MAHTANI Group of Companies lawyer, Zaheeda Essa and 11 other workers have been arrested by the Drug Enforcement Commission (DEC) for alleged obstruction of justice and failure to provide a shareholding certificate for Zambezi Portland Cement, and they later in the afternoon appeared in the Lusaka magistrate court for mention.
DEC public relations officer, John Nyawali confirmed this in Lusaka yesterday, adding that Ms Essa was further being investigated in connection with the alleged fraudulent transfer of 80 million shares in Zambezi Portland Cement, which belonged to other shareholders.
Ms Essa, of 14 Chila Road in Lusaka’s Kabulonga area, was jointly charged with company manager, Zeyaur Rahman Hashmi, consultant Anthony Grant, messenger Wilson Shamboko, leasing officer Rajeshvary Joshi, management secretary Parvathi Nachimuthu, and receptionist Mercy Nkashi.
Others are deputy manager, Bridget Banda, security officer, Nyambe Namushi, driver, Mukumbuta Wamuleme, secretary, Agness Njekwa and support staff, Jean Kunda.
A team of officers from DEC on Tuesday evening conducted a search of the Mahtani Group of Companies premises in connection with the ongoing money laundering investigations.
The officers who where looking for a shareholding certificate for Zambezi Portland Cement combed the offices of Finsbury Investments at Finance Bank head office in Lusaka.
Mr Nyawali said the commission suspected that Ms Essa had fraudulently transferred the shares in Zambezi Portland Cement, which were held by other shareholders, to Finsbury Investments.
Mr Nyawali said DEC had further established that Ms Essa held a Zambian passport and a British one, which was contrary to the laws of Zambia.
He aid the commission wanted to correct the perception created that the matter being investigated was a civil one, which did not warrant the involvement of DEC, saying it was a criminal offence as it bordered on money laundering activities.
Later in the afternoon, the 12 appeared in the Lusaka magistrate court for mention in the same case.
They were scheduled to take plea yesterday before chief resident magistrate Charles Kafunda, but could not do so because Mr Kafunda was reported to be attending deliberations at the National Constitutional Conference.
Ms Essa and the other 11 who appeared before senior resident magistrate Sharon Newa are expected take plea today before Mr Kafunda.
One of the lawyers representing the 12 accused persons, Michael Mundashi said it was unfortunate for the State to contend that the matter was coming up for mention contrary to the earlier statement that it was coming up for plea.
But Anti-Corruption Commission advocate, Kampamba Kombe said the matter was scheduled for plea before Mr Kafunda but because the chief resident magistrate was not available, their instructions were to mention the matter before another court.
Mr Kombe said the accused would take plea before Mr Kafunda because he was the magistrate handling the case.
The 12 were sent to remand prison.
[Times of Zambia]
But zoona ba LT. Ndimwe ma silu. Your freinds have been running this story since last week and you copy and paste it today?
Mahtani was a good friend of Levy. So what has his company done. If they have contravened fine charge them but the speed, heey they even appeared in court? why cant they use same speed to register Chiluba’s London Judgement with same speed or slightly less speed say two days.
FTJ CHILUBA AT WORK NOW
Why should they take the messenger, receptionist? These people are the least to know what goes on in the company. Unless the messenger was asked to deliver the document somewhere even then they do not know what is in the envelope. Think twice arrest management Pela.
Bane, let Mathani be taken to task. He should not be left scot free after fraudulently and dishonestly gave loans to this poor couple knwoing they will fail to pay and come from behind with the law with his mputi mbuzes to take over Zambezi portland. tabaya umungombe-lyashi yashani. DEC lets se how far you go with this duo citizen ship thing of this so called lawyer. with all the due respect it seems our colleagues of ASIA origin this is the in thing. No one wonder a lot of people with no heart for zambia were crying the loudest so that if a hurricane hits zambia they have got another home while the rest of us with only one die in the SUNAMI. Sort out these mumbwes. And LT be upto date.
Another case of wasted tax payer’s money and time. This case is a non starter and it has vendetta written all over it.
Nothing is going to happen to Mahtani because our laws favour fools, thieves and con-men. The crooked and dishonesty characters are always shielded by the national leadership and state machinery. Alot has been said about mahtani more especially his illegal and fraudulent deals in zambia and elsewhere but because of his closeness to people with power, he has remained a free man. The arrest of the 12 makes one wonder as to where the main architect of those crimes is?. Has he been picked or is he under the umbrella of the almighty…….. God knows who!. If Mahtani is not arrested; it is an indication that the investigation is going nowhere and the DEC must stop wasting time talking about it.
you pipo u are failin to understand if mahtani goes hw fellow zambians are goin to suffer everyone knows that, live him only. dec if u feel u very competent than tak yo president banda to task.
#3 This Mahtani has always been in problems with all the past presidents and some has always gotten out- am sure by palm oiling.
It’s upto to the twelve arrested to reveal who was giving them instructions to carry out their deeds. Mahtani is very cunning and sleek, he conveniently aligns himself with the party in government. it wouldn’t be surprising if he is also bank rolling PF at the same time as MMD. As much as ill has been said about Chiluba, he came to realise who Mahtani is. DEC should also investigate how Mahtani acquired flats in Ndola when a local indigenous lawyer went to his firm to seek finance for the purchase of the flats near the golf club only to be hijacked by Mahtani. Ethically wrong.
Let no one be above the law no matter how influential and much money they have. If former presidents can be persecuted and prosecuted why should people like him be let free if he is breaking the law?
so those of us with two passports are in trouble, i didnt know it was illegal. so kusalapo nomba, the zed nangu sasasa. Yalakosako panono
My friend #11, dual citizenship mulandu pa Zed. I suggest uposepo imo, epecialy **
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Eta #11, Pa Zed dual citizenship mulandu sana. So throw away one the passports especially **==
Revenge of the Asian starring FTJ and RB, featuring DEC and ZP!This matter is personal as they want to bring down mathani.I feel for the receptionist and lowly paid security guard who dont even know wat a shareholding certificate looks like
This mathani chap we need to be careful with him, its high time ! the ZOT oils in Ndola went down because of him too, oil impotation scandals,treasonable issues …he is sly…akabutuka mambala ena
Mathani here is goes at it again! This Indian must be hanged and cremated.
i think it makes sense to arrest Mahtani than arrest the office orderly and receptionists.
After operating for 10 years in Malawi, the Reserve Bank of Malawi (RBM) on 17th May 2005 suspended Finance Bank’s Foreign Currency Licence (FCL) after extensive investigations. The Reserve Bank also revoked the banking licence for Finance Bank accusing the bank of unsound methods and illegal externalisation of foreign exchange! The Central bank had been investigating Mahtani for years and the allegations it acted upon were not new!
Through its lawyers, Finance Bank contested this decision and was allowed to continue to operate on the basis of court orders. However the bank eventually closed in January 2006 owing to the waning confidence and dwindling business.
To Cont…. down
In light of this serious development, Bank of Zambia began to investigate Mahtani and sought details about the circumstances surrounding the fall of Finance Bank Malawi. BOZ considered and attempted to enforce the provisions of the Banking and Financial Services Act that bar and prevent previousDirectors and Shareholders of a fallen bank or financial institutions from participating in any other financial institution.
On 10th October 2007, Mahtani wrote to Bank of Zambia, through his lawyers Jacques &Partners. Stephen Malama requested BOZ to ‘ignore’ the ‘happenings’ in Malawi and urged BOZ to interpret the provisions of Section 31 of the Banking and Financial Services Act in a favourable manner!
Malama requested that the provisions of the law should not apply to Dr. Rajan Mahtani and his partner Ali who are shareholders and directors in Finance Bank Zambia. The duo was also shareholders and directors Finance Bank Malawi!
The letter to BOZ was copied to President Mwanawasa! It is puzzling that Malama chose to copy such a letter to Mwanawasa. This can only be interpreted that the whole thing was veiled in threats and BOZ attempted action to penalise Mahtani was paralysed.