INVESTIGATIONS into the operation of the defunct Zambian Airways have partially been completed in Zimbabwe and Tanzania. Deputy Minister of Home Affairs Richard Taima said this in Parliament yesterday.
He also said authority has been granted for security personnel to travel to South Africa for further investigations now that the FIFA World Cup is over.
Mr Taima said investigations have delayed to be conducted in South Africa because most of the officers who were expected to assist were involved in World Cup special duties.
He said investigations are expected to be completed as soon as possible.
“The delay to conclude investigations has been due to challenges in accessing information in foreign countries where the airline used to operate,” he said.
Mr Taima said the responses to applications for mutual legal assistance from the Zambian Attorney General to the attorneys general of other countries took time but that they have been positive.
He said a total of K139,328,800 has been spent on investigations as at March 31, 2010.
Mr Taima was responding to a question from Kanchibiya MP Davies Mwango (PF) who wanted to know when investigations into operations of the defunct airline by security agencies will be completed, what the delay in the completion has been and how much money has been spent on investigations.
Three government investigative wings are investigating alleged financial irregularities at the defunct Zambian Airways to establish if there are some criminal elements in the matter.
The Zambia Police Service wrote to foreign governments requesting for clearance to enable it investigate certain institutions in connection with operations of Zambian Airways.
[Zambia Daily Mail]
THIS IS THE STORY THAT HAUNTS FRED POST THATS WHY HE IS ASKING SATA TO QUIT THE PACT AND GO IT ALONE. HE KNOWS HH IS A TIME WASTER AND THE MORE SATA HANGS AROUND USELESS PACT THE MORE TIME HE LOSES ON CAMPAIGN. FREDS’ SURVIVAL LIES IN KING COBRA. WITH SATA IN POWER FRED IS ASSURED OF NOT DOING TIME IN JAIL OR BEING STRIPPED OFF HIS ASSETS THRU BANKRUPTCY
I pray that the investigations are not politically motivated … Zambian politicians specifically the ruling Govt of present and past..have this idea of haunting down it’s enemies at the expense of our finances,meanwhile they themselves steal day in and day out
this explains fred’s attacks on the pact and in extension his apparent appeasement of the mmd in his published personal opinions otherwise passed as post editorials.
for most of us both the pact and the mmd have nothing to deliver.
#1 MARX – Where have you sprang from MMD stooge?
The development of this country is doomed if we can let the government shut down enemy businesses. Now we are very poor in the airline industry because of politics of fear and hatred.
Witch Hunters are at it again!
Ng`nga!
So if there was financial impropriety the govt should not deal with it because Membe is involved? Then in another breath you will say the govt is selective in how it doles out justice? Kaya mwe, why anyone would want to be a president of a contradictory and cynical people like Zambians I dont know? There is no pleasing you guys is there?
#dejave thats the problem of being economic refugee you starved of news depend on online papers. fred pumped 3million of post cash into airline without consent from shareholders. he cant pay his workers on time and the paper is deep in debt bcos of selfishness on his party. together with mutembo they got unsecured huge amounts of loans from banks which they knew thet couldnt pay bcos magande was going to cover their arses. they collected taxes on behalf of NAC BUT CHEWED THE CASH.
It seems as though there is a problem between some of the Zambians living in Zambia and those living outside. I have followed some of the postings and the language has been surprising. People are free to live where they want or wish without this becoming a problem. We have people from European countires living all over the world and there have never been problems or name calling. I do not understand you Zambians. I once lived in Zambia way back in the 80’s and it was never like this. It is not so good for you people and I feel very sorry the way things have become in the country. Learn to love one another after all you are Zambians
Waste on National time & money
# 8 (MBUTUSHI REFUGEE) u seem to be frustrated with poverty no wonder u open yo BEAK carelessly 2 Zambias doing well abroad. Its not our fault that u are poor in the village. Its coz u are a F.O.O.L. U shud go 2 school chikamba iwe.
By A Correspondent
THE gloves are off, the guns are out and blazing and the war is on. After enduring months of insults and bad reports, President Rupiah Banda responded with a rare but strong attack against his attackers.
President Banda’s attack was particularly targeted at Zambian Airways shareholders, who include Post editor, Fred M’membe, for their alleged part in the loss of US$30 million, some of which was taxpayers’ money. Mr Banda condemned the paper’s constant corruption allegations against his Government.
The Post is an institutional shareholder in Zambian Airways. Mmembe is one of the directors. Investigations have targeted the directors of the airline for causing the loss of $30 million
in china such criminal acts attract a death penalty. i know someone will come if i were to suggest the same happens in zambia.
The airline faces civil litigation aimed at recovering $30 million. Its chief executive officer, Mutembo Nchito, faces possible criminal charges ranging from fraud, theft, tax evasion, money laundering, and exerting undue influence on public officials to force them to authorise and release the loans.
The directors are facing charges under the law that are deemed ‘directors’ offences for false accounting to obtain the loans from the bank.
In an address to MMD cadres who marched to State House in support of his leadership, in the face of internal and external political attacks, President Banda stated that he would tolerate no nonsense from the party or cliques.
He charged that he is Republican President of Zambia and was now MMD acting president and would, therefore, not allow…
Mr Banda declared that he fought for national independence, and would not allow people’s freedom to be taken away by a clique. He demanded that the airline’s shareholders repay the $30 million they borrowed in questionable circumstances when they ran Zambian Airways.
The president may be excused for sounding so strong against the shareholders in question because of the large sum of $30 million lent to Zambian Airways even when it showed signs of insolvency.
Mr Nchito as chief executive officer of Zambian Airways, with the help of Ministry of Finance and National Planning, appeared to have targeted public bodies such as Napsa, ZSIC, DBZ, and ZCCM-IH. He also ignored obligations due to ZRA, National Airports Corporation and Napsa.
The airline was bankrupt. Its books were bad. The books were so bad that an expert termed them ‘crimson red’.
The airline had no assets of worth, and it had been running consistently at a loss for many years and was insolvent. Despite its insolvency, the airline obtained loans and acquired debts totalling over $30 million.
Investigations are revealing that the obtaining of a string of loans was tied to the campaign quoting a ‘wide range’ of people demanding for the Government to turn Zambian Airways into a national carrier, and these people found ready media coverage.
The loans were allowed to pass because of its underlying status in the country as a ‘National Airline’ or one to be converted as such.
Creditors were duped that the ‘Government’ does not need to provide security for any loan. The assurances were given that once the airline was turned and taken over as a national carrier, the Government would assume the debts.
The directors ran a vigorous and parallel campaign demanding that the Government takes over the airline (with its debts) and make it a national airline. The take-over by the Government would have disguised this fact.
In all this, no explanation was given how the previous loans were utilised and investigators will be interested to establish that the loans went into the airline.
How did the airline’s chief executive officer Mr Nchito do all this? How did he obtain loans from banks and financial institutions in the face of stringent banking and financial…
The loan was reportedly obtained by Zambian Airways by offering two planes worth $200, 000.00 each but valued at $1.2 million by the airline itself. Despite showing marked features of bankruptcy, and therefore not eligible for such a loan, DBZ (a public company) and the two banks, disbursed the loan of $5.5 million to Zambian Airways.
By September 2008, predictably, the loan was not performing. DBZ board consisting of director general Dr Abraham Mweenda, board members S. Beyani, R. Phiri, A. Musukwa and C. Habasonda decided to place Zambian Airways under receivership.
The board recognised that Mr Nchito had provided very weak security and receivership was inevitable since the loan was not being serviced.
The airline’s chief executive officer is then reported to have called for an…
He is also said to have pledged to bring more external security to the company, downsize and restructure the management of the airline, and reduce on unprofitable routes.
He informed the board that he would bring a strategic equity partner and allow the airline to be managed by Comair or Airlink.
He also stated that the airline’s books would be ‘clean’ since Zambia State Insurance Corporation (ZSIC) was expected to inject a $4 million into the airline which would allow Zambian Airways to buy the leased planes and clear outstanding lease amounts. The ZSIC bid, however, eventually failed.
In October 2008, while the country was steeped in election fever, Mr Nchito was busy working on the conversion of the $4 million DBZ debt into equity.
The reality is that businesses collapse. If any wrongdoing has occured in this case, then the culprits should be brought to account. Until then, let us reserve judgement. If banks and other public institutions were incompetent enough to advance loans to an insolvent organisation as alleged, then questions should be asked of the directors of those institutions. As far as I am aware, none of the directors of the institutions involved have been brought to account about their role – which is probably more clear cut. This is where I believe, the whole investigation process is flawed.
The DBZ board had consistently opposed this restructuring of its debt. The board expressed unwillingness with such an arrangement, and part of the current investigation aims at establishing that undue political influence was then brought to bear on the board members.
The DBZ board continued to refuse to buy shares in Zambian Airways. The board insisted on recovering the $4 million due by retaining the debt structure.
However, there was a presidential election in the air, President Mwanawasa who was deemed to be friendly to the airline and its associates was no more. The potential successor, Ngandu Magande had failed in his presidential bid, the board chose to be prudent and excercised caution
Mr Nchito, however, desperately pursued the conversion of the debt to shareholding structure to escape the intended receivership action by DBZ and avoid paying the loan entirely.
He informed the DBZ board that he was bringing on board his business partners and Zambian Airways shareholders, The Post. The Post brought to the table a reasonable proposal.
The Post apparently drew up documents to allow DBZ exit from the syndicated loan and committed and undertook to assume and settle the other loans that DBZ had guaranteed and was outstanding with Investrust and Intermarket Banking Corporation totalling $2.1 million.
@zemule careful my friend. we make more money than you do.
# 11 zemule you not doing well bcos if you have money you would have come back to zambia. you scared stiff you failed here thats why you chose to go and work bu kaboyi. like zodie dube says we make more money than you makandi. pa zed if you work hard you gonna make it but mu diaspora no matter how much you burst your arse you still fail to pay bills and remain with change not so zemule. zemule if your child dies kuno ku zed you fail to come for funeral we know you pipo
# 23 and 24 muli bakumafamu zoona bafikamba imwe. U think everyone is a kaboyi in diaspora? Why are u still so backward in this age? Dont let pipo laugh at u. It seems the only place u’ve ever gone to is soweto market. Village pipo are alwayz a problem.
I dont understand why people hate each other, from what I have been reading here I am afraid thats why we will never prosper.Nigerians support each other but Zambian have a tendency of looking down on other people dont know why.First of all, not everyone who is in the diaspora is a kaboyi.A kaboyi wouldnt have acces to internet, secondly there are people out there who are studying and doing formal jobs and doing well.And unfortunately there are some who are doing bukaboyi for real but does that make them less Zambian??Its funny how this forum is supposed to unite us but I guess people are just charged by i dont know what, just annoyed and bitter.WHY GUYS???Besides those who make money have no time to under rate their friends there are too classy for that.So if you make money fine be happy.
The investigations have hit dead end. The MMD Govt., if it had found something on Fred could have shouted a long time ago. This case is a non starter and they are using it to make Fred M’membe quite, it wont work.
They have found nothing on this probe.
its not headed anywhere…forget about it..Magande and Mmembe are innocent..
11 # ZEMULE !! YOU SEEM TO BE THE ONE THAT IS VERY FRUSTRATED BY RESORTING TO CALL PEOPLE “CHIKAMBA IWE”. IN OTHER WORDS YOU ARE THE ONE THAT NEEDS AN EDUCATION. TRY AND WRITE ISSUES WITH SUBSTANCE.
8 # IS CORRECT !! FOR SURE M’MEMBE HAS ISSUES TO ANSWER. HE IS ABOUT TO GO BANKRUPT. IF MMD REALLY WANTED TO FINISH M’MEMBE, THEY WOULD JUST ASK ALL CREDITORS TO COLLECT THEIR MONEY FROM M’MEMBE & THE POST – THAT WOULD BE THE END OF ” FRED M’MEMBE’S EMPIRE” THIS IS A SIMPLE FACT. A WHILE AGO M’MEMBE WANTED TO RECONCILE WITH RB THEIR DIFFERENCE. RB TOLD HIM TO P***S OFF.
# 29 (High Tower) I thought u had sensible things 2 debate about but u seem to enjoy fightings. How do u open yo BEAK carelessly & bring back dead issues again? Man grow up & debate issues atase iwe!
Totally Agree with High Tower 11#
Mangande as a Finance Minister authorised those loans without involving BOZ, in exchange he got support from the Post, therefore the Post campaigned for him heavily. Mangande was rejected by MMD to be the sole MMD Presidential candidate.
Because, if Mangande was to be in Power, he would have made sure that Fred M’Membe & Nchito were protected. The Western governments have pressured MMD not to close down the Press, particularly the Post. Though the truth is in Black & White.This is deeper than every sees on the surface. Hence, the reason why Fred & The Post are still breathing. The Post is still finding hard to pay workers. Fred is big shykes….
#31 Whether u totally or partially agree i dont care. Someone shud not just work up from the toilet & insult me without a reason & u expect me just 2 watch? If u have sensible things like others just debate or to hell with u.
Zamule 31##
Sorry you are wrong!! . This should be about sharing ideas not name calling
You are the one that issues. Yes if you have a point just put them across. Do not take that route of calling other “Chikambe Iwe” It shows a lot about your character. High Tower is correct. What is so special about living abroad. I have studied and worked in the UK, USA & Germany as a doctor but it would be silly of me to look down on people that are in Zambia in the villages. How can Zambia go forward with this mentality?
Zamule, Zamule, Zamule
You are an *****. If you are a Zambian, then by defaut, you should have close relatives that are in the villages un-educated. Not that it’s there fault, but by the nature of life. Zambia does not need chaps like you, bragging for nothing. You have no wisdom. Empty tins talk alot….
Dont waste space. If u have nothing just shut up. Let pipo with ideas debate, period.
Dude … Zamule
Please log off. You have lost the debate. You are obstracting everyone. Shame on you. You probably work as a cleaner in the UK or as a Care Person, cleaning old peoples behind. Proud to be back in Zambia after studying Finance in UK
That chap u are defending is the one who started by calling “Makandi”. Do u know what that means? Are u saying u support that? I was debating but somebody calls me Makandi. Thats nonsense 2 me!
25 # 30 # 35# ( ZAMULE )
PLEASE PLEASE… STOP ANSWERING. YOU ARE NOT MAKING ANY SENCE. IF YOU WANTED TO DEBATE IDEAS, YOU SHOULD HAVE NOT STARTED BY CALLING NAMES. IT’S YOUR OWN MAKING. YOU ASKED FOR IT
heheheheheh. Fight over!! Zemule has explained. Somebody 1st insulted him & so he had 2 respond. So shup up and debate!
ZAMULE
THE BEST THING WAS TO RISE UP AND SHOW HIM THAT YOU ARE WISER THAN HIM BY RESPONDING WITH WISDOM AND MAKE HIM LOOK LIKE A FOOL
I WAS NOT SUPPORTING HIM. BUT YOU SEEM TO WANT TO GO ON AND ON. IN THE END YOU ARE JUST FRUSTRATING YOURSELF. IT’S NOT ALWAYS THAT ONE HAS TO APPLY THE ” An Eye for An Eye” LAW.
# 33,34,36 & 38 Wabe thole son of a bitch. Zemule has explained & u continue vomiting thru yo A.S.S.ES. I.D.I.O.TS. Debate issues here!
This message is intended for Zodie and Mbutushi, ignorance is a crime. Bitterness. Where you among those Zambian who where deported for credit card fraud? “We make more money than you do” who cares, infact who gives a f.**.k!
# 40 u are also a BIG f.o.o.l. U see Zemule is quiet and u cant keep yo A.S.S quiet? Wabe lyobe. We want issues here.
41 ##
I guess you have not got any. Do you?
You are a sad human being. Not worth responding to . How do you debate with such language.
I bet will agree with everyone you have listed 33,34,36 & 38. The best way is to block your IP Address & the Domain Name from where are posting these comments. Go and find some happiness… !!!
Zemule i support u fully. U have points. Those st.u.pi.d chaps like Soul, SandraK, Freedom, Xmass etc are frustrated bigots who are starving in diaspora and obviously ni bakapipa amafi. Ignore them.
Gentlemen this fora is for debate. Am tired of being insulted. If we have nothing 2 say we better log off.
Zamule, Mwebana Ati , Ndendeule
Sorry, you are the same person just changing names. This is very cheap. That is the beauty of IT. You can not hide. Technology allows to track anyone wherever they are.
But # 44 – iGLOO, u seem 2 have a big problem, why cant u debate issues. It seems u have nothing but yet u still make noise
# 47- iGLOO shut yo big mouth 4 once. U dont make sense at all.
Hi Guys
I am one of the people that look after the Hosting Server, Internet Traffic. I just joined in to see all those that are abusing this portal. As from now will put meaures to stop anyone that starts posting abusive languages.
Keep on debating…
Thanks
This very disapponting
All of u seem to have run out of ideas hence just making noise. Reasonable pipo have even stopped blogging coz of u chaps who just finger pointing each other without shame. Its over !
# 50 – iGLOO uli wachabe chabe. Whether true or false u are fake. U started the mess and u have just failed 2 contain it. U shud know where the problem started before talking anyhow like a kaponya.
# 50- iGLOO u are S.T.U.P.I.D. Whom are u f.ooling? We dont care whatever u ko yoself. U made unnecessary noise and prevented pipo from debating. Next time keep yo BIG MOUTH SHUT IF U HAVE NOTHING TO SAY.
Zemule and High Tower, guys what is wrong, you keeping changing names and insulting each other, behave yourselves.
A bit of blog history down here.
I THINK ZEMULE NDIWE WAYAMBA LOL!!!!
#8
MBUTUSHI REFUGEE says:
July 16, 2010 at 11:45 am#dejave thats the problem of being economic refugee
#11
Zemule says:
July 16, 2010 at 1:14 pm# 8 (MBUTUSHI REFUGEE) u seem to be frustrated ….. U shud go 2 school chikamba iwe.
24
MBUTUSHI REFUGEE says:
July 16, 2010 at 2:55 pm# 11 zemule you not doing well …. we make more money than you makandi.
Mr Taima was responding to a question from Kanchibiya MP Davies Mwango (PF)
THIS IS HOW POLITICS SHOULD WORK. Why can’t we see more of government accountability through Parliament and not through the media like Mpombo does?