Mauritius Court Grants Bail to Former Finance Minister Amid Fraud Charges

A former finance minister and a central bank governor in Mauritius face allegations of embezzling $6.7 million from a state firm. Both deny wrongdoing. The court granted bail amidst government accusations against the previous administration for economic data falsification.

A Mauritian court has granted bail to former finance minister Renganaden Padayachy, who faces charges of fraud linked to alleged embezzlement at a state-owned entity. The financial crimes commission confirmed the decision.

Padayachy, along with former central bank governor Harvesh Seegolam, is accused of siphoning off 300 million Mauritius rupees ($6.7 million) from the Mauritius Investment Corporation, which was established to help businesses cope with the effects of the COVID-19 pandemic. Both Padayachy and Seegolam deny any wrongdoing. Seegolam was granted bail last week.

The allegations have come to light as the government of recently elected Prime Minister Navin Ramgoolam contends that the previous administration, which included the accused officials, misreported economic data concerning growth, budget deficits, and public debt for years. Padayachy's lawyer, Raouf Gulbul, expressed satisfaction with the bail decision and assured that his client is ready to cooperate with further investigations.

(With inputs from agencies.)