Sunday, July 14, 2024

UK Court Slashes Vulture Fund’s claim by almost Three-Quarters

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Donegal International – described by critics as a “vulture fund” -had its claim against Zambia cut by nearly three-quarters on Tuesday after the judge said the dishonesty of key witnesses had made the trial more complex than ­necessary.

Donegal International, a fund based in the British Virgin Islands, was awarded $15.5m by the High Court in London after Zambia defaulted on sovereign debt that Donegal had bought at a big discount. The fund, which bought the debt for less than $4m in 1999, had sued for more than $55m after Zambia ceased payments under a settlement agreement between its government and Donegal.

35 COMMENTS

  1. This another highly corrupt cases , we still need to see how law will apply itself on people who actually signed for this crooked transactions.Justice must prevail especially on those still serving in high portofolios in today’s government.The amount is still material to just go to waste like that just because of few selfish individuals.LPM one hurdle has be sorted out for you but its now time to act on the concerned offenders.No stone should be left un turned.

  2. Who are the lawyers representing Zambia in this case. As complicated as this case may be, we would like to be updated. With the way our goverment operates I woudn’t be suprised to hear that they have hired some British expatriate lawyer to represent us in this case while guys like George Kunda, whole are solely responsible to be in the fore of issues are busy dozing in their offices. If a foreign lawyer has been hired at what cost? and from whose treasury is the money coming from? If George Kunda has no upper hand in this case then he is void and he should declare himself redundant. We shall never get a fair trial as long as their is no representation from our side.

  3. Why Zambia and Africa are so important to the rest of the world….. It makes the rest of the world realise how rich they are.
    If everyone and every country was rich in this world, we would not have super power’s and the big economies. Life would be on still.
    From the look of things and my thought’s, our government’s are elected to beg on behalf of the national’s of the country.
    Where on earth have we seen such begging and mismanagement of government resources as in Africa.
    My heart bleeds for A Free Country like A FRI CA.I forgot Africa was a Continent.The most unrealistic person in this case is the Judge who has slashed the claim by three quater’s.I think he is unaware of how capable Zambia can easily pay off that amount, how much i wished he had the opportunity to look at the Presidential Slush Funds and how unexploited zambian resources are.For all you Politicians,we know who you are,and that’s why your big elephant in the mfuwe national park does not know whom to keep in his park

  4. Firstly Africa is NOT A COUNTRY.l must say that whether the Judge looked at the slush fund or not,the people who will pay it is us the taxpayers.So what should we do,l suggest we demand the wheels of justice move over the people who signed for PHI and received money from this guy so that they can sell the debt to Mr Sheehan.There people like Fisho Mwale who were appearing as witnesses in support of Mr Sheehan’s case.Is Fisho Mwale really a patriotic Zambian?Does’nt he see anything wrong with this kind of a case?

  5. “Vultures” are always taking the meat that is labored by the sweat of other people. Zambia is like a bag of “Masuku” on the head of its people and some one is taking fruits off the head.The govt must fight until all the money to pay Dongel is quashed to zero $$$.Levy should defend the poor Zambian from exploitation. He is the State Counsel and should stand in defense of such barbaric injustice and plunderers.

  6. Zambian politicians are the local “Dongel”. We allocate our president a state house slush fund… for what!and yet our hospitals are deplorable conditions (we only have one dialysis machine for patients with kidney problems). we allocare our MP’s and ministers millions in the name of car loans and gratiuity? To me really it does matter who gets our money… as the fact remains …. our leaders are the worst culprits. fiso mwale is no worse than the theives in our goverment (katela kalumba, manjata.. civil servants like Diaganmo former CSO boss) the list is endless. We have been allocated another 103 billion from the world bank (roads repairs),and we will see if there will be any changes. we all know it…much of it will end up refilling the state house slush fund!

    Our own zambian politicians are our worst plunderers!

  7. Tonga bull you are absolutely are right on the money. There seem to be an illusion that we need more money to solve our problems. To be honest we have enough money and politicians in power are having a field day. And when they say the government does not have money ..what they mean is the govt does not have enough money for their greed and the surplus for the rest of us. And somehow the more money the country earns the bigger their greed grows and they just continue screwing the rest.

    A good management team can do with even small resources. All these incompetent institutions in Zambian like Zesco, Zamtel, ZRA(govt), slap high charges on their so called services to just hide their poor and inefficient operation and in a truly competitive environment they would all die in a month.

    There is enough cash in Zambia. We just have poor custodians of it. These custodians are the real vultures. Just see how they have already began digging another debt hole for my grand children to deal with

  8. Why is the govt silent over the culprits who compelled Kasonde to sign for a loan that had hidden clauses? These chaps, Richard Chizyuka who is still serving in the ministry of agric together with his bother in law Fishio Mwale, the former Lusak mayor, Chilupe and others must be jailed like Kashiwa Bulaya and Musonda. Levy we know that you sometimes react on impulse but here Levy you must show the integrity people has seen in you to jail these crooks. It’s a long time Zambia has been digging the pit while filling the other when it comes to debt payment that in most cases benefit selfish individuals who don’t even care about the common people they vowed to serve.

  9. Corruption in Zambia is a three dimension object, those with links to the executive, cartels of highly sophisticated govt officers and ponnies who are merely used for a penny.LPM is known to shield people he has links with and this has excerbated the whole situation making corruption more of perennial excercise.This is the worst in the history of mal practices and bad governance by state officers.Zambia needs divine intervention to come out of this.When FTJ’s immunity was lifted the whole country danced with high expectations.But todate LPM has nothing to show for his actions but has just destroyed the Presidency, Task force expenditure is ever high rocketing in relation to what it has brought inrendering totally it useless and uncredible.ACC only wakes up when there whistle blowers.The selective persecution of individuals has done us more harm than good and its a lesson for future leaders.
    Fisho Mwale Richard Chizyuka, Dr Miti,RDA characters at all costs must pay for their sins

  10. Fisho Mwale, Jack Chilupe, Richard Chizyuka and your follow crooks, tell the nation how you benefited from Vulture Fund that over paid you for compelling Kasonde sign things he would not understand properly and hence subjecting Zambia to be still among the 25 poorest nations and of which the fruits of HIPC completion point are not seen by many Zambians. The task force,where are you? Do you only jump when Levy tells you to do so? Please do something about these thugs who seem to be the same chaps who destroyed the Vulture Fund document from the cabinet thinking you they would be free forever. You chaps you deserve to rot in jail.

  11. I think the question we should be asking is did we owe the money in the first place?…and if we did why was it not paid back?..In the western world it is now customary for big institutions to sell off debts they consider to be bad, to private “aggressive” companies..When they buy the debt..you then owe them…you borrowed the money..you now pay them back!!!!!…SIMPLE!!

  12. How can the entire former minister (MoF) sign things he does understanding? This is why we are concern and sad that LPM is still appointing cadres and MAIDs (at this time and ale) who does understanding things properly and hence subjecting our nation to vultures. I am sure even now Cadres & Maids we have in govn are signing things they dont understanding, the result will felt by my grand children. I concur with you Sam K, let this thugs be chains and lot in jail for subjeting country to such poverty.

  13. Zababa, Zababa, Chababa! The country would not pay back simply because the coffers were empty and 62% of the country’s nation budget was depending on donor funding during the first term of Chiluba’s regime. Zababa, the question you would have asked is ‘why borrowing money from vulture fund when paris group was waiting Chiluba to flush out drug dealers in the system? I hope you do remember that story of mbala mafias vs drug dealers. It was at that time Fishio Mwale, Jack Chilupe and Richard Chizyuka introduced the govt to the real vultures. My dear Zababa, the money govt got is still increasing at a compound interest of 6%. Surely Fishio Mwale and his fellow crooks must be jailed not simply of introducing Zambia to the vultures but for heavyly benefited.

  14. Zababa are you one of the beneficiaries? If you are not familiar with the details of the case please ask , dont just speak from without.comments from 9-14 have given you a clue as regards who is involved in the Vulture scandal and these chaps are still alive stealing from other corners.Chizyuka is an in law to Fisho Mwale and he is stil at MAFF they are the architects of Vulture fund.His brother was jailed together with Richard Sakala.
    Zababa , Zababa, wake up its morning dont be too asleep you find your area you live in has been mortaged to Chinese infestors

  15. Zababa, you are correct. But my colleague, countries in Africa and their leader’s like Mandela and the sort of that era, all they know is that money is to borrow and beg from the international community. African govt’s are the first to condemn these international institution’s and the first to go and borrow money from them. They are the first to boast of prideness and the first to beg. The people and the govt should learn that money has always to be repaid back to where it has been borrowed from. If a person gets a loan from the bank, he/she should repay it back.This is another reason why business orgainsation’s have failed to function in zambia. My biggest shock to the whole judgement is when VJ said they will challenge the outcome of the judgemment when he was still GRZ Spokesperson. The greed in our culture is the main factor to the mismanagement of resources by our politicians. If any person challenged the leadership, he is an opposition and planning a Coup.

  16. I what i know is you are just wasting time writting without taking physical action, You will talk and talk until you talked no more, this government is not ready to listen to you. All what i wish is to arrest arrest all unfruitiful politicians and put them in concertration camps, we have given them enough time and they produce zero, apart form there try and error.We need new educated young politicians, i’m tired of hearin the same unproductive politician since i was born, they have be sayin that youths are the future leaders when will this time cames.We have known the Satas and the VJs even before independence. I warn you fake politician If take over i even feel pity for you even the gas chamber will be better for you. How many people have died due to your carelessness, you are the current gestapos and we will apply it to you soon. Dont say that i didnt warn you. We are tired of you Bakelenka. Wake up Zambians these guyz are takin the Zambians for granted.

  17. Kayata you have rightly stated so, a good example is the reaction we getting from Dr Miti,he has taken things person over the auditor report like the money he lavishly enjoys comes from his pocket, instead of anlysising what is conatined in the report he putting himself on defence, the AG is just there to correct mistakes and make recommendations to relevant authorities.This attitude is what has killed our country any boby in opposition is a rebel and yet the common factor to all is to provide service to citizens of zambia irrespective one’s creed, intelligence , allegiance etc.A discerning view saves to make other perform better,Corruption crusade to day is just a mere academic exercise purely because of greed by leaders and lack of genuity amongst the proponents.We must learn to give pay back what we have borrowed,that is why local business men cannot borrow from foreign banks because of the bad record of repayments.
    Zababa the (loan)Vulture fund is real and was meant for good cause

  18. Kayata, I do agree with you that money borrowed must be paid but the evil part of it is the COMPOUND interest of 6% that has overshot the money the country borrowed. Kayata, the vulture fund are really vultures sucking poorest nations. Surely Kayata how could Zambia pay the money while children are suffering from malnutrition, insufficient medicine in hospital, inadequate school material? Of course not. Would you do that if you were the leader? Lets call a spade a spade, these whites are milking Africa and they have no mercy to the vulnerable people in Africa.

  19. Sam, in the first place, if i was leader, i would not borrow that money. The reason why we do not have sufficient medicine’s in hospitals is because the funds that are available are diverted for political and personal gain’s.like we have observed in the past from KK to Mwanawasa. On the interest, it is like a bank loan, if you find a loan with high interest, leave it.and high interest is all about the risk involved on granting that loan. About milking Africa, would you allow a person to come and dictate terms to you in your house,and start to milk you? We in Africa are not vulnerable, but our leader’s are the one’s that make us so for the sake of been in power.Sam, you’ll agree with me that countries in the Scandinavian’s are more progress despite having no resource’s.Our leader’s tell us we are suffering because of the white’s. people who put blame on other’s are the one’s usually at fault.

  20. Zambia generally is just been known to have a bad record when it comes to loans,if you look at how $7.2bn was accumulated are you sure someone can break up this huge amount and justify its usage?KK today claims this money was spent on freedom liberation struggle for neighbouring countries which is total nonsense, partly he forgot to service these loans overtime and the biggest portion was interest ,that is the cost of borrowing.Yesterday Magande and Co got K102bn loan for road reconstruction at 6% for 35 years and he will go to sleep, come 35 years this will be another $7.5bn, that is why we must enact laws that will allow civil society to monitor the existence of such collossal sums.How well KK thot that money will reduce without sticking to repayment schedules it beats me.Our Leaders have completely failed us because of misplaced priorities.Despite having borrowed so much , he went ahead and borrowed $3m and went to sleep,the vultures came in and ate the meat and today its $15m,shame

  21. Chilumba, is it possible to change the rules in Zambia to make it tougher for people who abused finances? Can we put more power in the arms of the govt, and make sure that the President does not appoint the top official’s?

  22. Kayata, as longer as the President continues appointing party carders in top positions,the country will contue to lag behind in everything.Forinstance the vulture fund make Kasonde to sign document he could not comprehend the repercussion it had on the Zambian people.Indeed, Kasonde must also be jailed together with Fishio Mwale and company. Kataya its time for you to go back to Zambia and change the political face of Zambia.

  23. Kayata, I have not had time to reflect on the current submissions but I know there are suggestions for cabinet to be appointed outside party lines ,whether this will mean to crip some of themany powers has when it comes to decision making , I dont know, as for tougher rules yes the door is wide open, look Malaysia, they have tightened rules on drug related offences as long as there is proof , life ends by firing squad so no law is cast in stone, it can be changed to suit the situation, that is why FTJ changed the law on motor thefts to just incacerate the ‘rival’, assault, rape, drugs are not bailable cases so we can even tighten on theft of public funds through longer jail terms, repossession and blacklist them on serious offenders registers.what is worrying is cyclic type of thieving , the smae appear everywhere when pulic thefts appear so why not lock them up for good?We dont need a dictator to impose such things,in the heart of democracy we can do much to protect innocent citizens.

  24. Sam, if the President does not appoint party cadre’s in ministerial position’s,who else will he appoint? Usually party supporter’s are the people who always have the ministrial post’s anywhere in the world. I understand the minister always sign on behalf of the people,and minister’s need no qualification’s to be appointed to such position’s. I mean, you do not need a degree to be a minister. But the biggest culprit’s are the Chizyuka and the govt employee’s as you’ve previously mentioned,who understand the language of the document’s better. We have Solicitor’s,Economic Advisor’s, and such qualified personnel to advise the minister’s. Kasonde, indeed must be jailed for signing something he does not know and the advisor’s must be jailed too for conspirancy,fraud and other charges.With regard to changing the political system,frankly,i believe in making every person work for everything that they need, and that is what a zambian would not like to hear from a politician.

  25. Chilumba, i meant top official like the Permanent Secretary of ministries.Ofcourse, every President wouldn’t agree to appoint from outside the party,unless we are talking about somewhere where there is conflict. Because the Permanent Secretary is a political appointee,hence they dance to the tunes of the President. That toothless,PSMD, should appoint who should be the head of every govt ministry. If the PS had the power to say NO to the President, we would be in a better place in zambia.Education too, is something lacking in the people of Zambia,until every zambian can understand why we have a govt,shall we put our govt to task.If every Zambian challenged the govt as to what they use our tax for, than political gain, would the govt improve it’s service’s than diverting funds into their pocket’s. Because that money they have diverted is our/my money from our tax contributions.The attitude in our society of begging from the west is what is killing our country.Zambia the Real Africa.

  26. Sam K..Kuku..The bottom line is Whoever signed was representing Zambia..TRUE???..it is therefore Zambia’s debt…TRUE???..what is your argument???..Bleating about “corrupt” or inexperienced politicians does not qualify us for debt relief!!!..Why is it that Zambia has now settled on paying “Vultue Fund” $15.5m…???
    Contrary to your belief I am entitled to my opinion whether it agrees with yours or not!!!!It is called a discussion

  27. Zababa, I do agree with you, Kasonde signed in the name of Zambia and the country is obliged to pay what belong to Ceasar to Ceasar but the bad element of the vultures, had hidden clauses especially on the mode of interest which was later reviewed as compound interest of which Kasonde and other chaps representing the country didn’t bother to ask and that’s where the bone of contention is. (read comment14 and 21). Then, why Fishio Mwale and co? These are the beneficiaries of Vulture Funds. Indeed, Zambia has to pay a price for putting irresponsible foxes in sensitive positions.
    Zababa, I once said fish start to rot from the head.

  28. This whole transaction is shrewed.Honestly, Mr Kasonde’s ineptitude can not go without comment.This man has been in govt for donkey years and should have known the repurcussions that will follow.Firstly why involve a third party in a debt that is between sovereign states, this should have opened his head especially when dealing with the likes of Fisho Mwale.It wouldnt have been that difficult to renegotiate the repayment periods with Romania without involving bamwankole.The guilt shall remain his for failing to do a cost benefit analysis.Polictics of poverty are a menace, the fact that he was part to the transaction is equally liable and must stand trial.This must also be extended to George Kunda.One George Kunda per se is not fit for purpose,he has betrayed Zambia in so many transactions that he has signed without due consideration.the mining contracts serves as typical examples of shrewed transactions.

  29. People why are we going in circles instead of hitting the target. The people wwho is answerable for the vulture fund scandal is no other than FJT. He was at the “driving seat”. Haven’t you heard what the old serpent says about his past misdeeds. The old King Cobra says that he was not the coxswain. So we should not trouble Emmanuel Kasonde. Let Dr. Chiluba tell the nation about the Vulture fund including the US$7m Moise Katumbi scandal.

    George Kunda through his evidence has at least helped in the reduction of the tax payers money we will have to pay as a nation.

  30. Zambia’s ex-President Frederick Chiluba has been found guilty of stealing $46m (£23m) of public money by a UK court.
    The judge said that Zambians should know that when he appeared wearing his trademark designer clothes, they were paid for with stolen money.

    Mr Chiluba’s spokesman told a Zambian newspaper that the ex-leader did not accept the court’s jurisdiction.

    Mr Chiluba was not in the London High Court but the ruling could lead to the seizure of his assets.

    The civil case was brought on behalf of the Zambian attorney general.

    Swiss boutique

    Justice Peter Smith said Mr Chiluba had a global reputation as a “smart and expensive dresser”, with his “FJT” monogram on shirts and suits and specially made shoes with high heels.

    He officially earned about $100,000 while in power from 1991-2001 and yet he paid an exclusive boutique shop in Switzerland $1.2m.

    This is an historic victory for the people of Zambia

    Hilary Benn, UK International Development Secre

  31. fine the judgement against chiluba has been delivered. but my dear ones let me draw your attention to certain issues that we shd be weary of

    1. assessment of damages still needs to be done.the court judgement in the high court is not the end. ftj can still appeal to the court of appeal and the house of lords that is te system in england.so the case may drag on a bit.
    2. how is this judgement going to be enforced and how will the money be repatriated to zambia. who will be eld accountable to citizens in no uncertain terms.
    transparency.
    3.even then what about te donegal case? who was behind this pathetic scam like our country is a credit card.
    4 we the people of zambia shd fight for wat rightly belongs to us and not allow some western business man benefit. and can we look at all the documents if possible for this contract
    5 who are the beneficiaries in zed bring them to book whether tey were involve directly or otherwise and the debt be on them. twapapata

  32. Slashed by 3 quarters? Even by 99.99%, it will still not be fair. Economic sabotage of the weak and defenceless this one is!

  33. Problem with you pipo is that you are shallow from wallowing in poverty that you dont want to go thru issues objectively.First your damn goverment owed money …Period, INKONGOLE which they failed to pay due to negligence and someone clever like Fisho Mwale comes along ,buys the Debt for whatever reasons and then sells it again.Thats business and bravo for him….lets not be jelous but just join him in spending.

  34. A debt owed, must be paid!! Especially between goverments. It would’nt make a difference if Fisho Mwale or members of Donegal International where jailed, Zambia would still have to pay their debt. It may be a bit too late to ask but What exactly should they be jailed for?? Despite all of this Zambia is still a nation that borrows from others, what happens when they want their money back, should we say they too should be locked up, for demanding what’s owed?

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