Maravi

Katumbi explains Zambia's $7m debt

Katumbi explains Zambia's $7m debt
By Chris Tshani in Lubumbashi
Wednesday April 11, 2007 [04:00]

DRC Katanga Province governor Moses Katumbi has said information minister Vernon Mwaanga confirmed that the Zambian government owes him US $7million for the maize he supplied because he knows about the transaction. In an interview in Lubumbashi, Katumbi said he was contracted by the Zambian government in 2001 to supply maize meal to MMD parliamentary candidates at reduced prices for the purpose of campaigns. He said Mwaanga, as MMD national secretary then as well as campaign committee chairperson, was aware of this transaction and that is why he had no difficulties confirming Zambia's indebtedness to him.

However, Attorney General Mumba Malila last week said the Zambian government owes Katumbi no money and was not doing any business with him, as far as his office was aware.

Below is Katumbi's interview with The Post in Lubumbashi last Saturday.

Chris: In 2001 you had a maize deal with the government of Zambia. Could you briefly explain?

Katumbi: I think I have to tell the Zambian people the truth and they know very well I was doing adverts on TV, on radio and I was not hiding while selling the maize meal. Today they are saying I am a crook, I have stolen the money. I don't know where I have stolen that money. People have to know the true. I had a contract with Ministry of Finance where we suppose to put subsidy of the maize, and all the maize meal I gave to the members of parliament in 2001 on the election.

You can ask honourable Eric Silwamba, you can ask VJ Mwaanga, everyone. We are buying even the maize locally in Zambia. I have got the proof, K35,000 and the government ask to sell at K15,000 today they are saying Moses is a crook. Which crook? The Government of Zambia owe us money, which is not also right. Advert was on TV, on the petition, the time they did the petition, they mention also the maize meal because you are selling maize meal, they sue us even the Ministry of Commerce in Zambia to say that it was not fair the price we were selling. We had contract, all the members of parliament who win election at that time in Kitwe is like Jesus Christ said that the guy who did not do thing badly had to stone that woman.

Chris: Our Minister of Information is distancing himself from the allegation that the government of Zambia owes US $7 million, is it true that they owe you some money?

Katumbi: The government owes me money that's why they went to take all the papers with the Task Force. They owes me money, they owes me emerald, they owes me a lot of things. People are going to know the true in Zambia one day.

Chris: When the minister was around, did you ask him about your money?

Katumbi: Listen, the minister came here, came to see the President. I didn't ask him, it is the journalist who asked that question to the minister and the minister confirmed to say the Zambia government owes Mr. Katumbi the money, because he knew the operation we were about the maize meal, because he was the secretary general of the party at that time and he was also the chairman for the election at the time.

And he knows very well you deliver maize which we are buying at K35,000 and selling that at 15,000, make yourself the difference, if you have got 10,000 bags today it is K350,000,000 you come and sell at K150,000,000, there is a loss of K200,000,000. Who suppose to support that? It is government, and there is clear contract to the terms. You can call anyone, they can call anyone to ask, and...

Chris: You mean the government of Zambia has not given you any money?

Katumbi: Listen, I say people will know the true one day, I don't want to say anything at the moment, people will know the true one day.

Chris: Mr. Governor could you explain how were you distributing the maize?

Katumbi: We were distributing the maize to the members of parliament, MMD members of parliament not anybody else. We were buying maize at K35,000 and we were buying, importing some maize from South Africa, which we were not paying duty because we had a contract with the government which we suppose to reduce.

In South Africa the maize was at 10 dollar and we were selling also at K15,000 because we needed a lot of maize meal, we were giving to members of parliament at K15,000 and every day we were distributing almost twenty thousand bags of maize every day which was almost at the market at the time K700,000,000 at that time for 20,000 bags and the same day you are selling the same maize at K300,000,000 you are losing K400,000,000 per day, which the members of parliament, MMD members of parliament got it from us, for the campaign.

Chris: Were you only buying in South Africa or also locally?

Katumbi: Locally also, with Antelope, APG, Olympic, plenty milling plants. We are going and buy at full price at K35,000 and sell to the members of parliament at K15,000. Sometimes we use Tamba Bashila money to pre-finance the government. You pre-finance the government the money, that's why I'm asking they owe me money.

I can prove it, I have got tape, the Zambian people saw it on TV, and I was not selling the maize meal at night, I was selling the maize meal on the day.

Chris: Did you sign any document with government that they owe money?

Katumbi: I have got the contract with the government and I have got the audit report by the Ministry of Finance, not my company auditors or somebody, auditor from the government, and after the same government coming in power, they send us another auditor, can you see? I have got a audit report from the Ministry of Finance recognizing the money they owe me, and they went to PriceWaters which gave wrong figures, which I didn't even had, and I can show you all the contract.

I say one day I will say the true to Zambian people and I will tell the Zambian people who reimburse me a bit of my money. I will talk one day. I will tell the people the true. I never stolen any perk in Zambia, anything in Zambia. I have lost. In court with the government of Zambia, they are selling my things, there is even contempt of court.

They don't even respect the court of law by the Task Force, they don't even respect the court of law. I am in court and they go and sell the things illegally. So they are on top of the Zambian law, they don't even respect the judges in Zambia, it is an insult. They should first wait until the case finish in court. They go and sell my things in Kasongole, things worth it US $300,000, they go and sell it for US $10,000. The guy for Task Force is a crook, they have to arrest him.

They can go and do the evaluation of the goods which was US $300,000 I bought, and they went to sell it for US $8,000. With not even a court order, with not even a judgment in court. How can, the matter is in court, tomorrow the guy is selling. He just a crook.

Chris: Thank you Mr. Governor.

Katumbi: Thank you.

Labels: MAIZE, Moses Katumbi, VERNON MWAANGA

posted by MrK @ 5:12 AM