The government has ruled out exempting foreign mining companies from paying higher taxes in return for doing more to train local workers.

Zambia gave foreign firms that bought copper mines starting from 2000 tax breaks as part of development agreements so they could keep up output at a time of low prices.

With prices now sharply higher on the back of strong global demand, especially from China, the government recently told 10 foreign copper and cobalt miners that it wanted to renegotiate these pacts.

Finance Minister Ng`andu Magande said he would explain to the mining companies that the development agreements were about more than tax breaks; they also obliged the mining firms to train local contractors if they lacked the necessary skills.

“Now, when we go into these negotiations, we want to know whether the mines have been able to do that. If they haven`t, what is the problem and how can we work together to create this capacity?” Magande told reporters on the sidelines of the annual meeting of the African Development Bank.

Asked whether there could be a trade-off, Magande said: “No. What we feel is that if we let each one of them say, `I have a social responsibility, I will do this` it will be very difficult to supervise.”

Foreign mining firms operating in Zambia include London-listed Vedanta Resources plc, Canada`s First Quantum Minerals and Swiss firm Glencore International AG.

If social development were left to the mining firms, inequality and social problems would result, Magande said.

“So what we have said is that, if they do agree, we think taxation is logical.”

Some of the firms argue that the development agreements incorporating the tax breaks are legally binding.

Magande said the government, in embarking on the negotiations, had discovered some “technicalities” were involved and said some multilateral financial institutions and bilateral donors had offered to help Zambia prepare for the talks.

The government had held preliminary meetings with the mines and hoped to have something in writing by the end of the month, the minister said.

( Reuters)

GOVERNMENT says it will seize the frozen assets and properties belonging to former president Frederick Chiluba and 11 others immediately the London High Court judgement is registered in the Zambian courts.

Speaking on “Eyeball to eyeball” Muvi TV programme on Monday night, Chief Government spokesperson, Mike Mulongoti, said if there was no appeal from the defendants, Government would have no choice but ask the court to have the frozen assets seized.

“The determination was arrived at by the London Royal Court by Judge Peter Smith and in this case, the Zambian Government won the case.

So we shall proceed to ask for the frozen assets such as money and properties after the 14 days ultimatum in which Dr Chiluba is supposed to pay the Zambian Government has elapsed,” he said.

The London court issued a worldwide freezing order on Dr Chiluba’s and other defendants’ properties.

Mr Mulongoti has since urged Dr Chiluba to respect the court ultimatum and pay back the Zambian Government the amount requested of him.

Mr Mulongoti who is also Minister of Information and Broadcasting Services said Dr Chiluba should pay back the money or make an appeal before bailiffs were engaged.

He also wondered why Dr Chiluba was not recognising the judgement since the court offered the accused a chance to defend themselves.

“The court sat in camera and you remember that the Chikwa Court was rehabilitated in order to make it comfortable for those who could not travel abroad for the hearing, but some people shunned that, and you know it is not good to say that I would never appear before the court because it would be the same court one might make an appeal to after the judgement,” he said.

He said legal experts were studying the judgement and would soon conclude the matter.

In another development, Mr Mulongoti described threats by Southern Province Minister Joseph Mulyata to close down Sky FM Radio, a private radio station in Monze, as unfortunate.

He said at no time did Government harbour such intentions aimed at threatening media growth in the country.

“As Minister of Information and Broadcasting Services, please get it from me that Sky FM Radio will still remain operational and it was regrettable that such a statement was made against a radio station when the minister toured the institution,” he said.

The minister appealed to private radio stations to ensure that they operated within the law.

“We don’t want to have a situation where radio stations encourage anarchy in the country.

During last year’s tripartite elections, we had a radio station which was inciting anarchy when election results were being announced,” he said.

He pledged to support the growth of the media industry but called for cooperation from media houses.

“As Government, we have to be careful because not all information gotten by the media can be put to good use, and we don’t want media houses to abuse their authority,” he said.

A Joint Investigations Team on the Ministry of Lands Inquiry has arrested Samuel Daka, an Estates and Valuation Officer at the Ministry of Lands and his wife for Lucy Chalimba for abuse of office and fraud.

And the Investigations Team has also restricted one hundred and eleven (111) properties as a result of inquiries involving officials in the Minstry of Lands pending further investigations.

The  Joint Investigations Team comprises officers from the Anti- Corruption Commission (ACC) Drug Enforcement Commission( DEC) and the Zambia Police Service.

According to a statement issued by ACC Public Relations Manager, Tomothy Moono and
made available to ZANIS this evening, in the first count, Daka is charged with falsifying documents contrary to section 344(a) and (D) and 347 of the penal code chapter 87 of the Laws of Zambia.

Details are that on September 19th 2001, Daka jointly and while acting together with
a known person did make a false document namely Chibombo District Council Minute
number SPWD 218/09/2001 purporting to show it was genuine and signed by J. Muteto, Acting Council Secretary for Chibombo District Counci when infact not.

In the second count, Daka is charged with forgery contrary to section 342 and 347 of
the penal code Chapter 87 of the Laws of Zambia.

Details are that on dates unknown, but between September 19 th 2001 and February
23, 2003 jointly and while acting together with a known person, with intent to defraud or deceive did forge one Lands Department application form in the name of Lucy Chalimba purporting to show that it was genuinely recommended and signed by J. Muteto, Chibombo District Council Executive Secretary when in fact not.

In the third count, Daka is charged with uttering false documents contrary to section 352 of the penal code Chapter 87 of the Laws of Zambia.

Details are that on March 20, 2003,knowingly and fraudulently did utter false documents namely Chibombo District Council Minute number SPWD/218/09/2001 and one Lands Department application form in the name of Lucy Chalimba to one Muketoi
Wamunyima, a senior Lands Officer at Ministry of Lands.

In the forth count, Daka and his wife Lucy Chalimba on dates unknown but between
February 23 2003 and March 31, 2003 jointly and while acting together by means of
false  pretences , did fradulently  procure  Mr Banarby Mulenga, Registrar Lands and
Deeds at Ministry of Lands to sign  and issue a certificate  of title number 45338 for property number F/8905 located in Chibombo District in the name of Easter Senga.

In the fifth count, Daka is charged with abuse of authority of office contrary to section 37(1) (2) (a) and 41 of the Anti Corruption Commission Act number 42 of 1996.

Dates are that on dates unknown but between September 19 2001 and February 23  2003, Daka being a person employed in the Public Service namely Ministry of Lands as
Acting Head of Estates  and Valuation, unilaterary and without authority , granted
consent to transfer farm number F/8905 to Lucy Chalimba thereby obtaining advantage, a matter or transaction that concerns  the Lands in the Ministry of Lands, a public
body.

Mr Moono says the duo have been remanded in custody and will appear in court tomorrow, May 17, 2007.

The Anti Corruption Commission (ACC) Director General Nixon Banda has declared Katete as one of the districts with the lowest corruption prevalence in the country.

Speaking during the ACC meeting with heads of departments from various government
and non governmental organizations in Katete today, Mr. Banda said there has been no
reports of crime and corruption cases in the district in a long time.

And Mr. Banda ACC has put a strategy to enhance quick prosecution of corruption
cases by letting the commission handle small cases through its administration and
only leave big cases to courts.

And speaking at the same function, ACC board Chairperson, Justice Valentine Chileshe
called on people in the district to support the commission in fighting corruption to
promote development.

Justice Chileshe called on people to effectively report corruption cases unlike reporting on conditions of anonymity because the prosecution process needed witnesses.

He said if corruption is not reduced, the country will not attain the Millennium Development Goals as the scourge affects all sectors of the economy.

And a USAID ACC consultant Sydney Watae said if Zambia does not attain the MDGs
thresh hold level due to high corruption, the country will lose US$500 million, which the USA government intends to release through the USAID after the expiry of its current support to the ACC in June this year.

Mr. Watae said if the country attains the target in the MDGs, it will receive US$500
million not for the ACC but for various developmental programmes.

He said the USAI was working in collaboration with the commission to ensure that
corruption is curbed.

He said highly corrupt porous institutions have been identified and an integrity
commission team has been established to help detect cases to prevent the increase of
the scourge.

And acting Katete Council Secretary, Mukiti Lukonga said Katete District will join the Republic President Levy Mwanawasa in fighting corruption to enhance development
in the country.

He also appealed to ACC supporting partners to continue funding the commission until
corruption is completely cleared.