African civil servant stashed bribes in Jersey trust

Tuesday 07 March 2023

Deception and bribery in Mozambique sparked a Royal Court case that ended with a forfeiture of almost £780,000 in ill-gotten funds from a Jersey trust last week.

The Royal Court heard that a former civil servant from the African state who had received corrupt payment set up the Tolvex Trust in 1996.

A press statement from the Law Officers' Department said Carlos Fragoso, formerly in charge of road and bridge maintenance in Mozambique, had set up the trust in 1996 and deposited the money into a Jersey bank account.

The statement said Fragoso had falsely stated that he was a civil engineer seeking to benefit his family with savings from former earnings.

Pictured: The case was heard in the Royal Court last week.

The statement continued: "In 2013, the Royal Court found that Fragoso had settled another Jersey trust, using the same deception, and that the contents of this trust were the proceeds of bribes paid to him by firms wanting to secure construction contracts.

"Fragoso had been unable to explain the funds, which vastly exceeded his legitimate income, and they were returned to the government of Mozambique."

Suspicions arose that the Tolvex Trust might also contain tainted funds resulting from of bribery and corruption, leading to an investigation under the Forfeiture of Assets law passed in 2018 and culminating in last week's case.

Pictured: Attorney General Mark Temple KC.

Attorney General Mark Temple KC said: "This is a good example of the use of the summary procedure to forfeit tainted assets and also of the benefit Jersey’s 'no consent' regime (which differs from that of the UK) where there is a suspicion that the assets are the proceeds of crime."

Mr Temple said he intended to start negotiations with the relevant authorities so that the funds could be returned to the people of Mozambique.