The Ministry of Finance has finalised reviewing regulations that will facilitate the operationalisation of the Forfeiture, or Confiscation, fund, The Daily Times has learned.
The regulations will help the government use the K1.5 billion that was confiscated from proceeds of corruption and money laundering.
Government has been failing to use the money due to lack of guiding principles.
Secretary to the Treasury (ST) Betchani Tchereni told The Daily Times that they are done with the review of the regulations.
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He said this is because the Ministry of Finance appreciates the importance of having the regulations in place.
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“Upon thorough review of the regulations that will operationalise the fund, we intend to meet in mid-May.
“However, an exact date will be communicated by the secretariat, which is FIA [Financial Intelligence Authority],” Tchereni said.
On his part, FIA spokesperson Masautso Ebere said the status remains the same, with June 2024 as the targeted timeline for the completion of the process.
“We are still dealing with process activities to arrive at the outcome [issuance and implementation of the regulations],” Ebere said
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Director of Public Prosecutions Masauko Chamkakala also confirmed separately that guidelines on how to use the K1.5 billion, which is stuck in the Confiscation Fund after being recovered from corruption suspects, are ready.
“The technical committee met and worked on the Draft Regulations of the Fund and forwarded the same to the Secretary to the Treasury. We are waiting for the ST to call for a meeting of the National Committee [that has been] working on this,” Chamkakala said.
The money, which is in excess of K1.5 billion, as well as other assets that are under the Confiscation Fund were recovered from corruption and Cashgate suspects.
However, failure to use the same has riled Human Rights Defenders Coalition, whose chairperson Gift Trapence said the regulations should come into effect as soon as possible.
“The regulations should follow the Angolan way, where the government is putting in the Confiscation Fund money and property repossessed from citizens, including fugitives that are hiding in other countries. This is bringing money to that country,” Trapence said.
In 2022, government engaged United Kingdom-based asset recovery specialist Carolyn Lamptey to help in the fight against corruption and the recovery of assets.
Section 48(2) of the Financial Crimes Act of 2017 provides for the use of courts in ordering the forfeiture of tainted property.
