Ex-Mozambican Finance Minister Found Guilty in Tuna Bond Scandal

Manuel Chang, former Finance Minister of Mozambique, was convicted in a U.S. court for his involvement in the notorious 'tuna bond' scandal. Accused of taking bribes to secure corrupt loans, Mozambique was left with $2 billion in hidden debt, causing a financial crisis. Sentencing is pending.

Former Mozambican Finance Minister Manuel Chang was found guilty on Thursday in a significant financial conspiracy case stemming from his country's notorious 'tuna bond' scandal. The verdict was delivered by a federal jury in New York.

Chang was charged with accepting bribes to secure loans for government-controlled companies, leading Mozambique into $2 billion of hidden debt and a subsequent financial crisis. U.S. Attorney Breon Peace hailed the verdict as 'an inspiring victory for justice and the people of Mozambique.' Messages seeking comment from Chang's attorneys and Mozambique's Washington embassy were unreturned.

Chang, 48, who served from 2005 to 2015, pleaded not guilty, claiming he acted under government instructions with no personal financial gain. However, prosecutors showcased an international fraud and bribery scheme, with Chang allegedly receiving $7 million in bribes. Sentencing guidelines suggest up to 20 years in prison.

The scandal, unfolding between 2013 and 2016, saw Mozambique's economy devastated, with nearly 2 million people plunged into poverty and significant international investor losses. Mozambique's government has been making arrangements to handle the debt, and several individuals have been convicted domestically. Chang was arrested in South Africa in 2018 and extradited to the U.S. last year.

(With inputs from agencies.)