Maravi

Kavindele opposes ZICA's position on LAP Green

COMMENT - It is ridiculous to keep justifying an illegal act like the ZAMTEL 'sale'. In fact, LAP Green should compensate the Zambian government for the $75 million the government paid them. You don't offer a criminal a smaller portion of the loot.

Kavindele opposes ZICA's position on LAP Green
By Chiwoyu Sinyangwe
Wed 01 Feb. 2012, 13:59 CAT

ZICA's proposal that government should have downgraded LAP Green Networks' 75 per cent stake in Zamtel to 49 per cent amounts to endorsing corruption, says Enoch Kavindele.

Zambia Institute of Chartered Accountants (ZICA) on Monday said reversing the controversial US$275 million sale of three quarters of Zamtel to LAP Green Networks amounted to "throwing the child with dirty water". ZICA chief executive officer Hapenga Kabeta said.

"despite the irregularities reported" by the Sebastian Zulu commission of inquiry into the sale of three quarters of the shares in the country's total telecommunications provider to LAP GreenN in 2010, Kabeta said the reversal of the Zamtel sale might result in the country using public money to compensate the Libyan investment vehicle.

"We believe that LAP GreenN should have been engaged by the government with a view to reach a consensus that would give more benefits to the people of Zambia," said Kabeta said.

"Among the alternatives would have been the reduction of shareholding for LAP GreenN from 75 per cent to say, 49 per cent. It is our hope and prayers that the decision by the government to reverse the sale of Zamtel does not prove to be costly to the people of Zambia."

But Kavindele who served as vice-president during the late presidents Levy Mwanawasa and Frederick Chiluba reigns said it would be imprudent for the government to share with foreigners a stolen product.

"The government has done the right thing to take back 100 per cent of the company stolen from the Zambian people," Kavindele said.

"If the government did not take the decision it took, then it would have been legalising graft." Kavindele said although the correction of any crime or corruption comes at a cost to any country, precedent needed to be set that Zambia would not tolerate corruption even if it involved foreign companies.

"Correcting anything that has gone wrong, there is a cost to it," said Kavindele.

"If the government were to allow LAP GreenN to continue even with reduced shareholding, it would not have sent correct messages because it would have meant that ‘fair enough you stole but you can pay and enjoy the benefits of the crime."

Labels: ENOCH KAVINDELE, HAPENGA KABETA, LAP GREEN, ZAMTEL, ZICA

posted by MrK @ 5:29 PM