Lukhele’s Church Ties to ANC Raise Red Flags on Money Laundering

A recent investigation into the financial dealings of a prominent Eswatini church leader has uncovered a web of suspicious transactions with top officials from South Africa’s ruling African National Congress (ANC). The findings suggest that lax control and exemptions due to the church’s religious status may have attracted criminal elements, including money launderers.

Web of Suspicious Transactions

The investigation reveals that Lukhele, the head of All Nations Christian Church, made large payments to Themba Masuku, a former deputy prime minister of Eswatini, between 2018 and 2020. The payments totalled over $206,000, with some transactions occurring shortly after Masuku’s son received similar amounts from his law firm.

Red Flags for Money Laundering

The investigation has flagged several red flags for money laundering:

• Large, rounded-off amounts
• Immediate withdrawals in cash
• Transactions involving family members
• Suspicious dealings with ANC officials

These findings raise concerns about the effectiveness of Eswatini’s Anti-Corruption Commission and highlight the need for stricter regulations and monitoring in the financial sector to prevent criminal activities.

Investigation Underway

The Eswatini police and Anti-Corruption Commission have launched an investigation into Lukhele’s activities, but the matter remains under investigation. Two of his banks, FNB and Nedbank, have also terminated their relationships with him due to concerns over reputational risks and suspected money laundering.

Questions Raised About Independence and Transparency

The case raises questions about the independence and transparency of Eswatini’s Anti-Corruption Commission, which is appointed by the king. The commission has often been criticized for its effectiveness in combating corruption.

Conclusion

The findings suggest that lax control and exemptions due to the church’s religious status may have attracted criminal elements, including money launderers. The investigation highlights the need for stricter regulations and monitoring in the financial sector to prevent criminal activities. The case also raises questions about the independence and transparency of Eswatini’s Anti-Corruption Commission.

Recommendations

• Strengthen regulations and monitoring in the financial sector
• Improve transparency and accountability of government agencies
• Enhance cooperation between law enforcement agencies to combat money laundering