Thursday, March 28, 2024

Government dissolves the Board of Zambia Railways Limited with immediate effect

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Tranport Minister Christopher Yaluma
Tranport Minister Christopher Yaluma

Government has with immediate effect dissolved the Board of Zambia Railways Limited (ZRL) and that forensic investigations and audits will be instituted to ascertain the truth on alleged gross mismanagement of the company.

Works, Supply, Communications and Transport Minister Christopher Yaluma said in Lusaka today that he has written letters to the ZRL Board about Government’s decision to dissolve them.

Mr Yaluma told journalists that Government was concerned with operations of ZRL and the first step it had taken to restore sanity after the revelations was to dissolve the Board.

He said Government’s desire was to realign the objectives of ZRL and that forensic investigations and audits would be engaged to ascertain revelations of financial misuse.

[pullquote]“The ZRL Board was dissolved on Thursday last week in the afternoon. For now, they have no blessings from Government in whatever they will do because that will be done in their individual capacities.[/pullquote]

“The ZRL Board was dissolved on Thursday last week in the afternoon. For now, they have no blessings from Government in whatever they will do because that will be done in their individual capacities.

“ZRL is an important industry that we need as a country and when we hear of allegations we have to carry out smooth investigations on the matter and the first step to restore sanity now, is by dissolving the board,” he said.

Mr Yaluma said Government had embarked on an ambitious developmental programme to revamp the railway sector by redesigning it to higher standards in order for it to bring desired revenues.

He said Government was resuscitating ZRL and could not remain quiet with allegations of financial misconduct and subsequent a ‘war of words’ between the dissolved Board and management.

Government recently said that the financially beleaguered ZRL would receive capital injection amounting to $120 million (K600 billion) for use in undertaking a major facelift following Zambia’s successful issuance of the first sovereign bond amounting to $750 million.

The Board comprised former Task Force chairperson Mark Chona as board chairperson economist Oliver Saasa as deputy. Other members are Transport Permanent Secretary (PS) Muyenga Antanga, Commence and Trade PS Stephen Mwansa and Ministry of Finance PS for budget Pamela Chibonga.

Solicitor General Musa Mwenye, Road Transport and Safety Agency executive director Zindaba Soko, a consultant Jornam Mwansa, a lawyer Irene Zeko Mbewe, a mechanical engineer and consultant Geoffrey Mulenga and a retired ZRL worker Richard Chipanama, are others.

84 COMMENTS

  1. Yes ! Just what i wanted.Now the professor can work in peace.I think that professor Sasa was up to something.

    • Hopeless board got what it deserved.ZRL needs Chirwa more than he needs ZRL.The same board has been in place and the company was almost obsolete.They were just to timid to accept new ideas and challenges.

    • Iwe dont suport this chirwa. Do u know how much is k248 milion here as yo monthly salary plus k2.5 bilion anual bonus. What abt k72 milion 4 rent every month. As a person who reasons properly he should b able 2 tell th difference between wrking in uk and working in zambia.

    • Mo taim Please reason with your head. An organisation like ZRL cannot function without a board for checks and balances. This is also what good governance demands. How can you trust this prof. chirwa with public funds. is he a god. Just look at his conditions of service he is demanding. Even tickets for his wife and children to go global trotting. Lol

    • Mistake number 1 – Put the CART BEFORE THE HORSE – Appoint a CEO then appoint a board of directors. How will the CEO ever be answerable to the board?
      Miistake number 2 – Remove the CART which is infront of the horse because it is faulty and bring in a new CART which once again you put in front of the horse.

      It is not a mistake to make a mistake. But it is sheer stupidity and dumbness to REPEAT THE SAME MISTAKE.

      CHIRWA IS A CON MAN….

    • YOU ARE DUMB…..WORK IN PEACE? THIS NIGGA IS STEALING OUR MONEY….THE GUYS HAS NOT EVEN ADDRESSED THE ALLEGATIONS FROM THE BOARD. YOU ARE A CEO AND YOU HIRE YOUR OWN COMPANY WITHOUT A TENDER? WHERE ON EARTH? THIS GUY THINK ZAMBIANS ARE STUPID…AND THE WAY GRZ IS ACTING YOU MIGHT THINK HE IS RIGHT

    • after underestimating the problems now you dissolve the board and protect Prof Chirwa. He should stand down and explain.

  2. You should have also suspended the management as they are the accused party. How can you carry out the so called forensic investigation of mismanagement if you leave the managers in situ. The Board you’ve conveniently gotten rid of are not responsible for the alleged gross mismanagement. It seems you are trying to hide something. Remember these are funds Zambians will have to payback to the people you borrowed from. We need an independent investigations of the going ons at ZRL. The whole thing is fishy. Lets have a judicial tribunal!

    • The main objective here is start the process of getting Zambia Railways limited on the road to recovery as soon as possible so that mother Zambia can have effective and efficient railway networks, linked to other developing countries such as Angola, Mozambique, Zimbabwe, Botswana, etc.
      The railway re-development of the railway infrastructure will immediately contribute to the economy of the country. Furthermore, this will take a load of the road infrastructure which is, at the moment saturated by heavy commercial trucks to and from countries such as Zimbabwe, Botswana and South Africa.
      Please guys, let us give him a chance !! If he fails then you can condemn him. Right now he needs everyone’s support and encouragement because he is one of our own !!

  3. Is this not the same moron who said few days ago that everthing has been sorted and life is back to normal. The good question is why the board lifted the lid on corruption and abuse of office by Chirwa after being exposed. I think Chirwa was also supposed to be suspended because they are all as bad as each other. We needed a new director and new board members. Moreover, Chirwa is not the only one who can do the job. We are so many educated and experienced people across the globe who are Zambians and can do the job than this arm chair intellectual.

  4. Yes!! Let the forensic investigators and auditors also disclose what Professor Chirwa’s terms of contract are. Should someone really be paid that much? And how can we hand over 25% of our national railway to one individual?

  5. I think this is a wrong move, reactionary and just an easy way out by Government. Is Prof Chirwa still the CEO without the board? I think the wise thing to do would be to suspend him too. I think both parties here have merit in their issues against each other and as I said in my last post on this issue , this was health for Zambia Railways in terms of checks and balances. Government should have arbitrated btween these two waring parties and no one person , no matter how gifted they are possess monopoly over wisdom. There is always safety in the advise of multitudes. I will be sad to see the appointment of a yes sir yes sir board.

    I still maintain, this was the right board to work with Prof Chirwa.

    • Protecting Prof Chirwa the same way GBM and Wynter, Masebo versus the ZAWA board where protected. Investigations will go nowhere.

    • i agree with u. like i said else where with this move prof. chirwa will be untachable by the incoming board.fair way dear ba chris was to suspend both parties then investigate, or leave both parties working then ordering them to cease fire while the audit is going on. with this action the board{former} is already deemed to be in the wrong

    • Terrible move by the Government, they should have left alone to sort themselves out. I hope the in coming board won’t be toothless. However, despite the dissolution of the board I still think the good Professor has gotten the message that he won’t have his way all the time and that from now onwards the spotlight will be on him.
      We’ve an issue here we now want to see how relevant the likes of HH and his MMD brother are to the nation, they need to take interest on this one and ensure the $120 million does not disappear.

  6. PF cadres please think before commenting, Clive Chirwa will not survive, he does not have management experience! Before long the $120M will gone and Chirwa will be teaching somewhere in the UK again. His vision while attainable under right circumstances, is grandiose or wishful thinking for an African Country. If you cannot maintain State house, how will you maintain a modern rail line?

    • He will have stolen enough not to go back to teaching! He is demanding $560,000 a year plus K2.6b a year bonus every year for 5yrs. Obviously he knows that after a years pay plus bonus he can afford to walk away with a cool £1m and who wouldn’t survive on that in the UK?

  7. Chirwa is a crook who wants to Swindle ZRL then use the money for his Presidential ambitions which he does not even have the capacity for. USELESS GUY I know him too well, contact me if you need any info. about the chap!

  8. Typical of Zambians.Just a while ago Chirwa was proclaimed and praised as the long awaited messiah of ZRL.Now the very bloggers who were in a Chirwa Hallelujah trance are now condemning him like those thieves who died beside Jesus.Zambians just like reaping where they did not sow.The board hates Chirwa for trying to teach them the importance of reaping where one sows his own seeds.

  9. THIS IS DANGEROUS TERRITORY. A CORPORATION IS DOOMED TO FAIL IF IT ALLOWS A CEO TO RUN RAMPANT WITHOUT THE CHECKS AND BALANCES OF A BOARD OF DIRECTORS. JUST LIKE IT IS DANGEROUS FOR A DEMOCRACY TO ALLOW THE PRESIDENT TO DO IT ALL WITHOUT CHECKS AND BALANCES OF THE JUDICIARY AND LEGISLATURE.

  10. WHAT’S WRONG WITH THIS PICTURE? WHY NO SUSPEND CHIRWA AS WELL IF THE ISSUE IS GROSS MISMANAGEMENT AND FINANCIAL MISUSE. THIS FALLS UNDER THE CEO WHO MANAGES THE COMPANY. ALSO WE ARE TALKING OF APPROX. 10 MEMBERS VERSUS ONE MD.????????????????????????????

    • Is your caps lock broken? Just wondering why people still type in capital letters as if the message would change. Just saying, everyone reads what you post, don’t spoil your message.

  11. Lets go Chirwa ! You shouldn’t allow yourself to be run over by those corrupt individuals who thought they had built niches in ZRL.

    • The President is the cause of this problem? If he had followed due process of appointing a board first then allow the board to do their job in appointing a CEO then we wouldn’t be discussing this issue today.

  12. Bravo Chirwa.The man should be left to implement his plans. Most boards behave like the ZR board. Only that the CEOs are in most cases too scared to spill the beans. A clean up is needed urgently.

  13. The minister Yaluma is a disgrace, a few days ago he said there were no problems at Zambia Railways and today he is not even ashamed to make this contradictory statement. Anyway it is typical of the PF and it’s GRZ, inconsistencies and U-turns day in day out.
    As for Pro Chirwa it looks like all is over for him.

  14. Even the names of the people in the board speaks volumes.Professor Sasa is the only credible person i can single out in that board, but again there is a chance of him being jealous of the other professor(Chirwa) looking at the semi-God statuses professors wants to be accorded in Zambia.I think he felt threatened by Chirwa.His shadow was just too much for him to handle.Maybe it is about time we started calling these professors by their first names like in Europe.

  15. This Yaluma has no shame. Less than 24 hours ago , he swore there were no problems. And now this! The country is in the wrong hands…..this poor management. Most probability he has just been instructed to make this announcement!

  16. Why are Africans like this? No matter how educated one maybe still misbehaves.Educated fools ! We nid the President with more teeth. Africans nid an iron fist to ensure their monkeysh charector is squeesed out of them.Shame on u *****s.let Mcs work.

  17. That’s why I love the system that we have in Norway, no titles to any name, whether professor, doctor or whatever, even if you are Prime Minister, we still call you by your first name. Some of these titles get to certain people’s heads, they start thinking they are more human or learned than everyone else

  18. THERE MUST B MORE THAN WHAT MEETS THE EYES. SELFISH ZAMBIANS DON’T WANT THE RAIL VENTURE 2 B SUCCESSFULL.I MEAN THESE IN THE TRANSPORT SECTOR MAY HAVE A HAND IN THIS CHAOS. ‘FRUSTRATE CHIRWA .’ ‘HE IS GOING TO KILL OUR BUSINESS’.SO THEY SAY.

  19. Zambian Ph.D. mentality is the root of all ignorance, boy all boy, and they will insist that you address them as such. I have a Zambian friend Ph.D. in social work, with the following message on his private cell phone ” You have reached Dr. ………………., I am sorry I am unavailable to answer your call please…….”
    Everybody rushes to get these Ph.D., very soon we will have H.E Dr. Micheal Sata, H.E Dr. Miles Sampa following the foot steps of Dr. Fredrick Chiluba, Dr. Mwanawasa and the list is endless. What have they accomplished? Do Clive Chirwa’s qualifications qualify him to manage ZR, does he have experience managing a private company such as ZR?

  20. I JUST VISITED THE ZWD .THE MINISTER THAT APPOINTED SAASA AND CHONA MADE A GRAVE MISTAKE. THESE CHAPS ARE AGAINST PF . ZWD ARE REALLY DEMONS. THEIR APPROACH WILL NEVER TAKE THEM ANYWHERE. UMULOMO BASHETANI!

  21. Appoint this Man AQ Zafar he was the brains behind the finances at Indeco in the 90’s and a director at ZRL. You want accountability you shall have it.

  22. HOW IS CLIVE A UK CITIZEN WHEN NOT TOO LONG AGO HE WAS CONTESTING PRESIDENCY OF MMD AND TALKING OF JOINING MMD? AFTER BEING APPOINTED HE SAYS HE RELINQUISHED HIS UK CITIZENSHIP. WHAT’S UP WITH THIS CHIRWA.

  23. Just usher in a new team of Board Members and CEO. Give a chance to other bright Zambians we have in the country. Revamping ZRL should not be that complicated as percieved. By now work should have already started with the most obvious things such as laying down of the rail tracks sector by sector starting with the copperbelt going south. The exercise is going to be labor intensive, however, doable with minimum heavy duty machinery. The colonial masters did it, so why can’t we do it as well without spending too much money? Take an example of the Luanshya to Ndola sector. On this one, not much surveying or clearing of land is needed. All we need is crushed stones, timber sleepers, rails, railanchors, human labor, two tipper trucks, and two cranes for lifting. How much education is needed?

  24. No quarrel with Yaluma’s actions to probe corruption but this ka Chirwa guy is being given more credit than his ‘reputation’ demands. As far as iam concerned Prof Saasa is more reliable than arrogant Chirwa. Saasa we know him Chirwa we only hear about his exploits from the internet

  25. Forensic audit of finances on allegations of gross financial mismanagement. This is already revealing where the problem is; Professor Chirwa. Does the Board sign Cheques or its management? The Board is demanding… This means they haven’t yet been paid, and yet there are allegations of financial mismanagement for which the Board has received a sack. And if there are demanding, it must surely mean they have no power to the safe and therefore they can’t mismanage something they have no access to. So where is the gross mismanagement being traced to other than Chirwa? Such an irrational decision can only come from the ‘god father’ in high places. It really doesn’t add up.

  26. This is the selfsame Christopher Yaluma who said there was nothing to worry about yet he had dissolved the board before they could make a press statement? This is what happens when you try to cover up even when it’s not necessary to. When you are used to a gov’t culture of not being transparent and accountable…where a president can spend 2 years in office without facing the media. When is this gov’t going to stop treating us like kids? And you expect the selfsame people to believe you when you tell them that the president is not sick..really laughable.
    We deserve better than this people!!

  27. Clarification…Clive must go too. “He said Government was resuscitating ZRL and could not remain quiet with allegations of financial misconduct and subsequent a ‘war of words’ between the dissolved Board and management.”
    My understanding in the statement above is that no one will or should survive. Clive has always had hidden agendas to become presido, with his crappy theory’s. The man is merely a job seeker whose was probably unemployed in the UK. If he claims to be a millionaire in Sterling, why not invest in his own rail system in Zed and create the 10,000 jobs. Mr Kavindeli has done it and Richard Branson.

    No smoke without fire Bwana. We yet to see if the previous Boards allegations were true of Professor Clown’ remuneration demands “Mu pelini umwando wa ku yi kulika eka”

  28. Prof Chirwa agrees to the hefty salary and says it is not an anomaly but was agreed on between him and the govt at the time of engagement. One thin very clear ladies and gentlemen, Prof Chirwa is a fraudster. He cheated the Govt that he was going to make a ceratin amount of profits per month hence a negotiated deal. But now where is that money coming from? What is his deputy getting if both are working in the same firm? What is the difference between him the highest paid and the least paid worker? This whole thing sounds rotten and raises a lot of questions.

  29. Since Prof Chriwa sacrificed to build Zambia Railways to the point of giving up his citizenship it would only be right if he worked voluntarily and then be paid a performance allowance at the end based upon the successful implementation of the Project which he could donate to a local Zambian charity or to people who are struggling to meet basic needs. A lesson for diasporans ensure you make money abroad and when you offer to build Zambia do it voluntarily, those salary expenses and allowances are really exhorbitant above the board for an economy like Zambia. Even majority of Americans do not make that amount of money. Based on the Internal Revenue Service’s 2010 database below, here’s how much the top Americans make:Top 1%: $380,354, Top 5%: $159,619, Top 10%: $113,799, Top 25%: $67,280,…

    • what crap are you reading???? The top 1% don’t make their money via salaries but options & shares & bonuses which come in their millions!!!!!!!!

  30. Even majority of employed Americans do not make that amount of money. Based on the Internal Revenue Service’s 2010 database below, here’s how much the top Americans make annually: Top 1%: $380,354, Top 5%: $159,619, Top 10%: $113,799, Top 25%: $67,280, Top 50%: >$33,048.

  31. Maybe once Zambia Railways is very profitable the salary of the CEO can compete with the average salary of CEO’s in the USA,bonuses, allowances of CEO’s of profitable companies in the USA receive an average salary of $10 million per year with the exception of
    Eric Schmidt, Google, Inc. $101 million (company market cap: $264 billion)
    Larry Ellison, Oracle Corp. (Nasdaq: ORCL) $96.2 million (company market cap: $152.41 billion)
    Leslie Moonves, CBS Corp. (NYSE: CBS) $69.9 million (company market cap: $28.98 billion) Mario J. Gabelli, Gamco Investors Inc. (NYSE: GBL)
    $61.7 million (company market cap: $1.36 billion) Brian F. Maxted, Kosmos Energy Ltd. (NYSE: KOS)

  32. When we called someone chimbwi no plan, you said we insulted. Today we are witnessing classical CNP. You hire a CEO and then constitute a board. This is putting the cart before the horse> Ba PF You are CNPs period. This project is already a failure and waste of public resources.

  33. too many accusations on clive intent, wouldn’t it be wiser for clive to declare his wealth so that some morons can stop insulting him. I believe he is not a pauper as some morons think.

  34. Well done mr minister, lets try to copy something from the American management system where the CEO is also the chairman of the board.

  35. Proffessor Chirwa deserves it. He has credentials necessary and is an expert in this field and has prooved it where he has worked.

    Lets face it, if the same job was given to a Foreigner(muzungu), he would have all these conditions like Proff Chirwa and no one will be complaining about his pay…we need to change our mindset and the PHI Syndrome. Lets support our own Son Period!

    The same is true in football, we do not support Local Coaches(Tulabachinga),…and yet these are far better than the so called expatriate coaches. For Example, Patrick Phiri is a better coach… But if it is an expatriate with huge allowances…all is well. Lets support our fellow Zambians. Steven Keshi won the AFCON as a local coach…we can also do it pa ZED.

    Lets support Proffessor Chirwa for now!

    • How do you support someone so selfish? Before you talk about expatriates and their conditions of service why don’t you first address the serious allegations leveled against Pro Chirwa, all bordering on dishonesty and plunder? Are you a relative of his?

    • no PC even a white expatriate will not ask for such hefty allowances unless they come as a packaged grant from a donor country. the professor was appointed to come and help revamp a bankrupt company so he should have died a little for the country than import UK conditions to zed. Where is his patriotism. By the way, How much profit does ZRL make in order to sustain such am extravagant CEO

  36. Some of us saw this up front and where called or sorts of names. Chirwa was begging for a job. He may have been fed up with life abroad. If he really wanted to serve his country he would have sacrificed to show the difference. But to ask for that kind of money from a poor organisation he is supposed to resuscitate is absurd. If he thinks he is worth that money he should not have resigned from his UK position. The board also was not professional to ask for that kind of money for sitting in meetings. Again the board positions should have been advertised. I am glad the board is gone so should Chirwa. Bring in an expatriate who won’t even ask for that much. Let’s be serious for once people.

  37. What and who is telling the truth to the nation? Transport minister Yamba a few days ago informed the Zambian people that all was fine at Zambia Railways Limited.
    This subtle ‘Donchi Kubeba’ mantra is so toxic with PF culture that it has defamed Zambian upright morals of being honest both in speech and action. Something was certainly wrong at ZRL and all Yaluma tells Zambians is not to worry as everything is fine at ZRL. This is how the nation has been duped of true agenda of PF govt that is failing in everything including managing the country through a defacto presidency clique. ZRL board is dissolved what is the fate of CEO? PF through its cadres is allegic to truths and thrive on ‘Dont Kubeba’. Dont Tell Truth.

  38. I thought Chirwa came to contribute to his country now I can see that he only came to loot the railways, who gets such benefits in a poor country like Zambia which fails to provide medical for its citizens let alone pay salaries and pension. Chirwa does not posses all knowledge and if he did he should be giving out to his country for free. I feel sorry for those supporting him, we will lock him up come 2016 because this appointment was in bad faith using a sick head of state.

  39. Good move by government, now what government needs to do is appoint a board with a balance of successful entrepreneurs and Academics. Honest people, people who do not want to gain from the country but instead to give the country in terms of their skills etc First priority Zambians if they can get Zambians import South Africans, Korean or even Chinese. We have a Zambian as CEO thats enough and keep that financial person Prof Chirwa mentioned. What people must understand The president spoke to Prof. Chirwa to come and do this job they were certain agreements and the President took account of the sacrifice Chirwa made as well the the experience and Skills he has. That’s why even this move makes sense and i support it.

  40. Bravo Professor. We need men of integrity for this country to develop. Additionally, make sure that govt investigation wings go there and carry out an audit. If we have ten people of Mr Chirwa’s Caliber this country will develop.

  41. EYNSHAM HALL keeps popping up on my PC, thanks be to one Clive Chirwa who claimed to own it or is it rent a room there, at 80 pounds per day x 360 days = 28 800.00 pounds per annum not bad for ba Prof. Heard he’s been Fired, Good riddance!

  42. Abena Teny.. Men of Intergrity? What intergrity?
    1. A Person with intergrity or a CEO with intergrity does not place himself in a position of conflict of interest. This man has been accused of hiring HIS OWN dormant company (a company with no tract record in delivering) .without declaring interest and by single sourcing – Thats is plain corrupt.
    2. He is now claiming he came to Zambia when he was appointed CEO of ZRL. This is simply not true – the man appeared from his laboratories in Britain – came to Zambia to try to be President – Started in MMD kicked out, went to UPND finaly ended up as a PF CADRE. He is lying. Do you call this intergrity?
    Check his CV – He has never run a company at Corporate Management level.
    WAKE UP

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