A lawyer representing a man who allegedly operated a Ponzi scheme and accused of defrauding 79 persons to the tune of N$4.3 million, claimed on Monday that the State obtained records illegally.
Lawyer Appolus Shimakeleni, who represented Sakaria Megameno Namwandi during negotiations with the Bank of Namibia, told Windhoek High Court Judge Naomi Shivute that in his opinion, the records seized by the Namibian Police in conjunction with the Bank of Namibia were done in an illegal manner. He was testifying on behalf of Namwandi in a trial within a trial in which Namwandi is crying foul about financial records the State wants to introduce as evidence. His Legal Aid-instructed lawyer Joseph Andreas claimed the records obtained by the prosecution were done using the incorrect procedures.
Shimakeleni testified that he was representing Namwandi during negotiations with BoN regarding the investment scheme Namwandi was running. According to him, they were working on an amicable solution to prevent the bank from instituting criminal proceedings against his then client. He further said an agreement was reached between Namwandi and the bank, that he would provide them with a list of clients and possibly the contracts he had with them, on condition that no criminal charges be filed with the further condition that Namwandi refunds his investors. However, he said, the bank reneged on their word and manipulated Namwandi into providing them with the documents without adhering to the agreement.
Even though there was not a written agreement, the bank was not allowed to obtain the disputed documents through illegal means, he said.
“You cannot obtain documents for negotiation purposes, and then use those same documents for criminal proceedings against that person,” Shimakeleni stated.
The lawyer said the doctrine of self-incrimination is there to protect citizens. According to him, State institutions have massive resources at their disposal to investigate and find evidence, if any, in the correct manner, and do not have to resort to unlawful tactics.
“You cannot take something with your left hand and hand it to your right hand, and call it two separate entities,” he said in regard to the conjoined investigation of BoN and NamPol. While advocate Constance Moyo told the witness that BoN did their own investigation and then handed the case over to NamPol, Shimakeleni said he stood by his convictions that the evidence was obtained in an unlawful manner. He said criminal prejudice is real when the authorities obtain incriminating evidence against suspects with the assistance of those suspects without them knowing.
Namwandi and his entity are facing 123 charges of fraud, alternatively theft by false pretences; one count of money laundering; one count of racketeering; one count of conducting banking business while not authorised; and one count of conducting a Ponzi scheme. In addition, he is charged with two counts of tax evasion and two counts of failure to pay tax. He denied all the charges. It is alleged that Namwandi was the sole member of Asset Legacy Investment CC, had the duty to conduct legitimate business on behalf of the entity and facilitate the reception of legitimate business funds held at various banks.
The State claims that he formulated and operated a Ponzi scheme in which he, through the entity, advertised two types of investment facilities to members of the public, through face-to-face interactions as well as social media platforms. This was done under the guise that the invested funds would be traded on foreign exchange platforms with a return of 50% within 30 days.
-rrouth@nepc.com.na