Saturday, April 20, 2024

K2 trillion lost in corrupt oil procurement deals-Kabimba report

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Patriotic Front Secretary General Wynter Kabimba
Patriotic Front Secretary General Wynter Kabimba

The Commission of Inquiry constituted to investigate the operations of the Energy Regulation Board and the procurement of crude oil has revealed that from 2007 to 2011 the country lost about K2 trillion through acts of malpractices in the procurement system.

Commission chairperson Wynter Kabimba says the alleged corruption in the oil procurement system involved officials from the Zambia Public Procurement Authority (ZPPA) the Ministry of Energy and the ERB.

Mr. Kabimba noted that the commission also learnt that the companies that were allegedly corruptly engaged in the procurement oil have since bid again for a tender to supply fuel.

Mr. Kabimba has since recommended that the officers allegedly involved in corrupt activities be brought to book.

Another commission of inquiry tasked to investigate the installation of a Radar system at the Kenneth Kaunda Airport noted that the ministry of communication and transport interfered in the awarding of the contract by quashing the contract that had already been finalized by the ZPPA and given to Thales Air Systems of South Africa.

Commission chairman Sebastian Zulu has since recommended that the contract awarded dubiously awarded to Salex an Italian Company.

And President Michael Sata in commenting on the reports presented to him noted that they were too technical and directed the Secretary to the Cabinet to institute a technical committee that will prepare a cabinet memo to allow the government to study and come up with a decision on the matter.

Meanwhile President Sata has sworn-in Pastor Godfridah Sumaili, Dr. Steven Moyo and Irene Lamba as ACC commissioners and deputy Director General of the ACC respectively.

The president has also sworn-in veteran broadcaster Frank Mutubila as the Zambia’s ambassador to Italy while Ogeon Gondwe is the new senior private secretary for State house.

[QFM]

119 COMMENTS

  1. This has the classic fingerprints of the Movement for Mad Dogs all over it, you wanted the report here it is; here are the answers as to why you chaps are being ripped off at the pump. 
    Now let me not hear anybody squeak about witch-hunt!!

    • none whatsoever thus far, the only thing thats buffling is the president saying the report is too technical. in other words the English is beyond him

    • These are allegations. Will amount to nothing. Wait and see. You think ERB, ZPPPA etc would be that corrupt, together? Wasnt ZPPA “Mr Clean” in teh ZRA border scanners?

  2. How much did Winter get as chair of the commission. It must have been summertime for him. More guludas in the pocket.

    • Mr. Take It Like It Is. You are a shame to blogging. You missed out the most important points. And this is the reason why the MMD were steaaling, they knew that there were people like you who care not the details and summaries, but you just look for the bullshit. May Your Soul Rest In Eternal Peace!

  3. @Kaponya still waiting for a Xmas bonus even though I’m very lazy and unemployed

    The question you should be asking yourself is will you be able to understand the report yourself?

  4. We don’t expect anything objective from Winter Kawimba. The amount 2 trillion cannot be verified by Ana Chifungula

    • You seem to think you know it all it all but you do not. Audit is a process that issues an opinion as to whether the financial statements present fairly in all material respects, the performance of an entity. In reaching such a conclusion, samples and estimates are employed and thus audit issues a reasonable level of assurance and not an absolute one. Do not speak when you know nothing, the office of the Auditor General cannot pick up everything due to limits on functionality and the limitations of the audit process! You’ve been ASSASSINATED!

  5. what was wrong with MMD kansi..? these chaps practically stole everything and anything, they would even steal something that they have already stollen once given the chance… I conclude by saying I would rather keep PF in power that those greedy MMD chaps….

    • It’s shallow people like you that irk me. You think an economy is all about an exchange rate? Do you know that only people who are importing complain about poor rates? The mines who pay billions of Kwachas in taxes are benefiting. Why are you not mentioning the significant drop in mealie meal prices, the drop in borrowing rates, the reduction in taxes for the lowly paid as well as the introduction of solid base rates? You think you know much? In Mwanawasa’s term, rates reduced significantly after 3 years. You’ve just been schooled.

  6. And you sleepy heads who like to chin-wag are there yapping all day in the darkness of your living room due to load shedding and wondering why you have the highest cost of petrol in the region. This is the reason why you don’t have a good deal from fuel and why you experience load shedding. it all boils down to the procurement system.

  7. MMD store even from what they already stolen. Look at the k1trion story. But PF also enough of these pronouncements. Go to work and start caging the offenders. Six months and no convictions.

  8. No wonder Henry Banda can afford such expensive lawyers,anyway his day of atonement will surely come.Do we need to wonder were the buried money was coming from?

  9. What next? Will the findings of this commission be implemented? If so, then why ignore the BA one? Did His Excellency President Michael Chilufya Sata of the Republic of Zambia make an appearance today or is he on holiday in Singapore with uncle Bob?

    • Barottse Agreement is not in the national interest. I congratulate the government for the maturity shown and the calmness demonstrated. Guy Scott has schooled Ngambela on how to approach sensitive matters. Talking breakaway but when they realise “Oh we haven’t any guns” the say “A peaceful resolution is still first priority”. In my organisation, no Lozis will be employed, afterall, you may be deported any day!

  10. Well I need to read the entire report before I make a comment. I may be off side especially considering the Chair of this COI who is not very objective and extremely dull. Sorry my opinion, he was once my lawyer and all he did was too talk too much; no substance. He is legally blond!

  11. Winter ‘s report is finally here! Hooray. i wonder what took so long we shall wait till we can read it to see whether it required this much time.

  12. Food for thought:

    1) Is it the madate of the ERB to procure fuel stocks for Indeni and OMCs let alone determine where these entities secure their petroleum products? If not, how relevant are these revelations?

    2) What malpractices were there in the final pricing of petroleum products? Is there evidence that the ERB colluding with Indeni and OMCs to surcharge the Zambian public? Can the ERB COI please elaborate…

    • Firstly, I like bloggers like you who do not rush to make sentiments. Well I can answer the first one- The OMCs all procure their stocks from Indeni as prescribed by ERB. ERB acts as a review and rubberstamp of the purchase of oil at the world price. However, I believe that most of these COIs miss the point of being simplistic, afterall, theft must be simple to the naked eye!

  13. Vindictiveness report – if these allegations are true why limit the audit from 2007 to 2011? Small man at work.

  14. Iwe Ka Winter, its K3 trillion! Why are you being economical with the truth. And what could be too technical about the language in these reports that the Presidnt cant comprehend? Is it the amount involved or the names of the individual culprits? Could it be that Winter’s english is so complicated that it needs to be simplified? What assurance do we have that the other reports (on Zamtel, Building Society, Finance Bank, ZRA, BA64, etc) were not technically challenging to the President?

  15. How far have you gone with securing jobs for the youths? We are tired of allegations and we want to see development. 90 days is over. Cage all offenders and start working on job creation. Youths are still waiting for the promise

    • we the youth of Zambia are taken for granted by Sata and his government. Why cant we try to emulate our friends from other countries? We voted so as to be helped to find jobs. But the only thing i see is actually the opposited of that!! Bakaponya bafikala, its you who were spearheading and promised to kill any one dare stand in the way of Ukwa. Lets go in street, and show that we are sick and tired of being used as stepping rader by politicians. Ukwa its time to give us work otherwise you and Ukwa you will surely regret bankusa.

  16. What a shallow report from Wynter,all the 6 months he manages a speculative report,no facts or whatsoever.

    • I see, decipleship began in the days of Jesus and still leaves on. Except you are following blindly, making it bootlicking! The AG has a high chance of not having audited this body due to limits on functionality of her office. Morealso, there is a very high chance that even if an audit was done, it could not have been picked up. Errors which auditors usually miss out are- Critical Point Errors: Errors that are small but have the potential to alter a profit into a loss and vice- versa, also, Cummulative Errors: Errors that are immaterial individually but are material when amalgamated with similar errors, also, an auditor may find it hard to pick up fraud when collusion of personnel has occurred! You’ve just been schooled kido!

  17. Looking @ WINTER and the way he hates MMD this can not be true a figure which the auditors did not find . I can’t trust the man as we all know his propaganda when it comes to the previous govt.

    How can you appoint a party secretary general to investigate a previous party and it’s govt? what do you expect in terms of results? winter is a failure. Abamano bomfwe.

  18. For a whole 6 months this COI didnt come up with a straight forward finding that will be simple enough for all people to digest? It sounds like another tailor-made headlines package for the next edition of the on going media trials and tavern gossip. We are frankly a little fed up with all the sensations and no delivery of facts, campaign promises, and development. The deliverer himself is a hardcore master of hate and sensationalism, It appears even the president knows this thats why he has politely asked for ‘proof reading and simplification of the document. Im with MCS on this one!

  19. The tragedy with these PF numskulls is that they think they are still credible in the eyes of most Zambian people. We all knew that it was going to be a miracle for Kabimba not to find something wrong with they way the MMD did their contracts. Is he going to investigate how Chikwanda got the contract to renovate Sate House without tender procedures and even BEFORE Sata had appointed his first Cabinet??? Kabimba should make no mistake – we will come after you and every PF chap as soon as you leave power to account for your corruption which we are now witnessing and yet you think we are not seeing anything. You will cry like a baby! This Commission was just a waste of resources because we know nothing will come out of it because the whole process was political.

  20. If I was a leader in PF, I would advise Kabimba to shut up for a few months. He sickens a lot of people every time he opens his mouth, because of his hypocrisy. He is using the same hatred tactics as Fred Mmembe is using: it will visit you back quite soon. You have to remember that at the end of every hatred there is another person who is capable of hating back and one day it will his/her turn. If you live in a glass house, stop throwing stones at other people just because you hate them unless you are sure they did wrong. Otherwise sooner or later you will end badly when it’s their turn to retaliate.

  21. @ 24 you are so correct,Kabimba mudala be factual and objective,you are a lawyer for professionalism sake.What is so technical in this report,why didn’t ukwa just say the same way he said it with BA 64 that he is reluctant blablabla.Youth i can assure you we were duped,all the jobs created so far have all gone to the madala.Ukwa has just appointed ama retirees futi.Ukwaaaaaaaaaa,plizoooo,consider the youth otherwise thieves will increase pantu ni less money in the youths pockets we are seeing presently

  22. Winter is too zealous for nothing.Cage him for deceiving the nation.We know there may have been deals but not the way summer is portraying.Nowonder he has never won a court case.

  23. i cannot make any sense from what this winter has written and now my head is more confused than before please appoint expert to explain these trillions winter is talking about.Ohh my head!

  24. WELCOME MR. MUTUBILA, ALTHOUGH WE WILL MISS THE PRESENT AMBASSADOR TO ITALY AND HIS KIND AND LOVELY WIFE. GEN. MAPALA SIR, YOU WERE A PARENT TO US HERE IN ITALY. GOD BLESS YOUR FUTURE ENDEVOUR !

    • Why NOT, give credit where deserved. If he was good why not thank him?? Encourages people to be better leaders. So don’t be jealous

  25. The report as usual was predetermined. What do you expect. you should have listened to Mutubila’s interviews before asking if he was a PF Cadre. Our media has no integrity what so ever.

  26. Another HULA BALOO news to the public domain without definitiveness. We hate corruption and would want precision methods of PF govt to undo these public no.1 vices and bring to justice those involved. Unfortunately PF govt hasn’t got the capacity to do so. They are not even sure where they are/ going in governace of the country.

  27. Today we hear K2 trillion having been stolen which even the president is not sure of the allegations, yesterday it was the printing of K3 trillion fake money and then we hear sickness of the president in India but the outcome of this sickness was an investment of $500 million by some Indians. PF is in government but abdicate their responsibility to the people that voted them in power. Wait for the nex elections, deception to Zambians wont work again and the duped youths will remember unfulfilled promises made will back fire on PF party.

  28. The trouble with the COI process is that it lacks independence and hence credibility. You cannot have a politician investigate opposition politicians. This is a lost opportunity. Where are the auditors, ACC and other competent institutions that are supposed to keep watch? PF are better advised that appointing cadre to carry out such work has never worked anywhere. We are supposed to be a country with laws.

    • I thought COIs bring out issues for the concerned agencies to constitute further inquiries criminally or administratively, including the institutions involved.

  29. There too many journalists in the foreign diplomatic service, I am thinking of joining them. Imagine if Joe Kaunda, Nglazi and the rest can be serving Zambia in high positions outside the country. Is it about presenting mu cizungu?

  30. I think an independent commission of inquiry is more likely to come up with findings people can readily accept. A PF leader looking into activities of MMD might just be biased, especially someone like Winter who day-in and day-out keeps reminding us how rotten MMD was. Do you really think Winter can come out with a report saying MMD was very clean in anything? I would be surprised.

  31. so ukwa is around,action man cage those mmd masqueradas.we need jobs now even as we prepare elias chipimo 4 presidency.take heed

  32. How come the Barotse Agreement was not too technical???? Now a “Technical Committee” will write a simpler report for Cabinet? Why cant the same Winter re-write it after being paid???

    • You clearly do not know the functions of a president. When Obama was campaigning, he stated that he does not like doing nitty gritty things, being the ‘manager president’. Leadership is being able to deliver the report in the simplest manner. A technical report, you must be aware of the audience when more than 60% of Zambians cannot read and write!

  33. Solution is simple, ERB is a board, dissolve this board, advertise the positions. It is the hand-picking of people that leads to corruption. If you are hand-picked, you are more likely to blindly follow the person who put you there.
    This also applies to hand-picking ambassadors – I’m not sure that Frank is qualified to be ambassador. 
    Can we have transparency in how some of these positions are filled?

  34. PF will make a U-turn on this report. Kabimba is not trustworthy. His report is also not trustworthy, wait and see.

  35. You can’t just tell when the Pathetic Fawners (PF) are saying the truth. Steer the country into your own direction to better people’s lives instead of committing all your efforts in discrediting the previous government. This is an effort to deflect attention on the performance, or the lack it, by this stone-age government.

  36. let us see the report first, and the people involved are given time and space to defend them selves. The energy industry is tricky world over especially when you dont produce your own crude. The president his cabinet must be level headed when deally with fuel issues. By the way, they have too many reports to deal with: Barostseland report, ERB, Zanaco, Zamtel is not performing any better, ZNBC has got no board, all water utility companies have got no boards, Zesco has no board, ZNBS, ZRA etc….how are all these companies operating?

  37. Interesting pronouncements. We look forward to immediate arrests and not just empty waffling. You still haven’t arrested or charged those involved in the so called ZRA scanner procurement scandals? My bet is it’ll be difficult to bring about criminal charges relating to decisions made by these politicians and technocrats during their tenures.

  38. By the end of the day Ukwa and Winter will do none,why alarming the nation? We have had enough of your words fools! We nid food and jobs period! Get to work you *****s.

  39. PLEASE LET PF WORK FOR THE COUNTRY’S FUTURE,LET US BE OBJECTIVE AND STOP MISUSING TAX PAYERS MONEY, COURT TIME ,COMMISSIONS OF ENQUIRY AND JUDGES TIME.THIS MONEY IS BETTER USED FOR DEVELOPMENT.
    THIS MERELY SHOWS THAT PF HAD NO POSITIVE MANIFESTO TO PUSH ZAMBIA FORWARD

  40. In this country there is an axis of evil in terms of massive corruption ,the three money suckers in this nation are in Fuel procurement,fertilizer procurement and copper export receipts.

  41. UKWA says the report was too technical hahaha..but he ha two degrees, was their calculus and convergence series in the report to justify the 2trillion?

    • In case you do not know, even Obama says that he finds reports to be too technical. Having a degree does not reduce the technicality of a report. You are trying to act technical yourself but you do not know much. Do you know what the Uniform Petroleum Pricing is? Do you know what a Dismantling Allowance is? Talk about energy, come to me and debate. Not trying to appear smart when you know nothing!

    • Character Assassin0 is Obama the ideal president for comparison’s sake? Why give him as an example all the time? Ain’t there other educated presidents or is he the most educated you know? In what field does he complain of? What about Angela Merkel, Sarkozy, Cameron, even Putin? Any life in them?   

    • Actually, Obama is not very educated. He only holds a degree because the Americans unlike thr British, emphasize on experience rather than excessive education. Amgela Merkel is not a presidend, Sarkozy is an outgoing president who focusses more on his role in Europe than that in France and Putin is a president in a country where corruption beats almost every African country. You are off topic and hence your name. British democracy is a laughing stock with lightweights like Ed Miliband. I use Obama because he is more popular than Queen Elizabeth!

    • By the way @ Dull as usual- Go to youtube and watch the debates which Obama had against Hilary. He was defending his record of being an outsider in the White House. You have nothing on me as regards international politics. I am well educated, well informed and pretty much well paid!

    • I think you are like my name as well, at least I am not hiding. Y should you like someone just because he is more famous than a ceremonial head of state. Besides my understanding is that the President of Federal Germany is almost ceremonial-Merkel runs the affairs. Well are you comparing in almost past tense-with your reference to Sarkozy? Then Obama may also heading that way but I do love him so thus I am wishing him all the best.
      As for corruption, I am sure you read about the Russian corruption in the USA and western papers, as we all do. 

  42. As I always say, a certain group of Zambians still amuses me. How can a thief come to your house, steal from you and may be even rape your mum and yet you support him? That’s equivalent to supporting these former regime scambags!

    • Innocent until proven guilty!! These are allegations and nothing more. Or have they been caught red-handed? This analogy is misplaced, i thought the COI was not a court. I am sure if the thief that went to someone’s house and stole and was convicted the victims would not support the convict. The muzungus say better to let 9 guilty men free than convict 1 innocent man. I am sure Obama might agree. We are not supporting the scumbags but even a perceived guilty man should have his day to state his case…acting a bit civil, I think. 

    • As nicely stated as your statements come, you seem out of touch with the technicality of the matter. Many people from ERB and Indeni have already been tried and arrested. Come with facts and not hearsay!

    • No one has been tried my dear. But dream on. Any convictions? By the way you arrest and then try not the way you put it. I am actually advocating for facts unlike you who is stating from hearsay. Sorry from perception! 

  43. From 2007?
    It looks like the finger will point to the bragad putative High commissioner to Nigeria! His protector is dead.

  44. ZPPA, ERB are not MMD.
    The Ministry of Energy is led by Ministers and these only are MMD. So it is the people whom we entrusted to look after our money, technocrats, who stole not the politicians. Suppose ZPPA and ERB connived to ‘duly award’ contracts after kick backs and the Minister of Energy saw this and quashed it, would you prosecute the Minister?

  45. Compilation of transactions that involve purchases through cash flows, credit arrangements, payment through banks which issue “Bank Drafts” and electronic money transfers using complex coded SWIFT Codes, SORT Codes is a compound of complicated financial documentations. Even when imports have been paid for, ZRA has to come in with TAX to obtain Govt revenue. Purchases of petroleum oil is subject to scrutiny by USA & Western Govt to ensure that export of Iranian oil is under watchful eyes of western interests. The challenge we offer to Kabimba is for him tlo tell the nation how he got this fictitious figure of K2 Trilion loss through oil procurement deals. How did he get all this massive documentation in such a short space of time? KABIMBA IS A SHAMELESS LIAR. We are not all F.o.o.l.s!

    • The figure may or may not be accurate. But serious irregularities exist in the energy business. That said, a party Secretary General is certainly not the best person to lead a commission of inquiry because he inherently does not appear objective.

  46. It’s funny to hear individuals try to challenge my reason. I know it all. Please come at me with all you know in the energy business, I can challenge all my critics as a unit!

  47. So when are the youths,graduates and all other Degree holders going to work for Zambia,or may be first the have to go to botswana,then when they are over 50yrs old,then can be employed in Zambia?

    • Why do people like yourself make dull sentiments when they know that I will have to slam them for such? Most people who are unemployed are in such a situation because they undertook poor disciplines or did not complete school. You are delluded and you need stats to help you. Get a degree, a professional qualification and a masters, you will have a job!

  48. CONGRATULATIONS FRANK, YOUN DESERVE IT. YOUR HARD WORK SHOWS IT. I REMEMBER AS A KID WATCHING YOU IN BRAIDED HAIR PRESENTING WOMENS MAGAZINE AND ALL THOSE PROGRAMMES RUNNING TO FRANK TALK. A LOT OF PEOPLE WILL ARGUE, BUT THEY WERE NOT THERE. CONGRATULATIONS AGAIN.

  49. IS THIS KABIMBA THING A MINISTER OF FINANCE. CANT SATA GIVE THIS THING A JOB. I HEART THIS MAN PERSONALLY, AS HE TALKS RUBISH. HE GETS INTO OTHER PEOPLES BOOTS. HE WANTS TO BE SPOKES PERSON AND FINANCE MINISTER, CAN SATA GIVE HIM MINISTRIAL WITHOUT POTIFOLIO, I THINK HE GONNA FIT LOL

  50. Having Kambimbo in this is the equivalent of having a rapist involved in counselling victims of rape .This man is absolutely not trustworthy and i wouldn’t even touch him with my toilet plunger.He has a political axe to grind with this doctered report.

  51. Ba PF if you can recover the money and then we see your govnment help alot more of the zambians who need medication such as the tumal boy ,the late canser girl and many many who failed to access specialist then we will at least be happy . But if you just talk and talk while we dont see where the recovered money goes then you will be no good

  52. Its a shame seemingly progressive headlines likes this are not backed by your integrity, you chaps are still messed up in the courts over Zamtel and are hiding this mess from us.

  53. Why all appointments go to Bembas??, where are other tribes?? Ukwa do not put this country to test, mukatusha mu ma problems.

  54. All I am interested in is to see the price of petrol come down because corruption has been removed from the procurement of oil. Otherwise I will conclude that the price has not come down because corruption has continued or that there was no corruption in the first place.

  55. When reading such, the first thing you see is SATA family tree or Forest member MAXWEL Jumping ALELUYA to such nonsense by PF government.

  56. What’s wrong with the current government? Is Mr Kabimba the government spokesperson or a member of the PF’s governing committee? I find it to difficult to make out who is in charge of our respective ministries. Every PF member seems to have something to say; no matter how poorly briefed they are. ATI CHIYANGALILE OLO AMA YONONWENENE. Come PF let us be serious with the running of the country, don’t treat beloved Zambia like a playing field.

  57. Winter is a hypothetical liar.. According to him a day should never pass without dupping people through lies.. Mark my word this who declaration is a fluke, to the extent that even HE cannot understand how such an amount of money can disappear without anyone noticing not even the auditor general.

  58. If it is true K2 trillion was lost in 5 years (K400 billion per year), it means we lost 50 million litres per year at a price of K8000 per litre. It means fuel prices should be reduced immediately since fuel is cheap but exagerated by crooks. If Kabimba is telling the truth, let the price go down immediately.

  59. Now zulus COI useless..wat a president..winter, bob..i blame myself for voting for these BAD MEN…i seriously dint know

  60. There is only problem here, let the president do his work and besides provide a channel where every one will have access to information as regards programmes for the nation. this should not be a familly show where members gather to discuss property for the deceased. ingani pa kapiri worse especially that the m.p is from the opposition it appears as though government has nothing for the communities.kapiri should be looked at pantu betanafye kwati nifilya chaleba kale kumushi nga bwankoko banaile.I rest ! Let’s respect the president.

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