Manuel Chang, the former Finance Minister of Mozambique, has been sentenced to 102 months in prison by United States District Judge Nicholas G. Garaufis in Brooklyn. The sentence follows his conviction for conspiring to commit wire fraud and money laundering in a $2 billion international fraud scheme that affected investors globally, including those in the United States. Chang was also ordered to pay $7 million in forfeiture, with restitution to be determined later.
Chang's conviction came after a four-week trial during July and August 2024. He was arrested in South Africa in December 2018 and extradited to the Eastern District of New York in July 2023.
Acting United States Attorney for the Eastern District of New York Carolyn Pokorny emphasized the significance of this sentencing: "Today’s sentence shows that foreign officials who abuse their power to commit crimes targeting the U.S. financial system will meet U.S. justice."
Brent S. Wible, Principal Deputy Assistant Attorney General and head of the Justice Department’s Criminal Division, stated that Chang "abused his position as Finance Minister of Mozambique by obtaining $7 million in bribe payments" which led to substantial losses for investors.
James E. Dennehy, FBI Assistant Director in Charge of the New York Field Office, remarked on Chang's misuse of authority: "Manuel Chang abused his authority as the former Mozambique Finance Minister by helping to obtain billions of dollars in loans," leading to significant financial loss for investors.
The court found that between 2013 and 2016, Chang facilitated securing over $2 billion through loans for maritime projects involving companies owned by the Mozambican government. However, more than $200 million from these loans were diverted for bribes and kickbacks.
In October 2021, Credit Suisse AG and its subsidiary CSSEL admitted defrauding investors concerning an $850 million loan for one such project. They paid approximately $475 million as part of resolutions with authorities in both the U.S. and UK.
The case is handled by several entities within the Justice Department with assistance from international authorities across multiple countries including South Africa and Switzerland.
