THE Government has questioned the calibre of opposition leaders like Lusaka business executive Geoffrey Mwamba seeking to be in Government when he has failed to settle a K2.4 billion debt to the Food Reserve Agency that takes care of peasant farmers.
Minister of Agriculture Peter Daka wondered yesterday why Mr Mwamba had failed to settle a 1998 loan from FRA which he now was claiming was petty cash to him when the same money works as a revolving fund to pay poor peasant farmers.
Mr Mwamba at a Press briefing yesterday boasted that he would today settle the debt to enable him recover the seized building seized by the FRA last week.
He said he would today instruct his junior accountant to pay the FRA debt so that he reclaims the seized building.
The seized building in Lusaka also houses the central secretariat for the opposition Patriotic Front (PF), a party to which Mr Mwamba belongs and is a Member of Parliament.
Mr Mwamba, flanked by PF spokesperson Given Lubinda accused the Government of ‘squeezing’ him and mixing his business with politics, and that he was not a finished business person as some people were saying.
But Mr Daka said it was surprising that Mr Mwamba could drag the Government into an issue that was purely commercial between his business and the FRA.
He said the FRA was an independent institution operating through an Act of Parliament and there was no way the Government could interfere in its operations.
[pullquote]“If he is calling K2.4 billion petty cash why did it take him long to service the loan?” he asked.[/pullquote]
He said the FRA had its own mandate and through its board of directors made all its decisions and decided whom to do business with.
“The issue is between GBM and FRA and it is purely commercial without any political connotations,” he said.
Mr Daka said it was also shocking that Mr Mwamba and Mr Lubinda who were once political rivals when they battled for the Kabwata Constituency seat in 2006 were now friends who teamed up to denounce the Government based on false allegations.
He said as minister he could not understand why Mr Mwamba could boast about having a lot of money through a Press conference when he had neglected to service his indebtedness since 1998.
“If he is calling K2.4 billion petty cash why did it take him long to service the loan?” he asked.
Mr Daka said it was unfortunate that most farmers across Zambia remained poor when people like Mr Mwamba were not paying the FRA.
He said Government remained selfless and committed to the development of the agriculture sector through support to the farmers.
“That money is a lot to pay farmers across the country and he is not giving FRA,” he said.
He said the matter was decided by the courts that Mr Mwamba should pay the FRA and the Government.
And the FRA has confirmed that the Supreme Court passed a judgment in1998 against GBM Trucking and GBM Milling
FRA legal counsel, Chola Kafwabulula said in a statement yesterday that the court judgment was delivered in January.
He said the deal between the FRA and GBM was purely commercial and there where no politics involved.
He said GBM willingly offered collateral in form of a building in Villa Elizabetha and that was not done under any duress.
The Supreme Court upheld an earlier High Court decision in favour of FRA after GBM appealed to the higher court.
On April 7, the FRA seized a property belonging to GBM Trucking to recover more than K2.4 billion it was owed.
[Times of Zambia]
Boasting na njala
Let him instruct his junior accountant to pay the money from his petty cash.
I don’t care how much GBM boasts. He could own a boat for all I care. What matters is he pays back the money he owes so govt can pay the farmers who may or may not have a debt they also have to service. If he fails to pay. seize the building and sell it. Farmers need that money.
I hold no brief for any party but I think GBM aint got class. I watched him last year on M-Net’s “Lives of the rich and famous in Africa” and the chap was pure embarrassment. He needs to shut up to save himself (and colleagues – Given Lubinda was there to lend support) red faces.
The peasant farmers desperately need the money which he calls petty cash but at the same time fights all the way to the Supreme Court to avoid paying back this “petty cash” – pretty rich.
This GBM and Lubinda stunt is nothing but a load of drivel from egoistic illiterates without ethics, moral conscious and understanding of due dilligency. Like his cam on Ndola’s Savoy Hotel, this also exposes how much PF has continued degenerating into irrational overdrive. Where is morality in this circus? I challenge PF kaponyas here to extriplicate the economics and ethics in this drivel. GBM got the loan in 1998, he goes on to bid for Savoy hotel which he fails to retain after persuading GRZ to fund his purchase at 80%.Most of the supplies to GRZ institutions he asks for 60% upfront payments against tender procedures.And he is owing K2.4 billion to FRA while all buses are notes at 82% value repo risk each yet he is flaunt wealth. Does his Grade 7 caliber know what wealth is?
This is the same chap who came to Chilenje and told us how rich he was and that he will invest K10 billion in Kabwata constituency once elected as an MP.He even paraded a motorcade of Benz at Chilenje Grounds thinking Chilenje residents are so cheap.We showed him what it takes to be an MP in Kabwata.He is just another illiterate.Ask how he treats his own bus drivers and you will be shocked.
Ba GBM, they say give to Caesar what belongs to Caesar. How can you keep a debt for so long, what manner of business morality is that? K2BILLION may be “petty” cash to you (which of course it isn’t even by Bill Gates’ standards), it certainly is a lot of money to resolve the problems of poor peasant farmers. By the way K2BILLION is a cool USD450,000.
I challenge GBM and his PF kaponyas to present to the media his debt ratio. Trust me this chap is in deep red such that had he been here in the USA where underwriters look at the risky factors in loan contraction, GBM would not access any loan service even from a community credit union here. He is a moral hazard too risky to risk with shareholders’ wealth. His argument is all out of illiteracy of good business practices and being a Grade seven failure.In credit driven economies, people take their moral responsibilities serious. They bay their obligations to keep borrowed funds circulating.
With all these GBM moral failures that are evidently defying efficient market practices, there is no way in hell GBM can be a wealthy Zambia. Unless he is an economic saboteur abrogating his financial responsibilities to choke a poor farmer in Popota, Chipepo, Chavuma, Shang’ombo or Nabwalya. Holding to their monies so that he can flaunt around as a rich man without evidence of that wealth. He is a scammer. ZRA must screen his tax obligations, City and Lands department look at his rates obligation then show Zambians if indeed this chap is what he creams.Responding to his own flaunts, all debtors and creditors must swing against him for theirs sincere what he owes them is petty cash.Drivers form unions and press for descent wages from this rich man.
Show the country your “debt ratio” before its placed in the media against your will.Trust me all those buses are at risk of reposession. GBM is under intense pressure because he has failed to make any good on the notes. Each coach is 82% in debt.Where is the economics of Mwamba and Lubinda? PF kaponyas bring e’m on lets hear your economic reasoning if you have any.
just pay back the debt and move with your life.
:((!!!!!! :-?/????!!!!!! Ba GBM
Just pay back no need for press conferences. The fact still remains “you do not like paying
So many govt., leaders and those in good books with MMD owe FRA for years. No one has persued them. Wait till they ditch MMD, the are quickly persued. People, yes need to own up and pay their debts but as a country we should stop using vengence and settling scores to target only those in opposition. Next it will be MMD in Opposition, the same principle could be used against them.
Whjiles i support the PACT. i REALLY PRAY that this GBM fool does not make it into any serious ministry as a minister when the PACT emerges victorious. He is such a bafoon.
GBM mwana just pay the nkongole instead of embarrassing yourself. this debt is long overdue
Again, we’re subjected to gormless politicians. Lipilani chabe ndalama, ba kamba.
#13 I thought that the reason we should vote for the pact is because they are DIFFERENT from MMD. If they behave the same then better the devil you know.
Until the elctorate are sanitised or are protected we will always have crookes and the illitrate like FJT, GBM, Katele, Fr Frank Bwalya selling themselves to the my pipo. With PF we will have GBM finance minister, Fr Frank bwalya, Defence…..ok I wont spoil your day
We shall wait for GBM’s junior accountant to withdraw the K395m petty cash and pay FRA today. Then clowns like Peter Daka will be all overusing that money for travels abroad and not on farmers like he is trying to claim.
Lesson to be learnt, if you Anti RB and you gat businesses, the Govt will mek sure you are humiliated in public!We shall have another issue coming up, watch this space.
And LT how come you only qoute Slimes of Zambia and not the Post or any other private paper as well?
that takes care of peasant farmers??? which peasants? That money will just go for another trip for you know who!
#19 i thought it was MMD which is supposed to be corrupt and dishonest? Why has he not paid the debt from 1998? How much tax payer money has been spent over the years to try and retrieve the money? How many poor people have gone without because of this debt? If you dont want to be ‘victimised’ by the govt or whatever, then pay your nkongole. Why blame the govt in the same way that RB was blamed when Mpombo did not have any money in his own private account. Yes the amount might be petty cash to GBM but how vulgar and insensitive is it to the majority of Zambians to say that it is just ‘petty cash’ from a member of a party that is supposedly pro poor?
Just pay back no kalulu stories. K395 may be petty cash to you but its a lot to some of us.Pls let us know once your accountant makes the payment today.
Loans are bad if you do not have a good plan even pipo with just one house have lost it to lenders.
its better to be poor with your dignity than to be rich and spend sleepless nights due to huge debts.
Before he pays back FRA he needs to pay for farming on my big bumper. chic colour!
Kulibonesha….even tho am PACT supporter,what GBM did wasnt right.
How do you withhold 2.4bn “petty cash” which belongs to the poor farmer?
Then you fight the courts tooth and nail to avoid paying up “petty cash”???
Again even if it will be used to buy fuel for a jet for one “international tourist” ,atleast guys lets give to ceaser what belongs to ceaser.We are coming into govt next year,just a mere thought of how much debt WONT be paid,send a shiver down my spine!Lets set good examples.Lwenu pofye u will lose my vote if u behave in such f*>** ways!
We keep telling you that the opposition is fuill of theives but you refuse to listen.
You think they will liberate you from corruption when they are even worse corrupt.
Sad!
African politics!!!! we surely deserve better.That no withstanding this was a commerical transaction and
GBM must honour it.
The man is usually found at Intercity bus terminus,after a bus loads up,he personally checks the tickets from passenger-to-passenger in the bus,then goes with the cash.Now could you call that “wealthy”? NO ,the man is restless,katwishi ngalalala noku lala ubushiku,INKONGOLE shalifulisha. he is neck-deep in debt.Honestly how do you call a press conference over “petty cash” ?
This debt which GBM has with FRA has been outstanding since 1998. From that time until 2008 GBM was MMD and FRA never thought of seizing his property.He was even shielded when one of his buses had a problem at the weigh bridge cos that time he was still in MMD. GBM should pay the debt and all other pipo in high ranking positions whether GRZ or otherwise should learn to pay theri debts. How do you sleep when you know you owe so much money? Don’t you feel guilty? That’s shy we will remain like this.
The opposition instead of issuing insults should investigate the so-called MMD supporters who owe billions and tell the public who they are. That is what we mean by making the govt accountable instead of talking about Chiluba’s marital affairs.
12 years with the Nkongole, just settle the debt with acrued interests, you i.d.i.o.t, and stop yapping about childishly! I find the selection of his words very amusing for a fellow with such useless credit repayment condition. You need to torn down and repent, stop boasting with the people’s money! This goes to everyone who owe quasi goverment institutions like FRA. If I had the means i would spank seriously! Why is this Daka also yapping? if FRA is an autonomous institution!
#1-10
Bum-lickers you just wait for a new thread to come live, post your rubbish and run away, how many ministers owe FRA billions and are not pursued like animals. While GBM isn’t my cuppa bad debts are part and parcel of any business its the creditors job to chase for their money, debtors always try to delay paying up simply because debt is cheaper than a loan. Is that simplified enough for you Miss Goody, SC and your civil partner Mr capitalist
Been away from this blogg for a while, only to come back and find such ru bb ish. If its petty cash why not just pay your debt and forget about it it. Shame! Clearly the opposition has a share of highly corrupt individuals. GBM as you have been advised just pay up your debt and move on.
HERE IS EVIDENCE OF SENIOR CITIZEN TRYING TO DRIBBLE EVERYBODY WITH LIES AND THEN A FEW POSTS LATER TRIES TO GET THE TRUTH ABOUT GBM.
S.C YOU ARE A LIAR AND PROPAGANDIST
S.C YOU ARE S.C.U.M!
Senior Citizen says:
I challenge PF kaponyas here to extriplicate the economics and ethics in this drivel. GBM got the loan in 1998, he goes on to bid for Savoy hotel which he fails to retain after persuading GRZ to fund his purchase at 80%.Most of the supplies to GRZ institutions he asks for 60% upfront payments against tender procedures.And he is owing K2.4 billion to FRA while all buses are notes at 82% value repo risk each yet he is flaunt wealth.
Senior Citizen says:
April 12, 2010 at 9:22 am
Show the country your “debt ratio” before its placed in the media against your will.
We are good at harassing our Zambian Businessmen and living Mining companies owing us huge sums of money in Windfall taxes. Recently the minister of finance said the mining companies owed the government trillions of Kwachas and nothing is being done. In as much as everyone should pay what they owe the exercise of demanding the money should be extended to everyone regardless of their political affiliation or nationality.
If mwamba brags about his money let him brag he has worked for it. If he can owe the government 2 billion he is credit worth and he has proved. Debt is part of business and Daka should not blame GBM for the suffering of farmers, when they have failed to revamp Nitrogen Chemicals and only provide fertilizer to farmers during campaigns.
senior citizen you could not tell the truth if your life depended on it!
2 faced liar!
go retire from propaganda and lies.
as if you speak the truth for the whole country to believe.
VIVA KASAMA!
Eat my soiled underpants you old F.A.R.T
In Zambia where credit checks are non-existant only a novice business man pays on time, most of us here if we were in in GBM’s shoes would do exactly what he did. Unlike in organised countries before paying up in countries like Zambia most businesses wait until they are threatened with court action and if they are bold enough they would still drag as far as they can go even upto supreme court before settling the debt. Selfish as it may sound but thats business my friends.
#31 if 1-10 are bum lickers.just wondering what you are.or better still your level of reasoning. What makes you judge these people, why because they find GBM’s rantings as unreasonable. We shouldnt be quicker to shield our children, even when they are wrong. A good parent is one who can give his child good spanking when wrong. I like those pact supporters who can proudly say although they are PF, they find these rantings unacceptable and have advised the honourable to just pay his debt. Which he should do really. Lets avoid being confrontational on this blogg.or maybe you are vying for a certain award perhaps? Most controversial blogger may be?
Some of the logic being exhibited here is for want of a better word bemusing – FRA are only pursuing the tribalist’s debts which he has owed for 12 years so that RB can continue to travel around the world?:-?:-?
What the ???? So what then, he should just be let off and not pay the debt that he himself incurred when I presume RB was at his farm in Chipata even though he is supposed to be a very rich man? Yangu tata! So PF policy is if you are rich then you should not pay back what you owe?
this is sickening haaaaaaaaaa The rest of the politicians owing shud be made to pay. Why push GBM when they are all thieves ……. we need a complete clean-up
hahaahaha why not just say my accountant, ati my “junior” accountant. hahaha this chap is so shallow. Ama manners aya makandy!
Msana Wanzili, just go to bed if you have nothing to talk about. In organised countries, we pay our debts when they become due – not fight all the way to the Supreme Court resisting paying them. After losing in the highest court, we don’t go around calling press conferences and calling the debt amount as “just petty cash”. I wonder which “organised” country you live in – DRC?
Miss Katie Goody, SENIOR CITIZEN( and on behalf of your same s.e.x wife Mr capitalist)
Stop making fun of yourselves, selfish GBM has comitted no criminal case for you chestnuts to get so excited. He has made millions on this debt because of incompetent FRA who despite having secured a judgement in their favor light years ago but neglected to enforce it. Only small heads would today start dancing because he’s finally agreed to pay up, strictly speaking he will be dancing all the way to the bank to settle this debt knowing he’s earned himself a fortune on this cheap loan. Now we hope Mr Kafwabulula is in tip top health as well as physically because he has to leave his foot on the gas and help FRA recover billions from ministers as well.
This is really coming from an illiterate. How can you call almost US$450k petty cash? Worse you belittle it b instructing a Junior Accountant to pay. I wonder if GBMs Accounting System has Controls. No wonder he would not pay. One wonders if he declares our tax properly. Maybe for a start let us check that his tax obligations are done properly and claim forcifully what he owes us. Foolish Man!!!!
#37 Jooste
F.o.o.l.i.s.h thinking, award for what. Won’t waste my time on you.
#41 Ricky Booby
Is that you Miss Goody?
Who between RB and GBM is more broke. RB was just drinking Kachasu less than four years back! trying to fly around to try and boost his allowances knowing his Salary is meagre. What a shame!
#44 I tried to understand you man, clearly you are lost cause. Am glad am not the only one who finds your postings shallow. Change man, you dont need to oppose like a psycopath, oppose with reason not for the sake of and stop insulting your fellow bloggers. Good day…or night!
#43 James Brown
I agree totally GBM is an illiterate business guy and i even wonder how he made his Zillions but i still maintain that it’s the creditor’s job to ensure that they recover every single ngwee they are owed so if ZRA are not up to it and are failing to make this dude pay what he owes them please don’t blame GBM for using his small brain taking advantage of the lazy lots at ZRA. They only swing into action if it’s RB’s political enemy on the other end.
#46 Jooste
Goodbye!
And people want CHANGE…. What kind of change? Change of personality or POLICY? Change to lessen corruption, abuse of office??? All those that owe quasi gov’t institutions and have failed to repay their loans don’t deserve to be in gov’t or even be an MP, whether MMD, UPND, PF etc.
#47 Msana wanzili, you have made my day. Maybe ZRA guys are still thinking the this GBM is still in government circles. When it comes to recovery of debt owed to any quasi or goverment itself collectors should put their politics aside and behave like the hard working Auditor-General. You are right, the problem with ZRA this time around lazy chaps have set benchmarks for themselves. They only collect taxes from the mines, Zambia Sugar, Zambia Breweries, Promonent Insurance Companies and Banks. When they fall short, that is when the remember dude like GBM. Shame on them.
This GBM bafoon is looking at peasnt farmers down the ladder only as SHIT. I urge peasant farmers down the ladder to look up the the ladder where this GBM is and look at him only as and ASSHOLE.
Can Mr. Daka and Mr. Shikapwasha tell the nation how much the MMD government owes GBM? These two MMD mouthpieces seem to be interested only in giving one side of the story. As everyone knows, the MMD government is notorious for not paying its suppliers on time. So, please let us also know if what GBM is claiming is true or false and show us proof that you don’t owe him a ngwee.
Whats the point pursuing GBM like a dog while RB is wasting the same amount if not a bit more everytime he flies over to Malawi for wedding rehearsals(he’s Mutharika’s best man for those who don’t know). Am told he’s been there once already, he went an announced and snicked back in same day in the evening during Zesco blackout.
#44, Katie Good was just watching this time. I am amazed at your view of debt, particularly a debt to society. And so your view is that if I lend you money I have to chase after, you is it? I hope that you can learn something about civilised business behaviour from #41 Ricky Bobby, agony is that most of you guys are unteachable.
#54 Miss Goody
I take it with due respect that you’re still a virgin and consquently very naive. Life isn’t as easy as what you read in the text books. For example how many of us here have never underdeclared, tried or indeeded avoided paying tax on our Katundu at Lusaka International airport. We all know we’ve to pay but only a hypocrite like you miss Goody would say paying tax is enjoyable.
Well yes I pay my taxes on time. Of course PAYE on my payslip is automatic but taxes on my other sources of taxable income I pay on time and voluntarily. I also pay my utility bills as demanded, but I suppose we look at things differently. But the point here is that there is no excuse for GBM’s behaviour. Your judgment should not be clouded by silly politics even for straight forward issues. He has brought himself into public ridicule and still complaining like a spoilt child. Even you Mr Wanjili for all your shortcomings, I would expect that you would pay in those circumstances and cannot bring politics and childish boasting when the crunch comes because you played clever.
By the way Mr Wanjili, if you are going to liken the K2BILLION to the tax that you pay on your two band radio at the LIA, then I do not have words…………. I thought you are an advocate of better governance, God forbid.
So has he paid yet then as it is 6pm in Zambia now.
Katie Good sometimes you just have to let lost causes go. Dont bother yourself with the likes of Msana whatisname. You are a welcome breath of fresh air on this blog and I appreciate your ability to analyse issues as opposed to the knee-jerk hate filled rantings of most bloggers who support an equally hateful political party that is utterly bereft of refreshing ideas on how to move our country forward.
This man is already saying that he is the major financier for PF. Expect him to be VP at the very least. Expect him not to be touched by ACC (remember the saga with his buses in Southern province under LPM?). He said then that he could bring the Queen of England to Zambia on his pocket. Little did we know he actually owed FRA big time.. lol!
GBM – Minister of Finance and Public Plundering with impunity.. Ati heart for the people.. geeesh!! Kosenipo
GBM has clarified that he does not owe FRA K522 million as reported in the Times of Zambia of Wednesday last week but K390 million.
Mwamba said the debt came about because he supplied mealie meal to most government institutions who he said were bad payers.
”As a result I had difficulties to pay FRA because it’s common knowledge that when you supply, you are to be paid and offset your debt,” he said.
Mwamba said his company started dismantling the debt and the balance was K390 million. He said Zambia Police, for instance, owed him a similar amount of money. He also said the government owed more money than it was claiming through FRA.
#56 Miss Goody
Your head is clouded beyond redemption, i dont even know what the juggernut Shimwalule has seen in you to say ‘ you’re a breath of fresh air”. Anywhere i wont waste time on him, he can go on fantasizing about you i dont care. Now Miss Goody if you read all my posts you’ll see that i have no kind words for GBM because of i dont like his kind of politics but for the sake justice he’s case should be dealt with purely on commercial basis – forget Kafwabulula’s statement, we all know he’s just lying- In fact i was talking to my old pal at FRA and he told me RB has an even older debt whose file is now top secret. In short am saying just as it right to make sure GBM pay up (especially that he’s not my cuppa) other politcians should be pursued as well. I hope that
So the loan was obtained in 1998 and in that same year , the FRA had a supreme court judgement in their favour for the recovery of the money plus interest ? So it’s almost 12 yrs since GBM trucking got the loan and it’s almost 12 yrs since the FRA got their judgement . I wonder what rate of interest this loan was borrowed at. And indeed if it’s been 12 yrs since the judgement , why take so long to act on it?
…….# 32 Jooste…..Good to see you back….Keep the faith……:d/
L . T…..Why do you always put different smileys to the ones that i click on ?…..
Ba senior citizen , why didnt all this information come out when GBM supported MMD? Today GBM is useless but when you MMD guys used his building, you forgot that he didnt pay FRA since 1998? Come on guys stop being petty, yes the man has to pay back his loans but dont harrass him just because his in the opposition.
#62, Ah, so you partake of rumour mongering too? The information available for us to debate is on GBM, we do not know whether you have a friend at FRA and less so, whether that friend is not one of a pack of rumour mongers. But rumours have a short shelf span and they give you a fleeting sense of popularity, you might have seen that for yourself since the election of 2008.
What’s all this wrangle dragging on between Msana Wanzili and Katie Good? Is it chimbuya or what?
#66 Katie Goody
We talking about inside information here but since i don’t have evidence to back it lets leave the sleeping dog lie
GBM pays overdue FRA debt?
By Times Reporter
LUSAKA businessman Geoffrey Mwamba yesterday paid K2 billion that he owes the Food Reserve Agency (FRA).
Mr Mwamba, who owns GBM Trucking and Milling Company, confirmed yesterday at 14:00 hours that he had received bank details from FRA lawyers Vincent Malambo and Company.
He said FRA, through its lawyers, were paid K2.013 billion while the bailiffs’ office was paid K140 million cash.
Mr Mwamba said K250 million meant for Vincent Malambo and Company would be paid through the Supreme Court since it was supposed to be taxed.
He maintained that he was paying the money from his petty cash account and did not want to negotiate for instalments.
Lest we forget, let us track how he acquired this loan. From what has been written, GBM was a buddy of the MMD govt and therefore was privileged to access that money. He lost the court case in 1998, way before LPM came into Office. He was working with FTJ and Company. Do you think he is the only who owes FRA such collossal sums? The answer is NO. There are so many govt ministers, directors or their spouses or relatives who still owe FRA a lot of money. The biggest mistake with FRA loans is that they (MMD) press them when it suits them. Jump ship and make noise, FRA will demand its money from you. Play ball with MMD and the FRA money is yours without anyone blinking. Peasant farmers, my foot NO ONE thinks about them. Total animal farm but they are all thieves masquarading as leaders!!!!