Financial Crime World

Corrupt Practices Act: Special Powers for Investigation

Strengthening Anti-Corruption Efforts in Malawi

The Corrupt Practices Act has been amended to grant special powers to the Director of the Bureau of Standards and Quality Services, aimed at cracking down on corruption in Malawi.

New Investigation Powers

According to the amendments, which came into effect on [date], the Director can:

  • Require any person suspected of involvement in corrupt activities to furnish information about their financial transactions and property
  • Serve notices on suspected individuals, requiring them to provide sworn statements about any moneys or other property sent out of Malawi during a specified period
  • Request information from banks and other financial institutions about the accounts and transactions of suspected individuals

Enhanced Cooperation from Financial Institutions

The amendments also require:

  • The Commissioner of Taxes to furnish all information in his possession relating to the affairs of suspected persons, as well as produce or furnish documents related to their activities
  • The Manager of any bank to provide information or original account statements for any suspected person

Consequences for Non-Compliance

Failure to comply with notices served by the Director may result in legal consequences.

Ensuring Cooperation and Bail

In cases where a suspect or accused individual is about to leave Malawi, the Director or an authorized officer can apply to court for bail to ensure their return and cooperation with investigations.

Criminalizing Obstruction of Investigations

The amendments also criminalize:

  • Obstructing officers of the Bureau in the execution of their duties
  • Giving false information or reports to the Bureau
  • Making false accusations against individuals under investigation

Identity Cards and Arrest Powers

The Director and other officers of the Bureau are required to have identity cards, which shall be prima facie evidence of their appointment as such. The Director may arrest any person reasonably suspected of committing or about to commit an offence under the Act.

Objectives of the Corrupt Practices Act

The Corrupt Practices Act is designed to prevent corruption and promote transparency in public life in Malawi. The amendments aim to strengthen the Bureau’s powers to investigate and prosecute corrupt activities, and to deter individuals from engaging in such behavior.

Sources:

  • Corrupt Practices Act No 17 of 2004
  • Government Gazette [insert date]