Dar es Salaam. Three employees of the Medical Stores Department (MSD), including a senior accountant and pharmacists, alongside three local government employees, have been arraigned before the Kisutu Resident Magistrate’s Court, facing 37 charges including theft of medicines and medical equipment worth Sh5.537 billion, belonged to MSD.
The accused are also alleged to have intentionally caused MSD a loss of Sh14.6 billion.
The accused in Economic Sabotage Case No. 7833 include Senior MSD Accountant, a resident of Kibamba Shule, Mr Suddi Abas.
Others, all pharmacists, are residents of Manga Veta, Mr Petro Mdegela(42); a resident of Isyesye in Mbeya Region, Mr Rashid Hassan (34); a resident of Manga Veta, Mbeya, Mr Edward Tengulaga (40); a pharmacist at Momba District Council in Songwe Region, Mr Jackson Mahigi (39) and a pharmacist in Singida District and a resident of Mandewa, Ms Wema Mohamed (39).
The accused are also alleged to have laundered Sh5.537 billion by purchasing farms, plots, vehicles, constructing residential and rental houses, establishing a transport company, opening a hardware shop and operating pharmacies.
They were brought to court on Monday evening, April 13, 2026, where the charges were read by Senior State Attorney Clara Chame before Principal Resident Magistrate Aaron Lyamuya.
However, before the charges were read, Magistrate Lyamuya informed the accused that they were not required to enter any plea because the court lacks jurisdiction to hear economic sabotage cases unless authorised by the Director of Public Prosecutions (DPP).
He further noted that the money laundering charges they face are not bailable, and therefore they will remain in remand custody.
After this explanation, State Attorney Chame proceeded to read the charges.
Out of the 37 charges, 31 relate to money laundering, three to theft by public servants, two to cause financial loss to a public institution and one to lead a criminal gang.
According to the prosecution, the first charge is leading a criminal gang.
The accused are alleged to have, between July 1, 2021 and June 30, 2025, in various areas of Dar es Salaam, Mbeya, Songwe, Dodoma, Singida and other parts of the United Republic of Tanzania, wilfully led a criminal gang to commit theft while employed as public servants.
The second charge is theft by a public servant, facing Mr Abas, Mr Mdegela, Mr Hassan and Mr Tengulaga.
They are accused of, between July 1, 2021 and June 30, 2025, in various areas of Dar es Salaam and Mbeya, stealing medicines and medical supplies worth Sh2.695 billion belonging to MSD, which had come into their possession by virtue of their employment.
The third charge is theft, facing Mr Abas, Mr Mdegela, Mr Hassan and Mr Mahagi.
On the same dates and locations, they are alleged to have stolen Sh2.592 billion belonging to MSD, which had come into their possession through their employment.
The fourth charge is theft by MSD employees, facing Mr Abas and Ms Mohamed.
They are accused of, between January 1, 2023 and June 30, 2025, in Dar es Salaam, Dodoma and Singida, jointly stealing Sh250 million belonging to MSD.
It was further alleged in court that the fifth charge is causing financial loss, which applies to Mr Abas alone.
He is accused of, during the said period at MSD offices in Keko, Temeke District, intentionally causing a loss of Sh9.1 billion to MSD.
Another charge of causing financial loss applies to all the accused, who are alleged to have caused MSD a loss of Sh5.537 billion over the same period and regions.
The seventh charge is money laundering, which applies to all the accused.
They are alleged to have laundered Sh5.537 billion, knowing that the funds were proceeds of theft committed while they were public servants.
Charges eight to 10 relate to money laundering against Mr Tengulaga alone.
He is accused of, between January 2021 and April 2025 in Sinjilili area, Chunya District, laundering Sh2.695 billion by purchasing a plot and constructing eight houses, three residential houses in Manga Veta, Mbeya, and five rental apartments in Chunya—while knowing the funds were proceeds of theft committed during his employment.
Charges 11 to 20 relate to money laundering against Mr Mdegela.
He is accused of, between July 1, 2021 and June 2025 in Mwansekwa, Manga Veta in Mbeya Region, laundering Sh2.695 billion and Sh5.537 billion by constructing residential houses in the area.
He is also alleged to have purchased seven plots, established a transport company named Zenati Investment Limited and opened a hardware shop in the region, knowing the funds were proceeds of theft committed during his employment.
Charges 21 to 25 relate to money laundering against Mr Mahagi.
He is accused of, during the said period in Manga Veta and Mwansekwa in Mbeya Region, as well as Mlowo and Nyiimbiri Lukutululi in Songwe Region, laundering Sh5.595 billion by purchasing plots and farms, including planting timber trees on four acres in Vwawa.
Mr Mahagi is further alleged to have used the funds to construct a house in Manga Veta and open a pharmacy known as Mseke Pharmacy in Soweto, knowing the money was proceeds of theft committed during his employment.
Charges 25 to 37 relate to money laundering against Md Mohamed alone.
She is accused of, during the said period in Singida, Dar es Salaam, Dodoma and Coast regions, laundering Sh250 million by constructing three houses in Singida.
She is also alleged to have purchased three plots located in Ilazo (Dodoma), Kijitonyama Ally Maua (Kinondoni) and Kibada (Kigamboni).
Ms Mohamed is further accused of purchasing three vehicles—Toyota IST, Premio and Audi—and opening three pharmacies: Setif Pharmacy (Singida), Vagas Pharmacy (Singida) and Mig Pharmacy in Gongo la Mboto, Dar es Salaam, knowing the funds were proceeds of theft committed during his employment.
The prosecution told the court that investigations are ongoing and requested another date for mention.
The accused are represented by advocates Method Kagoma, Raymond Swai, Musa Mhagama and Seif Wembe.
Magistrate Lyamuya adjourned the case to Monday, April 27, 2026 for mention.
The accused were remanded in custody as the money laundering charges they face are not bailable under the law.
