Former Mozambican finance minister Manuel Chang has been sentenced to over eight years in prison for his involvement in the “hidden debt” scandal that plunged his country into an economic crisis.
Chang, 69, was convicted in a US court in August for his role in securing $2 billion in secret loans for Mozambique in 2013 and 2014, which were used to buy a tuna-fishing fleet and surveillance vessels.
The loans were concealed from the country’s parliament, but their revelation in 2016 led to a financial crisis and the withdrawal of international aid, including from the IMF and World Bank.
An audit found that $500 million of the loans had been misappropriated, and Chang was accused of receiving $7 million in bribes.
He was convicted of conspiracy to commit wire fraud and money laundering and sentenced to 102 years in prison, though he may serve only 2.5 more years after spending six years in detention.
The case serves as a warning that foreign officials who exploit their power will face consequences in the US justice system, officials stated.
