Authorities in Mauritius have arrested two high-ranking figures from the previous administration—former Finance Minister Renganaden Padayachy and ex-Central Bank Governor Harvesh Seegolam—over their alleged roles in the embezzlement of state funds, marking a major escalation in the country’s anti-corruption drive.
The arrests were confirmed by the Independent Commission Against Corruption (ICAC), which said fresh evidence had surfaced linking the pair to the misappropriation of 300 million Mauritian rupees (approximately $6.7 million) from the Mauritius Investment Corporation (MIC), a state-backed fund created to support businesses during the COVID-19 crisis.
Both Padayachy and Seegolam have denied any wrongdoing. Efforts to reach them for comment following Wednesday’s arrest were unsuccessful.
The MIC, launched at the height of the pandemic, was tasked with cushioning the economic blow to the private sector. However, investigators now suspect that a significant portion of its funds may have been diverted for illicit purposes during the previous administration’s tenure.
Prime Minister Navin Ramgoolam, who returned to office after his party’s victory in the November 2024 general elections, has ordered a sweeping audit of the country’s public finances. His administration accuses the former leadership of systematically distorting national financial data—including economic growth rates, fiscal deficits, and public debt figures—over several years.
This is not the first time Seegolam has come under legal scrutiny. His latest detention underscores a growing push by Ramgoolam’s government to hold former officials accountable for alleged financial mismanagement.
The investigation remains active, with the ICAC expected to pursue further leads as it attempts to trace the flow of public funds. The arrests have sparked public debate on the depth of financial malpractice under the previous regime and raised broader concerns about transparency and accountability in state institutions.
As the probe unfolds, many Mauritians are watching closely to see whether this moment signals a genuine shift toward stronger governance—or just another political cycle of blame.