Five Criminal Probes Target Mozambique's LAM as Restructuring Pressures Mount
The troubled restructuring of Mozambique's national carrier has taken a dramatic turn. The country's anti-corruption authorities have opened five separate criminal investigations into Linhas Aéreas de Moçambique, widely known as LAM, focusing on allegations of financial misconduct, procurement irregularities and questionable fleet-related transactions. The probes add a serious legal dimension to what was already one of the most closely watched airline restructuring efforts on the continent.
For those who have been following the LAM story, this development does not come entirely as a surprise. The Mozambican government, as majority shareholder, had already ordered a forensic audit covering a full decade of the airline's financial records, a process that was widely seen as a precursor to deeper accountability measures. The decision to move from audit to active criminal investigation signals that authorities believe there is sufficient evidence to pursue formal legal proceedings against individuals or entities connected to the airline's management and procurement practices.
The areas under scrutiny — financial misconduct, procurement and fleet transactions — touch on some of the most sensitive and costly aspects of running an airline. Fleet decisions in particular involve enormous sums of money, whether through aircraft purchases, lease agreements or maintenance contracts. When governance over these transactions is weak or compromised, the financial damage can be severe and long-lasting. For LAM, an airline that has been battling fleet constraints, operational downsizing and deep financial pressures for years, any mismanagement in these areas would have directly contributed to the crisis the carrier now finds itself in.
The investigations also raise important questions about oversight and corporate governance within state-owned airlines across the continent. LAM is not the first African flag carrier to face allegations of financial irregularities, and it is unlikely to be the last. The pattern is familiar — limited transparency, weak board oversight, political interference in commercial decisions and procurement processes that do not always follow best practice. For governments that own or control national airlines, the LAM case serves as a pointed reminder that accountability must be built into the system from the start, not applied after the damage is done.
For travel professionals across sub-Saharan Africa, the unfolding legal proceedings add a layer of uncertainty to an already complex picture. LAM's restructuring, which includes engagement with consultancy firm Knighthood Global on financial restructuring and fleet evaluation, as well as reported discussions with Ethiopian Airlines on pilot training and operational support, is expected to result in significant changes to the airline's staffing levels, route network and fleet composition. Criminal investigations running in parallel could complicate negotiations with potential partners and investors, who will inevitably want assurance that the legal issues are being resolved before committing resources.
At the same time, there is an argument that the investigations represent a necessary and ultimately positive step. Cleaning house — however painful — is often a prerequisite for genuine transformation. International partners, lenders and lessors are far more likely to engage with an airline that has confronted its past transparently than with one that has swept problems aside. If the Mozambican authorities follow through with credible and fair proceedings, the process could ultimately strengthen confidence in LAM's future rather than undermine it.
The stakes are high, not just for the airline but for Mozambique's broader tourism and economic ambitions. A functioning national carrier is essential for connecting the country's tourism assets — from the Bazaruto Archipelago to the wildlife reserves of the north — with international markets. The recent launch of a modernised eVisa and Electronic Travel Authorisation system shows that the government is serious about attracting more visitors. But without reliable domestic and regional air connectivity, much of that effort risks being undermined.
The African travel trade should continue to monitor developments around LAM closely. The outcome of these five investigations, combined with the progress of the restructuring programme, will determine whether Mozambique's flag carrier emerges as a credible and competitive operator or remains trapped in a cycle of decline. What happens next in Maputo could offer lessons for every African nation grappling with the challenge of building sustainable national airlines.
