- Associated Press - Friday, November 1, 2019

JOHANNESBURG (AP) - Former Mozambique finance minister Manuel Chang faces the prospect of being extradited to the United States to face trial after a South African court on Friday ruled against him being sent to his home country.

Chang’s fate is now with South African Justice Minister Ronald Lamola after the court set aside his predecessor’s decision to extradite him to Mozambique. Lamola has asserted that the southern African nation has not shown seriousness in prosecuting him.

Chang was arrested in South Africa last year on the request of the U.S. government in relation to the scandal involving $2 billion worth of secret loans guaranteed by Mozambique’s government during his tenure from 2005 to 2015.

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Companies set up by Mozambique’s secret services and defense ministry borrowed the $2 billion in secret to set up maritime projects that never materialized but allegedly enriched a range of local and foreign players.

The fallout affected some U.S. investors.

Mozambique is now trying to legally disavow part of the debt and restructure another part, which the country will be repaying for years to come.


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