Maravi

Rupiah joins wife on Mphundu board

Rupiah joins wife on Mphundu board
By Speedwell Mupuchi
Tue 07 Feb. 2012, 13:00 CAT

RUPIAH Banda has been added to the directorship of ‘his' Mphundu Trust in a move that sources say has been prompted by security wings' questioning of his wife Thandiwe.

According to a notice of changes in directors or secretaries filed yesterday at the Patents and Companies Registration Agency (PACRA), Banda was appointed director last Thursday February 2, 2012, a day before Thandiwe was scheduled for interviews with investigative wings over the Mphundu Trust money.

According to the notice, Thandiwe was the director and her husband was now the appointed director and indicates that Robert Ashley Penny who was a director resigned on 20th January 2012.

Sources close to the family indicate that Banda was not too happy that Thandiwe was being interrogated over the Mphundu Trust money when he was the one that actually sourced it.

"He says he wants the police to call him. He feels they (police) are harassing his wife. He says he is the one who sourced the money and he is the father of the children for whom Mphundu Trust was created," said the source.

According to the sources, Banda told close associates that he knew the whole investigation was targeted at him, not his wife, hence his decision to join as director.

Investigative wings last Friday interviewed Thandiwe over Mphundu Trust money and indicated that she cooperated with them.

Banda told scores of MMD cadres that went to express solidarity with Thandiwe who was appearing before a combined team of government investigators at the former taskforce offices in Lusaka that his family was hurt by all the investigations targeting family members.

"Of course we are hurt by all this sort of thing. But I hope, you know when you are a president bakunamiza boza banthu bambili. So, ningo mpempera Mulungu kuti a Sata abagwile amene abanamiza boza when you are a president, so many people tell lies against you. So I am praying that President Sata will find out those peddling these lies," Banda said.

President Michael Sata ordered investigations into Mphundu Trust belonging to Banda.

The Trust was registered on March 16, 2009 with directors being Thandiwe and her sister Miriam Chilongo.

According to some documents, a deposit of 10 per cent of the purchase price (US$705,000 of stand number S/D ‘A' of S/D no 29 of Farm 488 a, Lusaka) was made on February 24, 2009 to the vendor's (British Council) lawyers through Banda Watae Advocates bank account at Zambia National Commercial Bank.

"Funds to complete the purchase were made through a loan from Access Bank in the amount of US$600,000.00. These are the funds that were used to purchase the house from the above vendor (British Council)," according to documents submitted to investigative wings.

According to the documents, a lease was signed through Banda Watae Advocates with Dr A. Gillespie (UNAIDS) on July 2009 to lease the property for three years.

"All rentals were paid into Access Bank to reduce the loan account as were rentals from Finance Bank," according to the documents.

According to the documents, Chilongo resigned as director and her shares were transferred to Thandiwe.

The documents indicate that a loan agreement was entered into in October 2009 between Mphundu Trust and Hands Industries LLC of Dubai and that funds were transferred into Access Bank in late 2009 to pay off the Access Bank loan used to purchase the property.

"A contract to develop the property into 13 units was agreed with QUEST Ltd (Flame Arab Contractors) in mid 2010. … A further loan of $1 million was negotiated and approved by Access Bank in March 2010. The purpose of this loan was for construction of the 13 houses at Leopards Hill Road. The loan attracts two per cent above libor (currently 14 per cent)," according to documents.

"The title deeds of the property were lodged with Access Bank by way of security. The loan agreement includes a clause that all rentals are to be lodged at Access Bank until the loan is repaid in full. The loan (from Hands Industries) arranged through Abdullah/Idris Mulla also has to be paid back but is not secured. Once Access has been repaid, then the loan to Hands Industries LLC' will be paid back - also from rentals."

But sources question how Banda bought the property without security "only to rely on rent from the property".

"I think Access Bank has to explain something; what security did the former president give them?" asked the source.

Labels: RUPIAH BANDA, THANDIWE BANDA

posted by MrK @ 4:10 PM