Mozambique's former Finance Minister, Manuel Chang, pleaded not guilty to charges of electronic fraud, securities fraud and money laundering, when he appeared on Thursday, before judge Nicholas Garaufis, in a court in Brooklin, New York. York
The Reuters agency stated that the judge also denied bail of one million dollars to await trial in freedom, considering that there is a risk of flight, as, according to the magistrate, Chang could enter the Mozambique Mission to the United Nations , a country with which the United States does not have an extradition agreement.
However, prosecutors also advocated that he remain in prison.
“The evidence regarding his responsibility is strong,” said Judge Garaufis, implying that the former minister’s lawyers will have a long battle ahead.
Chang is responsible for his role in the scandal known as “hidden debts” which defrauded the Mozambican State of around two billion dollars and which also involved Credit Suisse Group AG and the company Privinvest, based in Abu Dhabi.
American prosecutors said at least $200 million was diverted to several defendants and Mozambican government officials.
The indictment asserts that Chang secretly had the Government guarantee the loans in exchange for bribes, and that the three companies were actually “frontmen” for Chang and other defendants to enrich themselves.
The scheme misled American investors about Mozambique's credibility, prosecutors concluded.
Prosecutors say Chang personally pocketed $5 million in bribes.
“The defendant was a senior government official in Mozambique and his actions helped devastate the economy of one of the poorest nations in the world,” concluded prosecutors Hiral Mehta and Jonathan Siegel in a letter to the court.
Innocent and received no crumbs
The former minister's lawyer, Adam Ford, said in court that Chang guaranteed the loans in his capacity as minister and did not accept crumbs.
“He intends to stay here and fight these charges,” Ford assured.
Among the other defendants in the case was Jean Boustani, a salesman for the shipbuilding company Privinvest and accused of bribing officials and bankers.
He was acquitted at trial in December 2019 after proving he had no role in guaranteeing the loans for investors.
Three former Credit Suisse bankers pleaded guilty in 2019.
The Bloomberg agency writes that if found guilty, Manuel Chang could face a sentence of up to 55 years.
