ACFE Namibia

August Hotspot

⚖️ Namcor “Fuelrot” Scandal: N$480 Million Fraud & Corruption
- In late July, Austin Elindi (Erongo Petroleum) and Connie Berro van Wyk (CEO of Enercon Namibia) stood accused in a major Namcor corruption trial involving an estimated N$480 million in fraudulent fuel deliveries.
- The charges include fraud, money laundering, and bribery:
- Alleged failure to pay Namcor for bulk fuel deliveries (over N$238 million).
- A bribe of N$500,000 to a Namcor finance executive (Jennifer Hamukwaya) to bypass credit limits.
- The case features extensive bail and legal proceedings, with key accused kept in custody pending trial.

What We Learn:
- The importance of rigorous fuel reconciliation and credit limits in State-owned enterprises.
- The effectiveness of financial integrity frameworks and whistleblower engagement.
- Enforcement of the Anti‑Corruption Act with strict investigational oversight.

🏛️ The Broader Namcor Case: Institutional Breakdown
- Authorities have charged at least 12 individuals in connection with Namcor-related fraud and money laundering, indicating high-level collusion.
- No internal probe at Namcor prior to arrests highlights a systemic lack: institutional self-monitoring failed.

Lesson for Governance:
- SOEs must enforce independent oversight, internal audits, and confidential reporting routes.
- Clear anti-bribery policies and routine compliance reviews are indispensable in high-risk sectors.

🌐 What This Means for ACFE Namibia and Sector Professionals

1. Strengthen Whistleblower Protections
- Secure reporting channels must exist within state entities like Namcor, backed by confidentiality and anti‑reprisal policies.
- Encourage all staff to report suspicious behaviour — even at leadership levels.
2. Procurement & Supply Chain Vigilance
- Public contracts involving fuel, transport, and logistics must carry independent due diligence checks and third-party validation.
- Establish tiered credit thresholds and reconciliation mechanisms to detect anomalies early.
3. Cross-Institution Oversight
- When multiple companies and individuals are implicated, it often reflects systemic risk, not just isolated wrongdoing.
- Collaboration between ACC, internal audit, and private compliance roles is crucial to detect and deter corrupt networks.
4. Culture & Risk Awareness
- Raise awareness among executives and board members about the personal legal and reputational risks of bribery and fraud.
- Implement recurring training—and real-case simulations—to strengthen ethical behaviour across sectors.

📊 Namibia Fraud & Corruption Snapshot – June 2025

1. Swift action by Financial Intelligence Center
FIC froze approximately N$96.9 million (~US$5.4m) linked to fraud, tax evasion, corruption, and trade‑based money laundering under Section 42 of the Financial Intelligence Act

2. Drought‑relief food fraud arrests
Three individuals, including a regional council official and two contractors, were arrested over a N$4 million fraud scheme tied to drought relief supplies in Katima Mulilo.

3. N$3.2 million weighbridge fraud investigated
Two accused were granted bail after being charged with N$3.2 million weighbridge invoice fraud, involving an alleged fake delivery to the Roads Authority.

🔍 Broader Context
EU flags Namibia as high‑risk in June 2025, citing concerns over money‑laundering frameworks, increasing pressure on local authorities to enforce AML regulations.
Enforcement activity is expected to intensify as Namibia strives to address FATF grey‑list mandates by May 2026.

🗣️ Why It Matters
Reflects stronger regulatory coordination between FIC, ACC, NamRA, and Prosecutor‑General’s Office.
Signals mounting risks for government procurement and public‑sector supply chains.
Elevates NAMRA and international pressure to tighten AML/CFT compliance.

✅ Implications for Professionals
Governance & risk teams should remain alert to red flags in procurement, cross‑border transactions, and financial reporting.
Compliance officers need proactive approaches to AML risk assessments, supplier due diligence, and whistleblower protections.
Policy stakeholders can view this enforcement wave as an opportunity to strengthen Namibia’s anti‑corruption architecture.

🔍 May 2025: A Snapshot of Namibia's Ongoing Battle Against Corruption

As May draws to a close, Namibia continues to grapple with significant corruption and fraud cases that underscore the need for vigilance and systemic reform.

Key Developments:
Fishrot Scandal: The trial of the Fishrot Six, involving former ministers and business executives accused of a multi-million-dollar fishing quota bribery scheme, remains a focal point. Recent court proceedings have highlighted the complexity and international scope of the case.

Roads Authority Fraud: Two individuals, including a Roads Authority employee, were arrested for allegedly orchestrating a fraudulent N$3.2 million weighbridge supply deal. The case emphasizes vulnerabilities in public procurement processes.

Drought Relief Scheme Misconduct: Three suspects, among them a Zambezi Regional Council official, face charges related to a fraudulent N$4.1 million drought relief food supply scheme. The case raises concerns about the management of emergency aid funds.

ACC's Focus Questioned: The Anti-Corruption Commission (ACC) faced criticism for pursuing minor cases, such as a traffic officer accused of misappropriating N$750, while larger corruption cases await action. This has sparked a debate on prioritizing anti-corruption efforts.

These cases highlight the ongoing challenges in combating corruption and the importance of robust oversight mechanisms. As professionals committed to integrity and transparency, staying informed and engaged is crucial.

Ever thought about joining the fight against fraud and corruption in Namibia? Become part of the ACFE community — where integrity meets action.

Let’s protect what matters. Join us today.

Your Roundup of Fraud and Corruption Cases in Namibia for April 2025:

1. NamRA Tax Refund Fraud Scheme
The Namibia Revenue Agency (NamRA) uncovered a fraudulent tax refund scheme involving over N$666,000 paid out to 47 individuals between January and April 2025. The scheme exploited the Mass Tax Refund Initiative, with perpetrators registering unemployed individuals—often without their knowledge—to claim refunds dating back to 2011. Funds were disbursed through mobile and digital wallets. A NamRA staff member was suspended, the secondment of a Ministry of Finance official was revoked, and three suspects were arrested and appeared in the Windhoek Magistrate’s Court.

2. Fishrot Scandal: Failed Legal Challenge
Seven accused in the ongoing Fishrot corruption case attempted to prevent their transfer within the Windhoek Correctional Facility. The High Court dismissed their application due to procedural non-compliance. The accused, including former ministers and Fishcor executives, are set to stand trial starting 4 August 2025.

3. Minister Mac-Albert Hengari Dismissed
President Netumbo Nandi-Ndaitwah dismissed Agriculture Minister Mac-Albert Hengari on 27 April 2025 following his arrest on r**e charges. The dismissal aligns with the president's commitment to zero tolerance for corruption and misconduct.

4. Roads Authority Weighbridge Fraud Arrest
The Anti-Corruption Commission (ACC) arrested a suspect in connection with fraud at the Roads Authority's weighbridge operations. Details on the case are limited, but the arrest underscores ongoing efforts to combat corruption in public institutions.

5. Investigation into August 26 Construction
The Namibian Police in the ||Kharas Region confirmed an active investigation into fraud involving August 26 Construction, a subsidiary of the state-owned August 26 Group. The company has faced previous allegations of corruption and mismanagement.

Congratulations, Annemari Krugel, CFE!

We’re incredibly proud to celebrate Annemari’s latest achievements and well-deserved recognition, as first-ever Africa Representative to be nominated to serve on the Board of Regents of the ACFE. As a director in BDO’s forensic services department, Annemari leads a dedicated team specialising in fraud investigations, anti-corruption compliance, forensic technology, and financial reporting disputes. With over 37 years of experience—from her beginnings as a senior prosecutor and magistrate to her current role guiding complex forensic investigations—she has consistently demonstrated leadership, integrity, and a passion for justice.

Annemari’s appointment to the ACFE South Africa Board of Directors, service as Vice President of ACFE SA, recent speaking engagement at the University of Cambridge’s International Symposium on Economic Crime, and feature as an expert on white-collar crime in Financier Worldwide are testament to her exceptional commitment to fighting financial crime.

Join us in congratulating Annemari on her continued success and in thanking her for her invaluable contributions to the field!

🎉 Happy Holidays from ACFE Namibia! 🎉

As the year comes to a close, we want to extend our heartfelt gratitude to all our members, partners, and supporters for making 2024 a remarkable year.

✨ May your holidays be filled with joy, peace, and cherished moments with loved ones. Here’s to a prosperous and impactful 2025 as we continue our mission to promote integrity and combat fraud in Namibia and beyond.

Stay safe, stay inspired, and see you in the new year!

Warm wishes,
The ACFE Namibia Team 💙