Maravi

(LUSAKATIMES) Musokotwane’s alleged company supplied blocks for the construction of the Pepsi plant in Lusaka

COMMENT - I would say the minister gave a tax deferment with state money (your taxes), to get a contract for his own business. This is why ministers should not be involved in business, or even hold stocks and other equities, while they are in office. It is to prevent just such kinds of 'conflicts of interest' and fraud.

Musokotwane’s alleged company supplied blocks for the construction of the Pepsi plant in Lusaka
TIME PUBLISHED - Monday, December 26, 2011, 8:18 am

FORMER Minister of Finance Situmbeko Musokotwane’s company, ZamBuild Investments Limited, supplied blocks for the construction of the Pepsi plant in Lusaka, it has been learnt.

Dr Musokotwane, who is also embroiled in the authorisation of a K10 billion tax deferment to Varun Beverages Zambia Limited, the producers of Pepsi Cola, provided all the blocks for the construction of the Pepsi Cola plant on Mungwi Road in the industrial area.

Varun Beverages also got an exemption on paying tax for bringing equipment into the country.

Varun Beverages Zambia Limited holds the franchise for Pepsi Cola in Zambia.

But Dr Musokotwane yesterday said he is only a shareholder in ZamBuild,

[And Warren Buffett is only one shareholder in Berkeshire Hathaway - he is the biggest shareholder, of course... - MrK]

adding that the company could have supplied blocks to Varun Beverages for a small fraction of the construction of the plant.

He said his company gets a lot of business from different people and industries because it has one of the best technologies in block-making in the country.

“I never at any time went there to solicit for business. I am above board and cannot do such a thing,” said Dr Musokotwane, adding that he is not in the management team of ZamBuild.

“It’s like people who buy Mercedes Benz, they go for those cars because of the good quality and that is what the people who buy blocks from us are looking for,” he said.

Varun Beverages Limited chief executive officer Krishnan Shankar could not be reached for comment but the company financial accountant, a Mr Arun, said he is not aware of the companies that supplied construction materials during the construction of the plant. He said he was not with the company at the time.

[Zambia Daily Mail]

Labels: CORRUPTION, MMD, SITUMBEKO MUSOKOTWANE

posted by MrK @ 4:53 PM