10 Nov 2020

Justice Mokwadi Gabanagae has ruled that there is sufficient evidence to support the three counts faced by Carter Morupisi, wife Pinny and R7 Group Pty Limited.

Ruling on the defence’s no case to answer affidavit November 10, Judge Gabanagae said the issue of contention was whether Carter Morupisi signed a contract between Botswana Public Officer Pension Fund (BPOPF) and Capital Management Botswana (CMB) without a BPOPF board of trustees resolution. 

Another issue was the Toyota Land Cruiser that exchanged hands between South Africa’s Manor Squad Services and R7 allegedly as valuable consideration while the defence insists it was bought through Carter Morupisi’s savings. 

Justice Gabanagae said the argument at hand was that Morupisi allegedly signed a contract with CMB at a time when activities of the BPOPF board were suspended pending nomination of the employee trustees and therefore doing so without the board’s authorisation.

He said it had been established through evidence that at the time when the contract was signed, the court order which suspended the board was still active.

Nominated employee trustees,  must first go through vetting and screening by the Non-Banking Financial Institutions Regulatory Authority (NBFIRA) and that process was not completed at the time Carter Morupisi signed the contract, the judge said.

He said  the state had proved that by signing the contract without the board’s authority, Carter Morupisi had reason to believe or to know that he was destined to gain valuable consideration which had since been established as a Toyota Land Cruiser vehicle. 

Judge Gabanagae said based on the price of the vehicle, the contention that it was second-hand vehicle defied logic. 

Another puzzling issue was the fact that former CMB director Rapula Okaile was also once a director at Manor Squad Services. 

Also surprising was that although Morupisi (Carter) had agreed to pay for the vehicle by monthly installments, he had made a payment of R40 000 in one year and only started paying monthly when an investigation into the matter was launched, said the judge.

Judge Gabanagae said since the vehicle was bought by Manor Squad Services on behalf of R7 Group, who later paid back the money in the form of installments, it was probable the accused persons got a loan from the South African company which still fell within the definition of valuable consideration. 

Based on the huge amount paid for a supposed second-hand vehicle, Pinny Morupisi was in a position to establish that it was probable the vehicle was proceeds of a crime. 

Judge Gabanagae said Carter Morupisi was the only person in a position to explain why the contract making CMB BPOPF assets manager was signed without the board’s resolution. 

Pinny Morupisi, he said, must explain why her company received a vehicle from Manor Squad Services.

Responding to the ruling, defence attorney, Mr Busang Manewe said he still needed to consult his clients and requested a transcribed record of both the case and the ruling. 

The former PSP is facing two counts of corruption and on another count, is jointly charged with R7 Group and his wife on a count of money laundering.

The case is set to continue on January 26. ends