Tanzanian Minister Sacked Over Power Scandal

Tanzanian President Jakaya Kikwete on Monday relieved Land, Housing and Human Settlements Minister Anne Tibaijuka of her cabinet post.



Tibaijuka, a former UN-Habitant director, was sacked soon after her name had appeared in a list of top government officials accused of receiving money from James Lugemalila, one of the owners of the Independent Power Tanzania Limited.



The minister had received money illegally withdrawn from a joint ESCROW (holding) Account, known as the Tegeta account, amounting to 1.6 billion Tanzanian shillings, which was directly deposited into her personal bank account, according to a report by the office of the Controller and Auditor General.



"After receiving the Controller and Auditor General's report, an investigation report from the Prevention and Combating Corruption Bureau (PCCB) and recommendations from Parliament, Tibaijuka should give a chance for someone else to be nominated in that post," President Kikwete said.



The President added in a televised address that the future of the career of Energy and Minerals Minister Sospetr Muhongo would be decided by the results of an investigation he had ordered to establish all allegations against him.



"After receiving the reports, I will take reasonable measures according to law, regulations and the Public Service Ordinance," Kikwete said.



He said he had ordered state agencies to conduct thorough investigations around the permanent secretary of the Energy and Minerals Ministry Eliakim Maswi, one of four top government officials parliament had asked the President to sack over the Tegeta ESCROW scandal.



"After investigation, Maswi's fate will be decided according to law and the Public Servants' Ordinance," the President said.



Apart from Tibaijuka, Muhongo and Maswi, Tanzania's parliament also asked the President to relieve Judge Fredrick Werema of his post as Attorney General.



Werema submitted his resignation voluntarily last week.



Kikwete said his government was ready to comply with some of the recommendations made by parliament, including the revision of all power investment contracts and the law, which established the PCCB.



"The government has been engaged in PCCB reform since 2008," the President said during his 2-hour televised address.



"In these reforms, we aim to build investigation and prosecution skills and the abilities of the PCCB staff," he added.



He noted that the government's obligation was to strengthen the PCCB, saying that this would also strengthen the fight against what he described as "grand corruption."



The President vowed to engage government organs, including the Financial Intelligence Unit, in investigations over banks involved in the alleged illegal transaction to ensure whether there was any kind of money laundering related to transactions in the ESCROW Account.



The ESCROW Account scandal has gripped Tanzania for a couple of months since it was firstly revealed by the Kigoma South Member of Parliament, David Kafulila.



Senior government officials are being accused of being involved in the corruption saga by allowing and reinforcing the decision to withdraw at least $122 million of public funds for the sake of a private company.



Apart from top government officials, the scandal will likely consume other public servants, including some members of parliament whose names were also in the list of those who received money drawn illegally from the ESCROW Account.



www.aa.com.tr/en - Dodoma