. 12958: DECL: 11/30/2018
TAGS: PGOV KDEM EFIN ECON TZ
SUBJECT: ANTI-CORRUPTION SHOCK AND AWE: EX-MINISTERS
INDICTED AND JAILED
REF: A. A. DAR ES SALAAM 493
B. B. DAR ES SALAAM 778
Classified By: Pol/Econ chief Carl B. Fox for reasons 1.4 (b) and (d)
1. (C) Summary. Two former cabinet ministers, one of whom is
a sitting MP, were brought to court November 25 to face
charges in the second of a series of grand corruption cases.
The arrest of the two ministers was an encouraging surprise
for the public and the donor community, both of which had
been largely skeptical of President Kikwete's determination
to pursue senior political figures for public corruption.
End Summary.
2. (U) Basil Mramba and Daniel Yona face charges of abuse of
authority and occasioning loss to the government of over Tsh
11 billion (approx. USD 9 million). The case concerns their
actions in approving the procurement of a British company,
Alex Stewart Assayers (ASA),for gold production assays. The
alleged abuses took place from 2002 to 2005, although ASA
reportedly continued to receive payments through 2007.
Mramba and Yona have been held in prison since their arrests
because of their inability to meet the steep bail terms.
3. (U) The indicted are stalwarts of the ruling CCM party,
having held elected office since the 1980s. Mramba was
Minister of Industry and Trade from 1995 to 2000, then served
as Minister of Finance from 2000 to 2005. In the Kikwete
administration, he was initially Minister of Infrastructure,
then returned to run the Trade ministry until President
Kikwete reshuffled the cabinet in February 2008. He remains
an elected Member of Parliament. Yona was Minister of
Finance from 1996 to 2000 and Minister of Energy and Minerals
from 2002 to 2006.
4. (C) No other indictments have been announced in the ASA
case. Per ref a, the indictment list Prevention and
Combating Corruption Bureau Director Edward Hoseah showed us
in July included Gray Mgonja, Permanent Secretary in the
Ministry of Finance. Mgonja's retirement from government
service, ostensibly for reaching compulsory retirement age,
was announced November 29. On December 1, Tanzanian press
ran reports of a pending indictment against Mgonja.
5. (SBU) The arrests occurred during the General Budget
Support (GBS) Annual Review, which brings together the GOT
and all GBS donors, and a day before the scheduled review of
progress on corruption. PCCB Director Hoseah, presenting the
GOT's achievements, pointed out that several additional cases
are complete and pending approval by the Director of Public
Prosecutions. GBS donors praised the arrests and those in
the EPA case (see ref b) as sending a strong warning to those
who would consider engaging in corrupt activity. The
indictments allowed the donors to rate GOT progress as
"satisfactory" in fighting corruption, a determination that
had been in doubt before November. It appears that all GBS
donors now plan to make their full planned budget
contributions.
6. (C) Hoseah subsequently told Poloff that he was confident
the prosecutions - announced and forthcoming - would be
successful. He said PCCB had been careful to develop strong
cases, since the targets were of such high profile. He also
said the Buzwagi Gold Mine case would be dismissed for lack
of evidence.
GREEN