Maravi

Zamtel sale is a dirty inside deal linked to State House - Kabimba

Zamtel sale is a dirty inside deal linked to State House - Kabimba
Written by George Chellah
Sunday, September 20, 2009 8:28:55 AM

LUSAKA lawyer Wynter Kabimba yesterday described the sale of Zamtel as a dirty inside deal that is clearly linked to State House. And Kabimba said RP Capital has been given another tender again outside tender procedures to privatise Zamtel.

Commenting on Zambia Development Agency (ZDA)'s announcement that the agency will be the main privatisation agent for Zamtel with RP Capital Advisors Limited as the financial advisor, Kabimba said State House was connected to the Zamtel transaction.

“Firstly, there was clear evidence before the tribunal in the Dora Siliya case that Henry Banda, RB’s son was a link between RP Capital and Dora Siliya, that evidence is very clear, he didn’t refute it. Two, it is and this again is part of the record that there was no tender procedure followed in the appointment of RP Capital to value Zamtel assets, that again is on record,” Kabimba said.

“The tribunal made a finding that Dora Siliya was in breach of the tender procedure as far as the appointment of RP Capital is concerned or was concerned. What we have heard now is that RP Capital has been given another tender again outside tender procedures to privatise Zamtel. What this clearly shows is that this is an inside deal and State House is linked to the deal. That is what creates a parallel comparison with the Carlington maize scandal.”

He wondered what decision Cabinet made over Zamtel after the tribunal.

“You remember after the Dora Siliya tribunal we were told that now they were taking this matter to Cabinet to go and have a formal decision to privatise Zamtel,” Kabimba said.

“We have never been told whether or not that decision has been made. It is very clear to me against this background that there is something fishy and dirty about this deal.”

Kabimba warned the bidders in the privatisation of Zamtel.

“You should remind the government that we have taken a stance between PF and UPND that whoever is going to buy Zamtel is doing so at their own risk because the UPND and PF government will certainly reverse that transaction,” Kabimba said.

“It is not a clean deal so we are putting all those bidders on notice that we shall not recognise this transaction, it doesn’t matter how long it takes. That is a warning that must go to the bidders.”

Asked the difference between the Carlington maize deal and the Zamtel deal, Kabimba responded: “The Carlington one is that, was it US $2 million or US $20 million that went out and maize never arrived and that is documented and president Chiluba was directly involved in that matter. In the RP Capital one, we don’t know how they arrived at those consultancies…it is arbitrary because there was no tender process involved. Just like the Carlington one, there was no tender process involved, it was arbitrary.”

He said the parallel between the two deals was that they both involved plunder of public funds that belonged to the people of Zambia.

“The only conclusion that one can arrive at is that the consultancy fees have been inflated because in the absence of a tender process where you have people bidding and justifying the quantification of the tender sums, how else do you arrive at those figures?” asked Kabimba.

“Other than for arriving at the conclusion that people are sharing public funds, they are plundering public money. So there was plunder in Carlington, there is definitely plunder in the RP Capital issue or deal.”

Labels: CARLINGTON MAIZE DEAL, PRIVATISATION, WYNTER KABIMBA, ZAMTEL

posted by MrK @ 7:29 AM