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(LUSAKATIMES) Chibamba cites Govt’s weakness in controlling mines

Chibamba cites Govt’s weakness in controlling mines
Wednesday, February 16, 2011, 13:16

Renowned economic consultant Chibamba Kanyama has called for the dismissal of all defaulting controlling officers cited in the latest Auditor General’s report.

Mr. Kanyama says it is unfortunate that despite the auditor general’s report revealing gross misapplication of public funds amounting to over K318 billion, culprits are still serving in public institutions.

He says what matters most at this stage is for government to ensure that people are answerable to all the queries and that a response from prosecuting agencies should be made public.

Mr. Kanyama adds that misapplication of public funds has a negative effect on the country’s economy stating that relevant authorities must see to it that the money is recovered.

And Mr. Kanyama has observed that Zambia’s threshold of shareholding in mining companies is very weak adding that this trend has weakened government’s control on the mining sector.

He says if the government is to maximize value for the mining sector; it has to increase its threshold in order to have a stronger voice to claim for dividend pay outs from the mining companies.

The economist has also blamed the mining companies for the ongoing debate on the reintroduction of the windfall taxes.

He says mine owners have been negotiating in secret on the matter and has challenged them to out in the open and explain the logistical problems that make it difficult for them to accept windfalltaxes.

Mr Kanyama was speaking on QFM’s morning breakfast show this morning.

Labels: CHIBAMBA KANYAMA, WINDFALL TAX

posted by MrK @ 7:59 PM