THE appointment of William Nyirenda SC as chairman of Finance Bank Zambia Plc following the arrest and resignation of Rajan Mahtani who was until this week the chairman of the bank, has been challenged.
Mulenga Fube, a governance activist, has protested the appointment of Mr Nyirenda as chairman of Finance Bank Plc citing conflict of interest because he (Nyirenda) is also the chairman of Patents and Companies Registry Agency (PACRA) where the alleged forgery by Dr Mahtani took place.
In a letter to Commerce Minister, Margaret Mwanakatwe, Bank of Zambia and copied to the Managing Director of Finance Bank Plc, Mr Fube said the fraudulent transfer of 500 000 000 shares from Zambezi Portland Cement to Finsbury Investment took place at PACRA, an institution chaired by Mr. Nyirenda.
Mr. Nyirenda when contacted confirmed his position at PACRA but said he was only going to respond to Mr. Fube’s complaint after seeing the letter.
When asked if his position as chairman of PACRA would undermine the investigations against Dr Mahtani, Mr. Nyirenda responded: “If that be the case, we shall respond when we see the document.”
Mr Fube said he had written a public interest complaint against Mr Nyirenda to the Minister of Commerce and the Bank of Zambia because the new Finance Bank chairman was deeply conflicted to chair the bank.
He complained that Dr Mahtani could not appoint Mr Nyirenda to succeed him as chairman of Finance Bank because the forgery allegations he (Mahtani) was facing were committed through PACRA.
Mr Fube said Mr Nyirenda’s appointment had the potential to undermine the due process of the law and could easily interfere with PACRA and public interest.
“The offences of forgery involving the transfer of 500 000 000 shares from Zambezi Portland Cement to Finsbury Investment can only be conducted at the Patents and Companies Registry Agency (PACRA), a public body chaired by Mr William Nyirenda SC. The acceptance of this appointment by Mr Nyirenda to be chairman of Finance Bank owned by the person being prosecuted conflicts with his position as chairman of PACRA, an institution where the forgery offences are alleged to have been committed. This conflict is likely to undermine the due process of the law and interfere with PACRA and public interest,” Mr Fube said.
He said the Bank of Zambia should consider Mr Nyirenda’s position as chairman at PACRA before approving him as chairman of Finance Bank so that the due process of the law could be protected in dealing with Dr Mahtani’s forgery case. Police early this week arrested Dr Mahtani for fraudulently transferring 500 000 000 shares from Zambezi Portland Cement to Finsbury Investment and he immediately stepped down as chairman of Finance Bank and immediately appointed Mr William Nyirenda to succeed him.
In a brief statement, Finance Bank stated that Dr Mahtani was arrested on an offence the State through suspended Director of Public Prosecutions (DPP) Mutembo Nchito had entered a nolle prosequi and then Attorney General Mumba Malila made an undertaking that the matter had been permanently closed.
I figure Mr Nyirenda is a learned man, who clearly knows that his appointment as Chairman for Finance Bank is a conflict of interest because he is also chair at PACRA. So why should he wait for a document to confirm that. This is like seeing your wife kissing another man and when someone points it out you tell them you are waiting for her to have $ex with the man to confront her!
Kikikiki Zambia awe mwe, so everybody are corrupt? Wait when William enters politics like HH it will be mess. William Nyirenda’s career sounds like the HH, chairman of 100s of boards.
I don’t see any conflict. Mr Nyirenda is in order.
Kwena Dalitso! Your comment is spot on. When you talk about William Nyirenda to a business man in Kitwe they will tell how greedy he is. If he is representing you on property he makes sure at the end he buys the property himself. They are perfect example is Adriatic court he used to represent the late owner who died of stress and quickly got the property I’m just saying so you know the double standards of this man.
What about if the man declared interest but the people who were there went ahead and appointed him Chairman?
I believe the appointment was not made by Mahtani alone but with other board members.
Spare HH from this mess.Give him maximum support instead
NO we cant spare HH is also corrupt and we should know where he got the money he bosts of f.ni kawalala chabe
Nowa
Lungu seems to be too tribalistic. Why every major position appointing Easterners only. Looks fishy. How can one unity a country like this?
Nyirenda is one of those famous low-yers. He is all about money and no ethics. People are barking up the wrong tree here. Just like his colleagues, Justices Sakala and Ngulube, these people do not understand conflict of interest. It is all about greed for sitting allowances.
Abena Wille ukutemwa double tobela ama guys!
Iyo bwafya
Fourth world country, Africa twasebana.
Wapa kulwisha uyu shikuli bantu
It seems BOZ and PACRA are not doing their properly. Dr. Mahtani is a high profile individual. Within hours of his arrest he resigns and appoints Mr. Nyirenda as chairman of the board. Who appoints a board chairman, is it the board or the shareholders? If it is shareholders how and when did they meet? If it by the board of directors, when and where did they meet to appoint Mr. Nyirenda as chairman? Mind you, majority of shareholders and directors of the bank are based overseas and away from Lusaka. How can a chairman be appointed without BOZ’s approval? Mr. Nyirenda is a lawyer and he knows what he is doing. Dr. Mahtani is a seasoned businessman and he knows what he is doing. Mr Nyirenda and Dr. Mahtani have been through this many times.
If its true that the shares were transfered illigaly during his tenure as chairn then he should drop from chairing the Paccra too.