Mgonja still in jail

Lawyers for former Permanent Secretary Gray Mgonja, who is facing charges of abuse of office and occasioning a 11.7b/- loss, are yet to manifest an intention of seeking a removal order for the accused to facilitate the bail process.

Resident Magistrate Newton Mwankenja said the sureties of the accused, who is held at Keko Remand Prison, had not filed any title deeds with the court to show their intention of bailing the accused.

He also said the prosecution was supposed to substitute the charge by joining the accused with two former Cabinet Ministers Basil Mramba and Daniel Yona, therefore allowing relaxed bond conditions.

The magistrate said once the defendant was joined with the other two, there would be an issue of cost sharing and the value of money or title deed produced in court would be less than currently set.

Mgonja is charged with abuse of office by arbitrarily ignoring the recommendations of the Tanzania Revenue Authority (TRA) not to grant tax exemptions to M/S Alex Stewart (Assayers) Government Business Corporation.

In the second and third counts, it is alleged that between December 18 and 19, 2003 he arbitrarily processed and issued GN no. 423/2003 and GN no.424/2003 which granted full tax exemptions to the said company contrary to TRA proposals.

In the fourth count, it was alleged that between 14 and 15 October 2004, he abused his authority by arbitrarily issuing GN no. 497/2004 and GN no. 498/2004, which granted complete tax exemptions to the said organisation, contrary to TRA recommendations.

In the fifth and sixth counts, it was alleged that on November 15, 2005 he abused his authority by issuing GN no. 377/2005 and GN no. 378/2005, thus granting tax exemption to the said firm against TRA advice.

In the final count, it was alleged that between 2003 and 2007, he willfully failed to take reasonable care to discharge his duties in a reasonable manner and unjustifiably signed government notices no. 423/2003, 424/2003, 497/2004, 498/2004, 377/2005 and 378/2005 which had the effect of exempting the said company from paying income tax, thereby occasioning loss to the tune of 11,752,350,148/-.

Mgonja was required to deposit cash or title deed worth 5.9b/- and bring two sureties who would sign a bond of the same amount. He was also ordered to surrender his passport and not to leave Dar es Salaam without the court`s permission.

The accused was able to meet only one bail condition after producing two sureties from the Ministry of Finance.
The case was adjourned to December 29 this year.

SOURCE: Guardian