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(LUSAKATIMES) DEC working under political pressure – Zamtel Managing Director

DEC working under political pressure – Zamtel Managing Director
TIME PUBLISHED - Saturday, January 21, 2012, 5:12 pm

Zamtel managing director Hans Paulsen has said that siezure of ZAMTEL accounts by the Drug Enforcement Commission (DEC) was unreasonable and calculated to frustrate Zamtel management and paralyse the company’s operations. DEC seized three accounts at Zanaco and 10 others at Barclays Bank on January 18, 2012. This is according to the company’s application for leave to apply for judicial review, filed in the Lusaka High Court on Thursday.

“The DEC has no reasonable grounds to believe that all monies in the seized accounts are proceeds of criminal activities. The action by DEC has been precipitated by political pressure that the sale of Zamtel was allegedly fraudulent, an allegation that has not been proven in any court of law.”

“Monies have been wrongfully seized, based on a unilateral and unsubstantiated report. The DEC’s decision is wrong and not justifiable in the circumstances. Zamtel has never been heard by DEC after the seizure of the accounts,” Mr Paulsen said in his affidavit verifying facts.

Mr Paulsen said that Zamtel believes that the seizure is an indirect way of expropriating its property as it shall become non-operational due to lack of access to its funds.

“This is not in public interest as its internet services, fixed phone lines, mobile phones and other services will eventually shut down, due to lack of access to funds to pay for services and operational expenses. Employees shall be greatly affected in that Zamtel will be unable to pay them,” he added.

Mr Paulsen says the DEC’s action implies that Zamtel is an illegal business notwithstanding that Government, to which DEC belongs, is a shareholder in Zamtel.

“This is not in public interest as its internet services, fixed phone lines, mobile phones and other services will eventually shut down, due to lack of access to funds to pay for services and operational expenses. Employees shall be greatly affected in that Zamtel will be unable to pay them,” he added.

“This will have an unprecedented impact on the economy and security of the country. It is desirable and in the interest of justice that this court grants leave to Zamtel to file a notice of motion for judicial review and that the order of leave to commence judicial review acts as a stay of the DEC’s decision to seize monies in the bank accounts belonging to Zamtel,” he said.

Lusaka High Court judge Evans Hamaundu is scheduled to hear the matter on Monday, January 23, 2012.

Meanwhile, anxiety and uncertainty has gripped many Zamtel top brass who do not know when or where the axe will fall from as the government tightens the noose on the company believed to have been sold after “gross” under valuation according to a study by the Sebastian Zulu-led probe team.

The company was sold for a questionable US$257 million of which only some US$15 million has been received by the government, according to Zulu who was commissioned to study the transaction by President Michael Sata.

Former Cabinet Minister in the MMD government Dora Siliya and former President Rupiah Banda’s son Henry are reported to have put together the transaction which the report says is deeply flawed and marred with gross corruption and was done without the national interest of Zambia.

Stephen Laufer, the Lapgreen representative for Southern Africa via phone yesterday said the company would issue a statement.

[Zambia Daily Mail]

Labels: CORRUPTION, EVANS HAMAUNDA, LAP GREEN, ZAMTEL

posted by MrK @ 1:45 PM