Police rearrest Liato
By Agness Changala
Wed 02 Oct. 2013, 14:01 CAT
AUSTIN Liato was yesterday discharged and re-arrested at Woodlands Police Station for abuse of office after the state entered a nolle prosequi in a matter where he was in court on the same charges.
Liato, the former labour minister in the MMD government, was appearing before principal resident magistrate David Sumusamba on two counts of abuse of office.
It was alleged that Liato on or about June 8, 2011 in Lusaka, being a public officer, namely Minister of Labour and Social Security and member of parliament for Kaoma Central Constituency, abused the authority of his office by facilitating the sinking of two boreholes at his farm in Mwembeshi.
In count two, it is alleged that Liato on dates unknown but between May 14 and 19, 2011 in Lusaka, being a public officer, namely Minister of Labour and Social Security and member of parliament for Kaoma Central constituency, abused the authority of his office by facilitating the diversion of two hammer mills meant for the people of Kaoma to himself, thereby obtaining property advantage or profit, an act prejudicial to the interest of government and the people of Kaoma Central Constituency.
When the matter came up for continued trial yesterday, the arresting officer took her position in the witness dock in readiness to testify.
However, the state told the court that it had an application to make.
Anti Corruption Commission (ACC) prosecutor James Mataliro said he had received instructions from the Director of Public Prosecutions (DPPs) office to enter a nolle prosequi in the matter.
"In this regard, I am making an application to enter a nolle prosequi," said Mataliro much to the surprise of Liato's lawyers, who were assured that the matter would proceed on trial today.
Ruling on the application, magistrate Simusamba discharged Liato and released the witness.
But immediately, Liato and his lawyers walked out of court, five police officers, who waited outside, led Liato to a vehicle registration number TRK 509ZM, which was parked within the court premises.
Liato, who was asked to accompany police, complied and was taken to Woodlands Police Station, where he was re-arrested for abuse of office and was released on police bond.
Earlier, his lawyers complained at the forceful manner in which police conducted themselves when they asked Liato to accompany them to Woodlands Police Station.
Defence lawyer Moses Chitambala said Liato was a law-abiding citizen and would go with them as required.
Chitambala accused the police of being sensational in the manner they were handling his client's matter.
"This is the same kind of excitement we talk about. He will come to Woodlands because he is a law-abiding citizen," said Chitambala.
And according to a statement released by the Government Joint Investigations team (GJIT) public relations officer Namukolo Kasumpa, the DPP instructed that Liato be re-arrested on the same charge and two separate counts of abuse of authority of office contrary to the Laws of Zambia.
Labels: AUSTIN LIATO, COURTS, MMD
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Witness exposes Liato
By Agness Changala
Fri 05 Oct. 2012, 15:30 CAT
TRIAL in a case where Austin Liato is charged with abuse of authority of office yesterday commenced with one of the witnesses revealing that the former minister requested him to testify that the hammer mills were donated by him (the witness and not Konkola Copper Mines.
Liato is being represented by lawyers Patrick Mvunga, Mutemwa Mutemwa, Nellie Mutti and Moses Chitambala.
It is alleged that on or about June 8, 2011 in Lusaka, being member of Parliament for Kaoma Central Constituency, Liato abused the authority of his office by facilitating the sinking of two boreholes at his farm in Mwembeshi which were meant to be sunk in Kaoma.
[Corruption is not a good thing, but this is still very small compared to the hundreds of millions of dollars diverted under the MMD. Let's go after that instead. - MrK]
It is also alleged that Liato obtained property advantage, an act prejudicial to the interests of government and the people of Kaoma Central Constituency.
In count two, it is alleged that on dates unknown but between May 14 and 19, 2011 in Lusaka, being a member of parliament for Kaoma Central Constituency, Liato abused the authority of his office by facilitating the diversion of two hammer mills meant for the people of Kaoma to himself, thereby obtaining property advantage, an act prejudicial to the interest of government and the people of Kaoma Central Constituency.
Testifying in the case, then head of corporate affairs at Konkola Copper Mines (KCM) Chintamani Kharkar told the court that on December 30, 2011, he received a phone call from Liato to meet with him at his residence in Kalundu, which he did.
Kharkar told the court that Liato asked him whether he could testify in court that hammer mills at his farm in Mwembeshi were donated by him instead of KCM since he had been accused of keeping stolen property at his farm.
He said Liato further asked him to find a buyer for one of his vehicles to enable him to pay legal fees.
"My response to both was that it was not possible," he said.
And Kharkar said on October 2, 2012, he received another call from Liato, asking him for the contact numbers of the KCM chief executive officer.
He said he gave Liato both the cell phone and landline numbers.
Kharkar told the court that Liato called him when he was collecting the hammer mills and thereafter.
Earlier, Kharkar said in 2010, his office received a request form Liato through the CEO's office to look into and assist in the development of the constituency by donating four hammer mills and sinking two boreholes.
He said after assessing the request, he forwarded it to corporate social responsibility manager Chita Sampa.
During cross-examination by Mvunga, Kharkar told the court that he did not ask why Liato was asking him to testify and did not respond to his request.
He said Liato collected the hammer mills although he did not recall the date when they were collected.
He said the hammer mills were supposed to be taken to Kaoma but learnt through the press that they were at Liato's Mwembeshi farm.
Kharkar said he never went to the farm to see the hammer mills.
And Sampa told the court that the total cost of the project for the hammer mills and boreholes was K128 million.
She said the project had documentation to specify that the project was a donation to Kaoma Constituency and that she signed the document which she tendered into court as part of her evidence.
Earlier, Sampa told the court there was a memo that had two quotations from SARO Agro Equipment and Zambezi Drilling for hammer mills and boreholes.
She said the memo also listed the names of the communities which were to benefit from the donation.
Sampa said she also initiated the process of procurement by getting written approval from the CEO for the project even though she did not follow up on the results.
She said when she looked at the quotations and assessed the total cost of the project, she felt that the amount was huge and recommended that the cost be reduced.
Another witness, Milton Sinyangwe, a commercial officer at KCM, told the court that in July 2010, he received an approval note with attached documents of works already done, which involved two boreholes and two hammer mills.
Sinyangwe said his role was to facilitate the payment process on the works done.
He said he raised the commercial note for approval and that it was approved by relevant officers at KCM, who included the CEO.
Sinyangwe also confirmed that invoices from SARO and Zambezi Drilling were attached, showing that they supplied to two hammer mills and sunk two boreholes. Trial continues.
Labels: AUSTIN LIATO, CORRUPTION, COURTS
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MMD shouldn't be hijacked by clever illiterates, says Mulusa
By Roy Habaalu
Wed 20 June 2012, 13:23 CAT
Aspiring MMD vice-president Lucky Mulusa says the party should not be hijacked by clever illiterates. He said MMD as a political platform had its identity linked to the shortcomings or successes of its members.
He said it was important that members that are vying for the vice-presidency and believe in the re-branding of the party are those that would bring competence and admirable characters.
"MMD leaders must be selfless and exercise generosity to the party's desires to continue in existence because it's an important constituency in the Zambian political space. They must do a self-reflection and if they feel that they are providing less than what it is required to assist the MMD to rebrand as a result of their past mistakes, they should be generous enough to step aside and allow MMD to have new blood, fresh minds, ideas including fresh reputations," said Mulusa in an interview.
MMD president pastor Nevers Mumba has vowed to wipe out corruption in the party as a way of re-branding it.
During his inauguration as the party's fifth president last month, pastor Mumba who beat six other contestants said fighting corruption would be his first call of duty.
And Mulusa said Zambia was where it is today, a rich nation of poor citizens, because of political elements that had not lived up to the equal task of policy formulation and implementation and superintended over them to ensure there were productive outcomes.
"So I appeal to Dr Mumba to create a new saleable team that will underwrite the MMD's ability to come back to power. The PF are in government and much as we might say that they are failing to live up to the expectations of the Zambian people, they have the instruments of power. To wrestle that power from them will require a lot of courage. Recently, we have observed cowardice in the MMD where the leadership sits behind a tree and sponsor youths from various provinces to proclaim their presence for leadership positions," he said.
"Zambia does not require that; it requires courageous leaders who will stand up and defend themselves. If those who want to aspire for positions have any mistakes from the past and want the role of leadership so that opposition parties can gain back power, let them give chance to others."
Mulusa said it would be easy for the MMD to re-brand under the leadership of pastor Mumba because he was a tested leader.
He said after listening to all the seven presidential candidates, only pastor Mumba convinced him that he had a vision for the development of Zambia and its people.
"Even at the burial of late vice-president George Kunda, pastor Mumba was the only one with some semblance of power and recognition whereas the rest of them the only companion they had were car keys," he said.
Meanwhile, Southern Province MMD executive committee members are engulfed in a war of decisions as two officials have shown intentions to contest the position of vice-president - political.
Sources said provincial chairman Edgar Keembe and MMD member and lawyer Vincent Malambo were among those intending to contest the position.
"Now even ba (Kabinga) Pande is busying mobilising for support in North Western Province but he just lost the presidency to Nevers Mumba. What makes him think people will vote for him this time around? He's just trying to divide votes, anyway that's democracy," said the source.
Western Province endorsed convicted former labour minister Austin Liato as their candidate for vice-president, political.
Liato was sentenced to two years imprisonment with hard labour for concealing K2.1 billion at his Mwembeshi farm which has since been forfeited to the state. However, Liato has appealed against the conviction and sentence and is out on bail.
Labels: AUSTIN LIATO, MMD, NEVERS MUMBA
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MMD shouldn't be hijacked by clever illiterates, says Mulusa
By Roy Habaalu
Wed 20 June 2012, 13:23 CAT
Aspiring MMD vice-president Lucky Mulusa says the party should not be hijacked by clever illiterates. He said MMD as a political platform had its identity linked to the shortcomings or successes of its members.
He said it was important that members that are vying for the vice-presidency and believe in the re-branding of the party are those that would bring competence and admirable characters.
"MMD leaders must be selfless and exercise generosity to the party's desires to continue in existence because it's an important constituency in the Zambian political space. They must do a self-reflection and if they feel that they are providing less than what it is required to assist the MMD to rebrand as a result of their past mistakes, they should be generous enough to step aside and allow MMD to have new blood, fresh minds, ideas including fresh reputations," said Mulusa in an interview.
MMD president pastor Nevers Mumba has vowed to wipe out corruption in the party as a way of re-branding it.
During his inauguration as the party's fifth president last month, pastor Mumba who beat six other contestants said fighting corruption would be his first call of duty.
And Mulusa said Zambia was where it is today, a rich nation of poor citizens, because of political elements that had not lived up to the equal task of policy formulation and implementation and superintended over them to ensure there were productive outcomes.
"So I appeal to Dr Mumba to create a new saleable team that will underwrite the MMD's ability to come back to power. The PF are in government and much as we might say that they are failing to live up to the expectations of the Zambian people, they have the instruments of power. To wrestle that power from them will require a lot of courage. Recently, we have observed cowardice in the MMD where the leadership sits behind a tree and sponsor youths from various provinces to proclaim their presence for leadership positions," he said.
"Zambia does not require that; it requires courageous leaders who will stand up and defend themselves. If those who want to aspire for positions have any mistakes from the past and want the role of leadership so that opposition parties can gain back power, let them give chance to others."
Mulusa said it would be easy for the MMD to re-brand under the leadership of pastor Mumba because he was a tested leader.
He said after listening to all the seven presidential candidates, only pastor Mumba convinced him that he had a vision for the development of Zambia and its people.
"Even at the burial of late vice-president George Kunda, pastor Mumba was the only one with some semblance of power and recognition whereas the rest of them the only companion they had were car keys," he said.
Meanwhile, Southern Province MMD executive committee members are engulfed in a war of decisions as two officials have shown intentions to contest the position of vice-president - political.
Sources said provincial chairman Edgar Keembe and MMD member and lawyer Vincent Malambo were among those intending to contest the position.
"Now even ba (Kabinga) Pande is busying mobilising for support in North Western Province but he just lost the presidency to Nevers Mumba. What makes him think people will vote for him this time around? He's just trying to divide votes, anyway that's democracy," said the source.
Western Province endorsed convicted former labour minister Austin Liato as their candidate for vice-president, political.
Liato was sentenced to two years imprisonment with hard labour for concealing K2.1 billion at his Mwembeshi farm which has since been forfeited to the state. However, Liato has appealed against the conviction and sentence and is out on bail.
Labels: AUSTIN LIATO, MMD, NEVERS MUMBA
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Prison conditions depress Liato
By Joseph Mwenda
Sun 27 May 2012, 13:30 CAT
INCARCERATED former labour minister Austin Liato has complained that his health condition may worsen after being made to share a single mattress with other inmates, sources at the Lusaka Central Prison have revealed.
And some of the inmates who were released from Lusaka Central Prison, commonly known as Chimbokaila, on parole on Friday, explained that Liato was a "Big Bwana" in prison owing to his financial influence.
According to inside sources, Liato walked into prison with confidence on Thursday but was later in the evening appalled with the sleeping arrangements.
"This is not a friendly place, when you walk here everything changes. He thought he would continue enjoying life here, but he was depressed when we took him ku Chitakataka Sleeping cell. He is a prisoner like the rest and he is sharing a mattress with others," sources said.
The sources said the hefty former minister was praying for the weekend to pass so that he could be released on bail pending appeal.
"We are not making him work at all but he is weak. You can tell that he is depressed, that is why he is worried that his health might be affected if he stays long here. He is confident that he will be out on Monday. His wife is also worried and she comes to spend time with him during visiting hours. Today yesterday, he also requested that he sees his driver."
A check yesterday morning found Liato's wife and other relatives at Chimbokaila visiting him.
Meanwhile, Inmates who had an encounter with Liato said he was finding life easy in prison because he had money.
"Ba guy balefwaya ukumuchita ifya boyo. Kuti aya mukushanga indalama ninshi abantu balechula. But teti mudala, balemusunga bwino bashilika. Ni big bwana ulya, lelo uluchelo achipelako na guy umbi zali iya transport. (Some inmates wanted to manhandle him. How can he bury money when people are suffering? However they could not succeed because the prison warders are taking good care of him. He is a rich man. Today (Friday) he even gave a pardoned inmate K100, 000 for transport," an ex-prisoner explained.
Liato is serving a two-year sentence after being convicted of one count of being in possession of property suspected to have been proceeds of crime.
In December last year, police investigators dug out K2.1 billion from his Mwembeshi farm which has since been forfeited to the state, together with the recovered money.
After being sentenced, Liato mocked the two-year jail term slapped on him by Lusaka principal resident magistrate Aridah Chulu, saying it is short and he should be granted bail pending appeal.
Labels: AUSTIN LIATO, PRISONS
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Liato's conviction tragic - Mabenga
By Kombe Chimpinde
Fri 25 May 2012, 13:30 CAT
MMD acting president Michael Mabenga says Austin Liato's conviction over the K2.1 billion that he buried at a farm in Mwembeshi had dented the party. And Transparency International Zambia says society needs leaders that plant seeds of integrity, accountability and transparency.
Mabenga described Liato's conviction as dumbfounding. Liato is suspended MMD chairperson for labour. Mabenga said the conviction had caused a dent on the party that was already faced with the challenge of dealing with the tag of corruption.
He disclosed that the disciplinary committee of the party would have to sit to look at Liato's case.
"As the matter has come up, they will meet to discuss. It is a very tragic development. I am summing it up as being a very sad development."
Liato was suspended by the party after he was arrested pending the outcome of his court case.
And welcoming Liato's conviction, TIZ executive director Goodwell Lungu said public officers should learn to respect taxpayers' money.
Liato was on Tuesday slapped a two-year jail sentence by the magistrates' court for concealing K2.1 billion, property suspected to be proceeds of crime.
"If leaders fall short of the values relating to integrity, accountability and transparency, then they deserve to go to prison and reform," he said.
Lungu said TIZ was hopeful that the jail sentence of Liato would also serve as a lesson to PF leaders and public officers that were in government on the need to respect public resources.
"As TIZ we believe that it does not pay to engage in criminal activities but rather the results are always unpleasant. Zambians expect their leader of Mr Liato's standing to abide by the Zambian laws," he said.
Apart from being jailed, Liato also had his Mwembeshi Farm where the money in question was concealed last year forfeited together with the K2.1 billion.
Labels: AUSTIN LIATO, CORRUPTION, MICHAEL MABENGA, MMD
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Lessons from Liato's case
By The Post
Thu 24 May 2012, 13:00 CAT
THE conviction and sentencing of Austin Liato to two years imprisonment with hard labour over the K2.1 billion that he had buried in the belly of the earth at his farm raises more challenges and opportunities in the fight against corruption. Austin, a former labour minister in the Rupiah Banda-led government, failed to account for the source of those billions when challenged by law enforcement agencies to do so. There is need for accountability.
All of us should be able to explain, when required by law enforcement agencies to do so, the source of our money and all the wealth we possess. Money does not grow on trees and it is not mined in the ground; it has to be earned. And since it has to be earned, its source shouldn't be difficult to trace.
If one cannot provide the source of the money he has, then only one conclusion can be drawn: it is unearned. We know very well that possession of any money or wealth of any form that is not earned is a prima facie case of theft, corruption or abuse of office.
Austin failed to account for the K2.1 billion he buried in the ground and has been convicted. But the question is: what would have happened if Austin had quickly used that money to purchase property or other items of value?
What attracted attention to Austin was the strange thing he did - burying such a huge amount of money in a grave as if it was dead. We know that money doesn't die; it has a life that doesn't seem to end. Even when the currency is changed, one can still take the old money to the bank and have it changed.
But Austin decided to bury it alive, with no attempt to kill it before he buried it. And today he is in jail for attempted murder of money! Probably Austin was stupid to do what he did.
Or maybe the money came too fast to him and in too large amounts for him to handle intelligently. Probably Austin was not used to handling such big amounts of money. A few years ago, Austin was nothing but a humble accounts clerk at Zesco where he was also the chairman of the union.
So this type of money was too much for this poor boy. But where did Austin get that type of money? This money is certainly coming from bribes. We have no doubt Austin received bribes. If this money was not a bribe, then Austin stole it from some public institution.
Let us not forget that Austin was the minister under whose authority NAPSA fell. And we all know what was going on at NAPSA, the huge amounts of money NAPSA was paying to all sorts of people. We also know that such huge amounts could not be paid without Austin's approval.
And the recipients of such money definitely must have given Austin something. An investigation of the accounts of those who received huge amounts of money from NAPSA may reveal something about where Austin got that money. But this is not the main issue.
The issue again is: what would have happened if Austin had converted that money into assets like houses or shares in some companies? Given our current approach to investigating and prosecuting corruption, Austin would have gotten away with it if he had converted that money into property.
There are many colleagues of Austin who had stolen more than the K2.1 billion he stole; who have more property far much worth than the money Austin has gone to prison for and which if they are asked to account for its source, they would fail.
It is therefore important to ensure that every citizen of this country only owns that which they are able to legitimately account for. Anyone who is seen or is suspected to own things - money, property and other assets or investments - that are beyond their earned income should be probed, and if found wanting prosecuted.
We have many former ministers in the Rupiah regime who hold assets that are far beyond what can legitimately be said to have been their earned income. They should not be allowed to get away with it because it is clear where this money is coming from; it is not legitimately earned money. There are proceeds of corruption, bribery and theft.
It is not enough to just pursue cash. Let us also pursue property and other assets of value. If one has a house that appears to be above their earned income, let them explain where the money to purchase or construct it came from.
If one has children attending school abroad and they do not have legitimately earned income to support that, let them explain how they are doing it. It may reveal a similar type of corruption that we saw in the case Lt Gen Willford Funjika and Anuj Krishman Kunmar Rathi were involved in.
This should not be restricted to politicians and civil servants. It should also be extended to people in the private sector because they, too, participate in stealing public funds.
We saw this in the case of people like Faustin Kabwe who were in the private sector but were participating in the stealing of public funds in collusion with public officers like Xavier Chungu, Stella Chibanda and indeed Frederick Chiluba himself.
We shouldn't also forget to extend this to judges and magistrates. Today we have got judicial officers who have property worth far more than their earned income.
Yet we know very well that judges in this country are not allowed to engage in business. Some of our judges have children studying abroad in very expensive institutions which they cannot afford from their earned income. How are they financing all this? Let them be probed.
If our law enforcement agencies have difficulties about where to start from, we invite them to start with us. Let them come and probe us for everything that we own and if we fail to account, we should be prosecuted and sent to jail.
We say this because it doesn't make sense for us to call others to virtues which we ourselves do not make an effort to practice.
To be able to create an honest society, a society where corruption is not tolerated, we need to be demanding of ourselves and to create standards and values that make us accountable.
Let Austin's conviction and jailing serve as a warning and a reminder to all of us that no amount of impunity should be tolerated where corruption is concerned. This case shows us clearly how destructive corruption can be.
Taking K2.1 billion out of circulation has very negative consequences on the economy. Money that can be used for production is taken away from circulation and buried in the ground where it is not being used. This is not only stupid but an extreme form of recklessness and irresponsibility.
What made it possible for such a corrupt and irresponsible element, with a mind of an ant like Austin to be a minister of government, to be a political leader, a member of parliament? This reminds us of what Wynter Kabimba said the other day about the need for honesty and integrity in political leadership. Let's mull over things and consider those very serious observations from Wynter.
There is no alternative to a clean and honest political leadership full of integrity. But also, let's not forget that political leadership comes from the people.
If we have a country of upright citizens, then we will have a country with an upright political leadership. Let's start with ourselves. Let each one of us examine themselves over these issues and see what remedies need to be made. In the end, we will get the type of political leaders we deserve.
Labels: AUSTIN LIATO, COURTS
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Liato mocks his 2-year jail term
By Mwala Kalaluka
Thu 24 May 2012, 13:00 CAT
FORMER labour minister Austin Liato mocked the two-year jail term slapped on him by Lusaka principal resident magistrate Aridah Chulu for concealing K2.1 billion, saying it is short and he should be granted bail pending appeal.
And a hush fell over court two at the Lusaka Magistrates' Court Complex yesterday morning when
magistrate Chulu jailed Liato to two years with hard labour over K2.1 billion found concealed at his farm last year.
As he was being led away to Chimbokaila from the Lusaka Magistrates' Court holding cells, a suit-draped Liato managed to wave and smile towards his friends and relatives that came to see him off.
Hours after he entered Lusaka Central Prison Chimbokaila to start serving his jail term, Liato filed a notice of appeal against both conviction and sentence and applied for bail pending appeal.
In his affidavit in support for summons for an order for bail pending appeal filed in Lusaka Magistrate Court criminal registry yesterday, Liato said his appeal of magistrate Chulu's decision had a high chance of succeeding in the High Court because of the short conviction period.
"The trial court erred in law and in fact when it convicted the accused on the ground that he had failed to discharge the onus under Section 71 2 of Act No. 19 of 2010 during defence when it is not mandatory," Liato said.
"The trial court erred in law and fact when it held that the prosecution had no obligation to prove that the property subject of the offence charged is a proceed of crime."
Liato said further that magistrate Chulu erred when she convicted him in the absence of evidence that the K2.1 billion was reasonably suspected to be a proceed of a crime.
"The trial court erred in law fact when it convicted the accused against the weight of evidence adduced in court. I reasonably believe my appeal has high chances of success before the High Court and therefore if this honourable court does not grant me bail pending the hearing of the appeal, the said appeal shall be rendered an academic exercise," Liato said.
"The sentence of 2 years ordered to be served is short and if I am not granted bail pending appeal, it is likely that I will have served the sentence by the time the appeal is heard."
Magistrate Chulu has set May 28, 2012 as date of hearing of the application for bail pending appeal.
Apart from being jailed, Liato also had his Mwembeshi Farm where the money in issue was found concealed last year, forfeited to the state together with the K2.1 billion.
This is a matter where Liato, a former MMD member parliament for Kaoma Central Constituency, was charged with one count of possession of property suspected of being proceeds of crime contrary to Section 71 1 of the forfeiture of proceeds of crime Act No. 19 of 2010.
It is alleged that on November 24, 2011 in Lusaka, Liato was found with K2.1 billion concealed at his farm No. L/Mpamba/ 44 Mwembeshi reasonably suspected of being proceeds of crime.
Magistrate Chulu in convicting Liato held that the circumstances surrounding Liato's case gave rise to the irresistible inference that the money in issue could only have been derived from a crime.
"The prosecution called six witnesses while the accused opted to remain silent and did not call any witness," magistrate Chulu said.
"I am also satisfied that it was not necessary for the prosecution to prove a specific predicate offence or offences to show how the money was generated in order to establish the guilt of the accused."
Magistrate Chulu told a courtroom packed with Liato's sympathisers and relatives that he was legally entitled to remain silent when it came to his defence.
"Even if he chose to remain silent, the court would nonetheless analyse the questions asked in cross-examination to determine if at all there was any defence raised," magistrate Chulu said.
"It is a defence under this Section, if a person satisfies the court that the person had no reasonable grounds for suspecting that the property referred to in the charge was derived or realised, directly or indirectly, from any unlawful activity."
Magistrate Chulu said whilst Liato opted to remain silent, sub-section two of the Act under which he had been charged placed some onus on him to say something to the court's satisfaction as to the nature of the property.
"The question that now begs the answer is, has the accused discharged the onus placed on him under Sub-Section 2 above?" Magistrate Chulu asked.
"The Act under which the accused is charged is relatively new. This Act No. 19 of 2010 was assented to on 13th April, 2010...It is clear that this law was brought into force as part of the domestication of an international effort to police and criminalise the illicit flow of money and other property."
Magistrate Chulu said having considered the evidence before her, she had found as a fact that the K2.1 billion belonged to Liato and that the farm on which the money was found belonged to him.
She said it was also not dispute that Liato owned the money in issue.
"In the instant case, the accused elected to remain silent when placed on his defence. Although he was entitled to exercise his right to do so, the law required him to at least offer an explanation to the satisfaction of the court regarding his possession of the money," magistrate Chulu said.
"I therefore do not have any doubt in my mind that the prosecution have proved their case beyond reasonable doubt, and I find the accused guilty as charged and I convict him accordingly."
Liato's lawyer, Nellie Mutti said he was a first offender, who apart from deserving leniency had also served the country at the highest level.
"He is also a man who has got huge responsibilities both in terms of his family and his community in Kaoma where he comes from," Mutti said.
"In view of the circumstances surrounding the case, we urge the court to exercise leniency on him so that he is not given a severe sentence."
Mutti said the court was a fountain of justice.
Another defence lawyer, Mutemwa Mutemwa said Liato was suffering from heart problems and there was need to give him a suspended sentence to enable him access medication easily.
"So that he may be able to access medication easily in order to avoid death," said Mutemwa.
But magistrate Chulu said she would send Liato to two years in jail with effect from yesterday because he distorted the country's economy in the manner he concealed the K2.1 billion.
"It is the duty of the court to mete out the appropriate punishment," said magistrate Chulu as Liato's crestfallen relatives looked at her from the gallery.
Director of Public Prosecutions DPP Mutembo Nchito then applied to the court to have the K2.1 billion and the Mwembeshi farm where it was found concealed forfeited to the State.
Nchito said the property where the money was concealed had become tainted.
However, Mutti said Nchito should have raised the application through a notice but Nchito insisted that under the provision he had made the application what he did was correct.
Magistrate Chulu granted the application and agreed with Nchito that that was how applications of that nature were handled and that Liato's case was no exception.
Labels: AUSTIN LIATO, COURTS
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Liato concealed K2.1bn in a suspicious fashion - DPP
By Namatama Mundia
Wed 09 May 2012, 14:00 CAT
DIRECTOR of Public Prosecutions Mutembo Nchito says Austin Liato concealed the K2.1 billion in a suspicious fashion.
According to the state's final submissions, Nchito urged Lusaka principal resident magistrate Aridah Chulu to convict Liato in the face of the strong evidence against him. He submitted that the K2.1 billion could reasonably be suspected of being proceeds of crime.
This is in a case in which former labour minister Liato is charged with possession of property suspected of being proceeds of crime contrary to Section 71(1) of the forfeiture of proceeds of crime Act No. 19 of 2010 of the Laws of Zambia.
It is alleged that Liato on November 24, 2011 in Lusaka, possessed and concealed money at his farm number L/Mpamba/44, Mwembeshi amounting to K2.1 billion reasonably suspected of being proceeds of crime but he pleaded not guilty.
Liato is being represented by Nellie Mutti, Mutemwa Mutemwa and Moses Chitambala.
"From the evidence on record, it is clear that the accused was in possession of the K2.1 billion that is in issue in this case," he said. "It is also clear that he concealed the money in a suspicious fashion."
Nchito submitted that from the evidence on record the only inference that could be drawn was that the property in question could reasonably be suspected of being proceeds of crime.
"In terms of the international practice which is now Law in Zambia, someone who is found with the kind of money that the accused possessed cannot simply say 'It is my money' without showing how and where it was earned," he said.
He submitted that the defence's assertion that the prosecution was required to show the criminal source of the funds could not stand.
Nchito submitted that section 71(3) of the forfeiture of proceeds of crime Act No.19 of 2010 clearly states that "The offence under subsection (1) is not predicted on proof of the commission of a serious offence or foreign offence".
"It is clear that if the accused person did not discredit or dispute the
prosecution's evidence, hence his decision to elect to remain silent when he was put on his defence. In the case of the People v Kalenga and Mufumu (1968) Z.R 181 (H.C), it was held that 'The accussed's silence in the face of strong evidence against him strengthens the inference that he is guilty'," he said.
Nchito also cited another case of Simutenda v The People where it was held that there is no obligation on an accused person to give evidence, but where an accused person does not give evidence, the court would not speculate as to possible explanations for the event in question.
"The court's duty is to draw the proper inference from evidence it has before it. A court is not required to deal with every possible defence that may be open to an accused person unless there is some evidence to support the defence in question," said Nchito.
A combined team of law enforcement officers last November unearthed and seized K2.1 billion cash from Liato's farm in Lusaka West.
Police, Anti-Corruption Commission and the Drug Enforcement Commission officers undertook a two-hour joint operation to uncover and seize the money buried in two trunks at Liato's farm in Mwembeshi area.
The stacks of cash were in K50,000 notes.
Judgment has been set for May 24, 2012.
Labels: AUSTIN LIATO, CORRUPTION, MMD
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DPP asks court to put Liato on defence
By Maluba Jere
Fri 16 Mar. 2012, 11:59 CAT
DIRECTOR of Public Prosecutions Mutembo Nchito has asked the Lusaka Magistrates Court to put Austin Liato on his defence in the case relating to the K2.1 billion unearthed from his farm on suspicions that it was proceeds of a crime.
In his submissions on case to answer, Nchito said from the evidence adduced, it was clear that Liato was in possession of the K2.1 billion which is in issue in the matter. He submitted that the evidence of all the prosecution witnesses was reliable and that it had not been discredited in any way during cross examination by Liato's lawyers.
This is in a matter where Liato, the former labour minister, is charged with possession of property suspected of being proceeds of crime contrary to Section 71(1) of the forfeiture of proceeds of crime Act number 19 of 2010 of the Laws of Zambia.
It is alleged that Liato on November 24, 2011 in Lusaka, possessed and concealed money at his farm number L/Mpamba/44 Mwembeshi amounting to K2.1 billion reasonably suspected of being proceeds of crime.
In his submissions on no case to answer, Liato said there was no dispute as regards the lawful possession and ownership of the money found in a chalet at his farm and urged the court to acquit him because the state has failed to prove the allegations against him.
Liato, through his lawyers Nellie Muti, Mutemwa Mutemwa and Moses Chitambala, submitted that the perusal of records shows that the prosecution had failed to prove all the ingredients of the crime under the said Act.
But Nchito stated that Section 71(1) of the forfeiture of proceeds of crime Act number 19 of 2010 provides that "a person who after the commencement of this act receives, possesses, conceals, disposes of or brings into Zambia any money or other property that may reasonably be suspected of being proceeds of a crime commits an offence."
The DPP submitted that under this Act, it is an offence for any person to receive or conceal or dispose or bring into Zambia any money that may reasonably be suspected of being proceeds of crime.
He also stated that on the basis that the prosecution only has to prove its case on a balance of probabilities, the state was submitting that the same had been done in that Liato had a colossal sum of money which he buried in the ground.
"This money did not come from any of his known sources of income. On that basis, we submit that he has committed the offence as charged," submitted Nchito.
He further submitted that Section 78 of the forfeiture of proceeds of crime Act number 19 of 2010 provides that "save as otherwise provides in the Act any questioning of facts to be decided by the court in proceedings under the Act is to be decided on the balance of probabilities."
Nchito submitted that it was very important for the provision that the prosecution need not prove this offence beyond reasonable doubt but on a balance of probabilities.
Following the filling of submissions by both parties, principal resident magistrate Aridah Chulu is on March 30 expected to rule on whether or not Liato has a case to answer in the K2.1 billion case.
Labels: AUSTIN LIATO, DPP, MUTEMBO NCHITO
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‘More trouble' angers Liato
By Agness Changala
Sun 19 Feb. 2012, 12:01 CAT
I AM not in trouble with investigative wings, declares former labour minister Austin Liato. The joint team of investigators probing the plunder of national resources on Friday said Liato had been cautioned on Wednesday for diverting boreholes and hammer mills donated to Kaoma Central Constituency to his farm.
But Liato who instead chose to react to The Post's headline when sought for comment on the matter could neither deny nor confirm the information that he was cautioned over the diversion of boreholes and hammer mills.
Liato, who was however phoned several times on Thursday before the publication of the story but never got an answer, said it was wrong and unfair for The Post to carry a story suggesting that he was in more trouble when not.
"How can you write that I am in trouble when there is no trouble at all?" Liato asked. "Don't be giving people headlines before you can even find out the truth."
When told that he was phoned to give his side of the story, Liato told the reporter to get answers from the spokesperson of the joint team of investigators Charity Munganga-Chanda who gave out the information.
Liato later on said the boreholes were sunk in June last year, but declined to give more information, saying he needed to consult his lawyers and asked to be phoned after an hour.
But after an hour, Liato's phone went unanswered.
On Wednesday, Liato was cautioned by the joint team of investigators probing the plunder of national resources for diverting boreholes and hammer mills donated to Kaoma Constituency to his farm.
The combined team comprising the Zambia Police, DEC and ACC recovered two of the stolen hammer mills from Liato's Mwembeshi farm.
Chanda said on Friday that Liato was cautioned on Wednesday around 16 hours.
She said two of the hammer mills were donated by International Drug Company while the other two were donated by Konkola Copper Mines (KCM) to Kaoma Central Constituency where Liato was member of parliament at the time.
Liato is already appearing in court over the K2.1 billion cash that was found buried at his farm in Mwembeshi.
Labels: AUSTIN LIATO, THE POST
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Liato in more trouble
By Mwala Kalaluka
Sat 18 Feb. 2012, 12:01 CAT
THE joint team of investigators probing the plunder of national resources on Wednesday
cautioned Austin Liato for diverting boreholes and hammer mills donated to Kaoma Central Constituency to his farm.And the combined probe team comprising the Zambia Police, Drug Enforcement Commission and Anti Corruption Commission has recovered two of the stolen hammer mills from Liato's Mwembeshi farm.
Spokesperson for the joint investigative team consisting of officers from the Zambia Police, DEC and ACC, Charity Munganga-Chanda said yesterday that Liato, a former labour minister, was cautioned on Wednesday.
"He was cautioned on Wednesday around 16:00 hours and he was cautioned over two offences; the first one being abuse of authority of office and the second one is theft," Munganga-Chanda said.
"It is in connection with four hammer mills that were donated to Kaoma community in Kaoma Central Constituency."
Munganga-Chanda said two of the hammer mills were donated by International Drug Company while the other two were donated by Konkola Copper Mines KCM to Kaoma Central where Liato was the member of parliament at the time.
"KCM again donated two boreholes to the same place," Munganga-Chanda said. "They boreholes were supposed to be sunk there Kaoma Central but now they were diverted and sunk on his private property."
Munganga-Chanda said investigations into the matter were ongoing.
And highly-placed ACC sources said the joint probe team recently seized two hammer mills from Liato's farm in Mwembeshi area in Lusaka West.
"They were found at this farm," the source said. "When this information was brought in, the people that were contracted to sink the boreholes were contacted and they took the police to where they sunk the boreholes."
The sources said one of the seized hammer mills was identified as having been donated by International Drug Company and the other was identified as having been donated by KCM.
They said the recovered hammer mills have since been taken to the joint investigative team's offices at the former Task Force on Corruption offices in Lusaka's Woodlands area.
The sources said in total, Liato was being cautioned over four hammer mills and two boreholes.
Liato is already appearing before Lusaka principal resident magistrate Aridah Chulu over the K2.1 billion cash that was found buried at his Mwembeshi farm.
Director of Public Prosecutions Mutembo Nchito has taken up the prosecution of Liato's K2.1 billion excavation case.
Labels: AUSTIN LIATO, BOREHOLES, CORRUPTION
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K2.1bn didn't pass through Liato's accounts - witness
By Maluba Jere
Wed 25 Jan. 2012, 13:58 CAT
A WITNESS has told the Lusaka magistrates' court that investigations conducted on Austin Liato's bank accounts revealed that the K2.1 billion unearthed from his farm did not pass through any accounts. And the court overruled an objection by defence lawyers to admit into evidence the K2.1 billion.
Meanwhile, principal resident magistrate Aridah Chulu has set March 30, 2012 as the date for ruling on whether or not Liato has a case to answer in the matter involving K2.1 billion.
Isaac Musonda, an assistant investigations officer at the Drug Enforcement Commission testified that he carried out bank searches to analyse and see whether the K2.1 billion found at the former labour minister's farm passed through his accounts.
Musonda said after analysing the bank statements from banks where Liato holds personal accounts, he found that cash inflow and outflow did not show any transactions involving K2.1 billion.
This is in a matter where Liato is charged with possession of property suspected of being proceeds of crime contrary to section 71(1) of the forfeiture of proceeds of crime Act number 19 of 2010 of the Laws of Zambia.
It is alleged that Liato on November 24, 2011 in Lusaka, possessed and concealed money at his farm number L/Mpamba/44 Mwembeshi amounting to K2.1 billion reasonably suspected on being proceeds of crime.
In examination-in-chief led by Director of Public Prosecutions Mutembo Nchito, Musonda testified that following his investigations, he was not satisfied with his findings and so he warned and cautioned Liato who elected to remain silent.
He said at the start of the investigations, he went to the Ministry of Lands to verify the owner of the land where money was unearthed and that he was issued with a printout stating that the property in question belonged to Liato.
"Subsequently, I made up my mind to formally charge and arrest the accused," he said.
"…I issued a notice of seizure to the accused person which indicated the total amount of money found at his farm and other properties that were found. He acknowledged receipt by signing the document and I gave him a copy to that effect."
In cross-examination, Musonda maintained that his investigations and searches on Liato's bank accounts revealed that there was no transaction showing a lump sum of K2.1 billion.
He named the banks he conducted searches on as Zanaco, Manda Hill branch, Indo Zambia Bank, Investrust and Finance Bank in Kaoma.
Musonda told the court that he restricted himself to conducting searches at banks because that was the only way to establish a trail of that money; as such, huge sums were expected to pass through the banks.
He further said he charged Liato with the subject offence because of the way the money was concealed and that Liato failed to give an account of that money.
Musonda added that although Liato has a right to keep money in any way he deems safe, the investigators were convinced that the K2.1 billion was a proceed of crime because of the way it was concealed, saying it did not show legitimacy.
"I do not agree that the money was there for safekeeping because it was my first time to see it buried like that," he said. "To my knowledge, there was something suspicious for the money to be buried in that manner."
Asked by defence lawyer Mutemwa Mutemwa whether there was a law in the country that prohibited a person from keeping money anywhere other than at the bank, Musonda said there was no such law but that the act of burying money underground raised suspicion.
He also said he established Liato's sources of income for the last 10 years by looking at his pay slips, the gratuity he got from the National Assembly and possibly proceeds from his lodge.
He added that the officers led Liato's workers to where the money was buried after they received information that there was money buried there.
And another witness testified that she was part of the investigating team that went to Liato's farm and dug out the K2.1 billion.
Chipezana Phiri Banda said her role in the investigation was to receive and record any items that would be found during the search at Liato's farm.
Banda said the money was found under two concrete slabs and later taken to the Bank of Zambia (BoZ) for safe custody and that it was also counted and verified there.
When Banda told the court that she wanted to have the money admitted as part of her evidence, the defence objected on grounds that the witness had not given sufficient description of the actual money she allegedly received, saying the money before court could be just any other money.
Moses Chitambala submitted that Banda had given sufficient description of the money to enable the court distinguish it from any other money that may be in the possession of the BoZ.
"It is very clear from this witness' evidence she has not had full custody of the money subject to these proceedings now before court," Chitambala said. "It is important and in the interest of justice for the witness to lay a sufficient foundation before money is produced."
And Mutemwa submitted that sufficient foundation must be laid before an intended exhibit is admitted into evidence.
"This witness has not even said how the money was packed and how many bundles in the first safe box…these are ingredients essential to distinguish this money the witness was talking about from any other money," Mutemwa said. "I submit that it is not as a matter of conjecture but on the proof of the identity of money that the intended exhibit may be admitted in evidence."
He said while the defence did not expect Banda to recite all the serial numbers on the notes, she was expected to at least have given even one number, saying Liato's liberty was at stake and the court should be slow to admit evidence which is thin and hazy.
But Nchito argued that the witness had testified that she was present when the money was dug out until it was taken to BoZ for custody.
He submitted that there was no reason of law why the money should not be admitted in evidence.
Ruling on the matter, magistrate Chulu said it was on record that the issue of money being dug out from Liato's farm was not in dispute.
She said it would be unreasonable for the money to be serialised considering that it was huge sums involved.
Magistrate Chulu said in the absence of any tampering of the money, it was the same money that was found at the farm and later safely secured at BoZ.
She then admitted the money in evidence and marked it.
In cross-examination, Banda said Liato was not at the farm when the officers went to search and when contacted to ensure he was present during the search, Liato told the officers that he was in Kaoma and would only be at the farm around 21:00 hours.
Banda who denied assertions that the amount dug out was K2.7 billion said the team could not wait for Liato to get back since his caretakers were present and due to the nature of the case.
She said no one had lodged any complaint to the effect that K600 million had not been accounted for.
Labels: AUSTIN LIATO
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It was wrong to bury K2.1bn - witness
By Maluba Jere
Sat 21 Jan. 2012, 19:50 CAT
A WITNESS yesterday testified that Austin Liato was not entitled to keep huge sums of money at his farm but at the bank.
Evans Biemba, 40 who used to work at Liato's farm but is currently staying at Lilayi Police College, told principal resident magistrate Aridah Chulu in cross-examination that he did not agree that the K2.1 billion buried at the former labour minister's farm was concealed to keep it away from thieves.
He said he was not familiar with the Laws of Zambia and that he did not have any bank account but insisted that money is supposed to be taken to the bank and not buried underground.
This is in a matter where Liato is charged with possession of property suspected to be proceeds of crime contrary to Section 71(1) of the Forfeiture of Proceeds of Crime Act number 19 of 2010 of the Laws of Zambia.
It is alleged that Liato on November 24, 2011, in Lusaka, possessed and concealed money at his farm number L/Mpamba/44 Mwembeshi amounting to K2.1 billion reasonably suspected of being proceeds of crime.
Asked by defence lawyer Nellie Muti how much money should be taken to the bank, Biemba said any amount above K5 million.
Earlier, Biemba who told the court that Liato was his uncle, said if he had known that Liato was a criminal, he would not have worked for him.
He said he knew Liato very well and that he was not a violent person.
Biemba testified that prior to the law enforcement agencies' discovery of the K2.1 billion, Liato never harassed or threatened to kill him.
Biemba who narrated several times before court how Liato and his relatives threatened to kill him and the other two workers at the farm after the K2.1 billion was discovered testified that although Liato had a right to keep money in a manner he deemed safe, it was wrong to bury money underground, saying the amount was too big.
Asked whether he was aware that Liato as a citizen of Zambia had a right to keep money wherever he wanted, Biemba said: "What you are saying is true but that money was just too much."
He further testified that his relationship with Liato had ended because of the utterances made to the effect that he and his co-workers would be killed or that they would go mad.
Biemba said he was not aware that K600 million of the money dug out from Liato's farm had not been accounted for.
Earlier in examination-in-chief led by Director of Public Prosecutions Mutembo Nchito, Biemba said Liato kept telling him and his co-workers that they had betrayed him over the K2.1 billion buried at the farm.
He narrated that two or three days after Liato was arrested in relation to the K2.1 billion and later released on police bond, he went to his farm in Mwembeshi around midnight and picked up his workers whom he accused of having sold him out to the police.
"He told me that I had sold him out and killed him; that his things were gone. So, I asked how I had sold him and he told me that ‘just keep quiet'," Biemba said.
He added that Liato, his brother Peter and his sister, slapped him at different times during the same night he picked them up from the farm.
"When we got to the tarmac, heading towards Mongu, Mr Liato told us we had sold him out. His elder brother, Peter, came out of the vehicle and slapped me at the back of my head," said Biemba.
"I asked him why he was slapping me and he said we were criminals. At Mwembeshi, at Mr. Liato's lodge…we asked why he was not letting us out of the vehicle and he said he would not do that because we are criminals. He said we were criminals who would be killed one after the other."
Another witness testified that he was working at Liato's farm when police officers went and unearthed two trunks of money.
Kalu Chiswaswa told the court that he accompanied the police officers to the police station and witnessed the money being counted although he did not take part in the actual counting.
Trial in the matter continues on January 24, 2011.
Labels: AUSTIN LIATO, CORRUPTION
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Liato threatened to kill workers over K2.1bn exposé, says witness
By Maluba Jere and Namatama Mundia
Fri 20 Jan. 2012, 13:58 CAT
A WITNESS yesterday testified that Austin Liato threatened to kill him and two other farm workers because Liato thought they informed police about the K2.1 billion buried at his farm.
And a heavy presence of armed police officers, seemingly fearing a court heist, yesterday brought business at the Magistrates' Court to a standstill when they surrounded the magistrates' complex as the trunks containing the K2.1 billion were hauled to court as exhibit.
Paul Lumano Kayando, a former worker at Liato's Mwembeshi Farm now residing at Lilayi Police College, told principal resident magistrate Aridah Chulu that after a combined team of police officers unearthed money from Liato's farm, the former labour minister accused his workers of being crooks and said that they would die.
He said when Liato threatened to kill him as well as his co-workers, they told him to go and kill President Michael Sata first because he was the one who sent the police officers to unearth money from his farm.
This is in a matter where Liato is charged with possession of property suspected of being proceeds of crime contrary to Section 71(1) of the forfeiture of proceeds of crime Act number 19 of 2010 of the Laws of Zambia.
It is alleged that Liato on November 24, 2011 in Lusaka, possessed and concealed money at his farm number L/Mpamba/44 Mwembeshi amounting to K2.1 billion reasonably suspected of being proceeds of crime.
During examination in chief led by Director of Public Prosecutions Mutembo Nchito, Kayando said he started working at Liato's farm on January 27, 2011 and that there was one big house, another house for the workers, a garage, a bathroom, a toilet and a small house.
He, however, said other structures at the farm were built just after the last general elections but that he could not recall the exact date.
Kayando said he was not at the farm when the structures in question were built as he had travelled to Kaoma for a bereavement.
He said when he returned from Kaoma, he found a new structure, which he said was not opened.
Kayando testified that the chalet in issue was round with big windows and that it had a lock with an alarm system.
"When I asked Liato what the house was for, he told me he wanted to be using it for roasting meat and when I peeped inside I saw nothing," he said.
Kayando narrated that on November 24 around 13:00 hours, police officers went to the farm and ordered the workers to be in one place and not move around.
He said when he and the other workers asked who the men were, they were told that they were police officers who were looking for something at the farm as they had been sent by the President.
"They said they would conduct searches starting with our houses but before searching us, they asked us to search them. They put their phones down and we searched them," Kayando said.
"After we searched them, they also searched us. They told us that among them there was a group from Drug Enforcement Commission and that if they found anyone of us with dagga, they would arrest us."
He added that the police asked the workers if there were any new houses built and whether we were around when the same were built.
Kayando said the police officers told the workers to go and show them the new house and that he and his co-workers told the officers that they knew nothing about the new house.
"They went and checked what was in the garage and then they took us to the chalet where they started taking pictures of the chalet. We phoned Mr. Liato that he should come because police had entered his land and he told us that we should leave them to do whatever they wanted," said Kayando.
"They took pictures of the house outside and one of the police officers went back to their car and got a shovel and a pick."
He said the locks to the chalet had an alarm which would go off when touched saying he and the other workers used to hear the alarm go off most of the time because goats usually go near the house.
"It was a grill door and small goats would go in then the alarm on the door would go off," Kayando said.
"We never discussed this with Liato. He told us the keys were with the younger brother. Things changed when they made a chalet and the garage. Before I went to Kaoma, I am the one who used to keep the keys but when I was going to Kaoma, Liato got the keys. So, when we told the police we did not have the keys to the chalet, the police broke the gate."
He further testified that when police entered the chalet, they started knocking the ground and it sounded like there was a hole in the ground.
Kayando told the court that he was not feeling well so the police asked two of his co-workers to dig the ground inside the chalet.
He said after the ground was dug, police officers called him and his friends and asked them what they were seeing.
"They police peeped inside and I also peeped. I saw two trunks, they got two trunks from the hole, Kayando said.
"They were big black metal trunks and they removed them out of the chalet. They told us they were going to open the trunks so we could all see what was inside. They opened one and found a small safe deposit box.
"They opened the trunk by hitting the locks with an iron bar. The safe looked like it had a remote. The police tried to open it but they failed so they got the iron bars and started hitting the safe on the sides and that is when it opened. They found that there was money inside."
Asked what he did when police asked him and his colleagues when the police discovered the money, Kayando caused laughter not only to the people in the packed court room but Liato himself when he said "vinatibaba kumutima maningi kaili ma salary yamene tenze kutenga yenze yangongo." (It pained us a lot because the salaries we were getting were too meagre.)
He said police opened two safe deposit boxes in two trunks and that the safe deposit boxes contained K50,000 and K20,000 notes.
Kayando added that police then put all the money back in the trunks and asked Liato's workers to carry them to the car.
At that point, Nchito applied to have the matter stood down for a few minutes so that the money in question could be brought for identification purposes.
Heavily armed plain-clothed and uniformed police officers sealed off the area from the magistrates' complex car park and passage leading to Court five with no one allowed to pass as the money was being hauled to the court room.
Labels: AUSTIN LIATO, CORRUPTION, DEATH THREATS, MMD
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Magistrate handling Liato's case recuses himself
By Maluba Jere
Tue 17 Jan. 2012, 13:59 CAT
CHIEF resident magistrate Joshua Banda has recused himself from handling a case where Austin Liato is in court over K2.1 billion that was discovered buried at his farm. A combined team of law enforcement officers last November unearthed and seized K2.1 billion cash from Liato's farm in Lusaka West.
Officers from the police, Anti-Corruption Commission and the Drug Enforcement Commission undertook a two-hour joint operation to uncover and seize the money buried in two trunks at Liato's farm No. 44 in Mwembeshi area.
The stacks of cash bundles were in K50,000 notes.
When the matter came up for commencement of trial yesterday, magistrate Banda told the parties that he was recusing himself from the matter and directed that Liato retakes plea before principal resident magistrate Aridah Chulu and that trial should commence.
When the matter was called before magistrate Chulu, the state told the court that the matter should be mentioned and adjourned to February 20, this year for another mention.
The state said the Director of Public Prosecutions was studying the matter and that they state would proceed after receiving instructions from the DPP on the way forward.
In response, defence lawyer Mutemwa Mutemwa objected to the application on grounds that the state should be serious in prosecuting matters.
Mutemwa said the state rushed to effect an arrest on their client and that the story to that effect had been published widely in the media.
He submitted that there was no law either in the Criminal Procedure Code (CPC) or judicial precedent that the state should seek instructions from the DPP in a matter of such nature which he said does not require consent.
Mutemwa said Liato's rights were being violated by the state's conduct, saying trial dates had already been set by both parties at the last hearing.
"They should take issues of liberty of the accused person seriously," he said.
Ruling on the matter, magistrate Chulu said in any matter before court, it was not just the prosecution who required justice saying even accused persons were entitled to receive justice.
She noted that the matter was scheduled for trial the whole of this week and that the period for which the state was applying to adjourn the matter to was too long considering that parties had already agreed that trial should commence.
Magistrate Chulu told the parties that proceedings were not driven by the parties but the court thereby ordering that the matter comes up for trial tomorrow.
"You people were ready for trial and I don't see the need to adjourn to February for a mention," she said.
"I think that is not justice as it says justice delayed is justice denied. So, get the necessary instructions from the DPP and let us proceed with trial tomorrow."
In this matter, Liato pleaded not guilty to one count of receiving or retaining stolen property contrary to Section 318(1) of the Penal Code Chapter 87 of the Laws of Zambia.
It is alleged that on unknown date but between September 1, 2011 and November 24, 2011 in Lusaka Liato received and or returned money amounting to K2.1 billion knowing or having reasons to believe the same to have been feloniously stolen, taken, extorted, obtained or disposed of.
Trial in the matter commences tomorrow.
Labels: AUSTIN LIATO, COURTS
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Media irks Austin Liato
By Chibaula Silwamba and Maluba Jere
Mon 05 Dec. 2011, 14:00 CAT
AUSTIN Liato yesterday said some journalists want to crucify him. And investigators have seized vehicles and farming equipment from Liato's farm in Mwembeshi as part of their ongoing investigations.
In an interview yesterday, Liato accused some journalists of trying to crucify him going by the way they were writing stories concerning his K2.1 bilion.
"It's them journalists who want to crucify me. Let them go ahead," said Liato.
He said he would not discuss the K2.1 billion issue because it was in court but there would be a time when he would openly talk about it.
"I don't want to start talking about it now. I think that my time to talk will come. Let me talk at the right time," he said.
Asked on his political standing now, Liato said he had problems commenting because the matter was in court.
Sources yesterday disclosed that investigators that went to Liato's farm on Wednesday seized a Mercedes Benz car, Mitsubishi Pajero, tractor and two ploughs.
But Liato said those were seized a long time ago.
Zambia Police, Drug Enforcement Commission (DEC) and Anti Corruption Commission (ACC) officers dug out K2.1 billion from Liato's farm on November 24, 2011.
When contacted for a comment on Saturday, Lusaka Province police commissioner Charity Katanga said investigations in the matter were on-going.
A source said: "It seems the former minister did not even know the amount underground."
And sources revealed that Liato, one of his named relatives and two unknown people on Thursday night roughed up three workers at the farm, accusing them of having informed the police about the K2.1 billion.
According to sources, Liato's relatives have started a witch-hunt against the five workers - three males and two females - at the farm, accusing them of having leaked the information to the law enforcement agencies about the money being buried underground at the farm.
The relatives allegedly abducted three workers on Thursday night and queried them about the money.
The sources said a combined team of police, ACC and DEC officers that visited Liato's farm was informed that the three workers were picked by people close to Liato.
One of the abducted workers told police that their abductors accused them of having reported the K2.1 billion case to the police.
However, a close family member said the abduction allegatiåçons against Liato were false.
According to a family member, there were no workers that were abducted at the farm.
"If someone can write a story like that, then that is a person who is doing something wrong with somebody," said a close family member.
Labels: AUSTIN LIATO, CORRUPTION, JOURNALISM, MMD
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Money speaks
By Maluba Jere
Fri 02 Dec. 2011, 14:00 CAT
AUSTIN Liato's relatives yesterday harassed and beat up journalists who went to cover their paymaster at the magistrates' court complex where he appeared over the K2.1 billion uncovered from his farm.
The relatives beat up journalists after Liato who has been granted K50 million cash bail was being led to the holding cells while waiting to be released from police custody. The harassment of journalists happened in full view of police officers who watched helplessly.
Some relatives hurled insults at journalists for taking pictures of their relative.
Post photojournalist Joseph Mwenda, who was the first victim, had his 1D Mark 4 Canon Digital camera broken by the unruly relatives who slapped him in the face and pushed him away from the direction where Liato was coming from. The culprit has since been arrested.
Other journalists who were beaten were Richard Mulonga from Times of Zambia, Mackson Wasamunu from Zambia Daily Mail and Muvi TV managing editor Mabvuto Phiri.
When police officers from Ridgeway Police Post within the magistrates' court arrived, instead of going for the culprits they dragged Mulonga saying they would lock him up.
This insensed the journalists present who offered to be locked up with their colleague, saying he had not committed any offence and wondered why he was being whisked away.
But the officers later explained that they thought Mulonga was the culprit when in fact he was a victim.
At that point, the photojournalists who were beaten were taken to the police post where they lodged in complaints.
Mulonga, Phiri and Wasamunu were all issued with police reports which they went with to the University Teaching Hospital.
Two of Liato's relatives were apprehended by police after being identified on the photos taken by journalists as being among those who harassed the journalists.
And the Press Freedom Committee (PFC) of The Post has condemned the attack on innocent journalists.
PFC executive secretary Leah Kabamba said there was no justification for targeting the journalists, who had found themselves at the court grounds to execute their duty of informing the public.
She described the attacks as barbaric and malicious.
"Journalists do not need anyone's permission to inform the general public on matters of public interest. There is no room for such a barbaric and malicious behaviour in a civilised society like ours," she said.
"This attack renders the safety of journalists at our court grounds vulnerable. We demand the unreserved safety of journalists during their course of duty. This is cardinal if the public is to benefit from the journalistic work."
Kabamba called on law enforcement agencies to ensure safety of journalists was guaranteed at all times.
"We demand deterrent judicial measures that would prevent recurrence of such ugly scenes in our society," said Kabamba.
Earlier, Liato appeared before chief resident magistrate Joshua Banda where he pleaded not guilty to one count of receiving or retaining stolen property contrary to Section 318(1) of the Penal Code Chapter 87 of the Laws of Zambia.
It is alleged that on an unknown date but between September 1, 2011 and November 24, 2011 in Lusaka Liato received and or retained money amounting to K2.1 billion knowing or having reasons to believe the same to have been feloniously stolen, taken, extorted, obtained or disposed of.
Liato told magistrate Banda that he understood the charge but denied committing the offence and the court entered a plea of not guilty.
At that point, Liato's lawyer Nelly Mutti applied for bail saying the accused was of fixed abode and that he had availed himself before the police when he was summoned.
Mutti told magistrate Banda that the charge against Liato was bailable and asked the court to exercise its discretion in granting the accused bail.
She submitted that Liato was not feeling well saying he had high blood pressure, adding that the past two days he had been in custody his BP had risen too high.
"Further, the accused will be ready and willing to abide by any reasonable conditions that the court will set in the event that the bail application is granted," Muti submitted.
Another defence lawyer Mutemwa Mutemwa submitted that Liato's passport has been seized meaning his client could not leave the country.
Mutemwa further urged the court to take judicial notice of the fact that Liato was a senior citizen who rose to the position of minister in the previous government and that he should therefore be given a benefit of doubt for the application sought.
In response, Divisions Prosecutions Officer Christopher Kanema said the state had no objection to the application.
However, Kanema said Liato evaded the police adding that if the court was to grant the defence their application for bail, Liato should provide traceable working sureties among other conditions.
But Mutemwa argued that it was not true that Liato evaded the police when he was wanted.
He said his client was in his constituency in Kaoma organising witnesses for his election petition case.
Mutemwa said while he was in Kaoma, Liato fell sick and that that development was brought to the attention of the Task Force and that the Inspector General of Police was subsequently informed.
He told the court that they then agreed on a day when Liato would avail himself to the police.
Mutemwa said the state should not solicit harsh conditions to be attached to the bail just because the money involved was K2.1 billion.
Ruling on the matter, magistrate Banda granted Liato K50 million cash bail with two working sureties with the like sum in their own recognizance.
Magistrate Banda also ordered Liato to surrender his passport to the senior clerk of court.
Trial in the case has been set for January 16, 2012 while mention has been set for December 22, this year.
Labels: AUSTIN LIATO, CORRUPTION
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Liato still in custody
By Kombe Chimpinde and Chibaula Silwamba
Thu 01 Dec. 2011, 13:58 CAT
POLICE yesterday continued with their investigations and interrogation of former labour minister Austin Liato in connection with the K2.1 billion that was retrieved from his Mwembeshi farm last Thursday.
By 15 hours yesterday, Liato had not yet been formally charged and was still in police detention at Woodlands Police Station as his lawyers from Lukona and Mutemwa Chambers tried to secure his release. Police spokesperson Elizabeth Kanjela said further investigations were being conducted on Liato before any charges could be laid against him.
Liato turned himself in around 15:00hours on Tuesday after repeated callouts by the police for him to appear before a combined team of security agencies in connection with the K2.1 billion that was dug up at his farm in Mwembeshi.
Liato arrived at the former Task Force Offices in the company of six of his relatives and political ally Joseph Mulyata, the former defence deputy minister in the previous government.
He was interrogated for over two hours before he was whisked away by security officers to his house in Kalundu where a search was conducted for about two hours.
Scores of journalists who were present were denied entry to the house during the search.
And sources said Liato kept quiet throughout the two-hour interrogation.
"He was not speaking, only his lawyers were speaking," the source said.
The sources said investigators were expected to move Liato to his farm in Mwembeshi where the money was unearthed for scene identification for him to confirm whether or not he owns the premises in question.
The sources said Liato was believed to have been in Kaoma, a constituency where he was member of parliament for 10 years, and had not fully briefed his lawyers concerning the K2.1 billion before he appeared to the combined team of Zambia Police, Anti Corruption Commission and Drug Enforcement Commission officers that are investigating the case.
Labels: AUSTIN LIATO, COURTS
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ZRA wants share of ‘Liato’s’ K2.1 bn
TIME PUBLISHED - Wednesday, November 30, 2011, 9:29 am
THE Zambia Revenue Authority (ZRA) is exploring ways through which it could tax the K2.1 billion investigative wings say they discovered at former Labour Minister, Austin Liato’s farm, last week.
ZRA Commissioner-General, Berlin Msiska, said in a statement yesterday that taxation did not consider whether income was from a legitimate source, such as a business, or not, but focused on the fact that income had been received by a person.
Mr. Msiska said that ZRA was, in this regard, interested in the various cases being investigated by the security wings such as “the case where money to the sum of K2.1 billion was discovered by investigative authorities.”
Mr Msiska said what was material was the fact that the income had been paid to, given or accrued to the person. He said this also applied to income that was, in any way, disposed of in accordance with a person’s order or in a person’s favour.
“We are mindful that tax avoidance and tax evasion culminate in several hindrances. Tax equity is not attained and invariably complying taxpayers have to pay taxes for those who are non-compliant. The Government is also deprived of the much needed resources that are required for developmental programmes,” he said.
Mr Msiska said ZRA would therefore work, at all times, within its mandate, with the security wings of the Government to ensure accountability regarding the payment of the correct taxes.
And Police say we have warned and cautioned him over K2.1bn. “We have enough reasons to arrest him, we will but for now we have warned and cautioned Mr Liato,” said Elizabeth Kanjela, police assistant commissioner after Austin Liato ended a more than 48 hour hide and seek game and handed himself to authorities. Mr Liato will remain in state custody until he appears in court.
Mr Liato arrived at the former task force offices at 15:00 hours yesterday in a white Land Cruiser VX registration No. ABX 5232 (tinted glasses) driven by his younger brother Steven with others who include former Western Province deputy minister Joseph Mulyata. He was dressed in a short sleeved blue and white shirt and looked calm. It was business as usual.
About 17:00 hours, he was driven in a police Nissan Hard Body van to his other house in Kalundu – not the location of the K2.1 billion – where another search was conducted from 17:40 hours up to 19:40 hours.
Mr Liato was then driven to Woodlands police station where he must have spent the night according to detention orders.
When asked to comment and Mr Liato said “I have no comment” in the presence of his lawyers from Mutemwa Chamber and Nelly Mutti from Lukona Chambers, both up-market firms of high repute and cost.
Investigators did not say what the “procedural” check found at his Kalundu house. Ms Kanjela from police, however, said – in addition to what the Inspector-General Martin Malama said – “police will continue with their investigations.”
Earlier, police questioned a woman from Kaoma, believed to be Mr Liato’s acquaintance but they did not explain the relationship. The woman arrived at the former task force offices around 09:00 hours and left four hours later.
She could have communicated frequently with the ‘K2 billion man’ from the time the money was discovered but police are not speaking.
Former permanent secretary Peter Mumba was also questioned by a combined team of law enforcement officers. Mr Mumba arrived at 11:00 hours and left at 12:40 hours for ‘talks’.
He said he had been requested to come to the former task force offices by law enforcement officers and was happy with the manner the discussions were held.
Labels: AUSTIN LIATO, BERLIN MSISKA, CORRUPTION, TAX EVASION, ZRA
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