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Tuesday, August 11, 2020

Finance Minister Felix Mutati Shoud be Investigated for Corruption when he served under RB

Columns Finance Minister Felix Mutati Shoud be Investigated for Corruption when he served...

Then President Rupiah Banda and Commerce Minister Felix Mutati
Then President Rupiah Banda and Commerce Minister Felix Mutati

By Concerned Citizens

As citizens who care about our country Zambia, we feel it is our duty to report any activities that may compromise the integrity of the government and the country.

We have proof at this time and that our allegations are correct, and the circumstances are certainly disturbing. We wish to bring to your attention and the public the level of corruption and abuse of authority that the Honourable Felix Mutati has been engaged in for years now, during his previous ministerial position as Minister of Commerce.

This country already infamous in its style of working is now faced with the new problem of having Hon. Mutati as Minister of Finance.

It has become almost impossible to deal with the Ministry of Finance without bribing the Minister. Everyone from down to top is openly asking for money. The role of the Anti-Corruption Commission is also mysterious in this regard. They seem to be the only organisation not knowing about this and often fail to take any steps even after receiving the complaints. They rather ignore it and are also involved with the officers.

It’s also shame that people agree to pay the bribe and extra amount when they are entitled for the services and can take steps in this regard. It’s immediately required that enquiry be set up and the image of the Ministry of Finance is improved to install people’s faith in this system.

Very respectfully, the Public Accountability should be a public spirited prime objective of ensuring that public officials entrusted with public resources do not abuse the same and the influence accruing from their offices, for personal gain. Our aim is to provide information in order to enforce public accountability and to render the issue of corruption, politically expensive for any government official.

It is against this background that we humbly present the instant complaint bordering on facts of corruption, abuse of power and office by the current Minister of Finance, the Honourable Felix Mutati.

The complaint of corruption and abuse of office is hinged on the acquisition by the Honourable Minister of certain massive projects undertaken by him which are utterly inconsistent with and insupportable by government procedures.

Then President Rupiah Banda inspecting Diapers supposedly produced in Zambia
Then President Rupiah Banda inspecting Diapers supposedly produced in Zambia

Without further ado, we hereby proceed to give particulars of our allegations.

1. During the MMD era under former President Banda, Hon. Felix Mutati who is the current Minister of Finance, at the time he was Commerce Minister illegally facilitated the establishment of Pepsi Company in Zambia without following the right procedures. Hon. Mutati personally was paid by Pepsi in order to be given the tax rebate for 5 years, and other conditions that disadvantaged other companies and indeed local companies in Zambia.

During his time as commerce Minister he travelled to India and met high ranking Pepsi officials and assured them that they can invest in Zambia, at the time Mutati received huge sums of money for his personal use to facilitate the establishment of Pepsi in Zambia. During President Sata’s government Mutati was actually interrogated by the Zambia Police and a statement was recorded from him, but the case just did not proceed due to that he had corrupted the police officers who were handling the case. Upon being probed by a section of the Zambia Police, Hon. Mutati, after a series of inconsistent denials, alleged that he had helped the country to bring investment.

With the explanation offered by Hon Mutati, the following questions are begging for answers:

(i) What was the exact nature of the tax exemption that was given to Pepsi by Hon. Mutati?
(ii) What was the value of the taxes the government lost for the period in question?
(iii)What were the tax penalties for Pepsi?
(iv) What was the guarantee and who was the guarantor?

2. During the same period of the MMD under Former president Banda, Hon. Mutati again presided over a very corrupt transaction involving a local registered company called Sanitary World Limited under the auspices of Citizens Economic Empowerment Commission (CEEC) and Zambia Development Agency (ZDA).

It is on record that with the influence of Hon. Mutati CEEC funded a project which was to be undertaken by Sanitary world Limited to procure machinery that could produce diapers locally under the theme “Proudly Zambian”.

However, Hon. Mutati connived with CEEC and ZDA officials to procure containers of already made diapers from [Nanjing Biaoyue International Trade Co. Limited of China and pocketed Thousands of dollars. As if that wasn’t enough Hon. Mutati went ahead and officiated the commissioning of the purported project by Sanitary World limited, which was held at Southern Sun Ridgeway Hotel.

Although at the time President Banda was present to officiate on this project, Hon. Mutati knew that he had manipulated his boss into believing that the project was real and existed in Kafue, when in fact the project only existed on paper.

The diapers were floated on the Zambian market in chain stores like Shoprite, Pick n Pay and Spar were purported to have been produced here in Zambia when in fact the Honourable Minster of Commerce at the time Felix Mutati was overseeing the importation of the said products in order to benefit himself and the people he was using to syphon money from CEEC.

We challenge the Honourable Minister of Finance Felix Mutati to show the nation where they established a factory for Sanitary World Limited which was producing diapers. This is the kind of a person our country has trusted with the finances of our nation in the position of Minister of Finance.

Therefore, in the next five (5) years we the people of Zambia must abreast ourselves to have the Ministry of Finance presided over by a corrupt minded individual. Let the law enforcement agencies although they are toothless when it comes to such matters unless political issues, institute an investigation into the allegations raised so that the nation can be accorded the opportunity to know all the facts about Mutati’s corrupt activities which has been involved in.

The foregoing represents how far in excess of reasonable expectation of Mutati’s integrity as current Finance Minister. Clearly, Hon. Mutati was financed for the execution of all these massive projects with the support of some Ministers in Banda’s government. There is absolutely no record with any state agency which suggests any such actions were right. Prima facie, it indicates corruption and an abuse of his position as a Minister of Commerce at the time.

The instant investigation into the matters raised should not, with the greatest respect, be construed as a witch-hunt against Hon Mutati. He only represents the first example of our eagerness to demand accountability from public officials. Mutati is test case of corruption and the fight against the same.

We wish to indicate our preparedness to co-operate with the investigating agencies towards the investigation of the matters raised in this humble petition and to provide detailed documentary evidence about the allegations raised.

The Manifest
The Manifest

42 COMMENTS

    • No real comment to make. When some of us talk about how Bembas are thieves, you think we are being divisive. The Bembas are the most unpatriotic group of Zambians who are willing to bankrupt the country as long as they make their money from looting. PF, the natural home of these people, had bankrupted Zambia within 5 years. Mutati will just assist PF to steal some more.

    • @1.1 Buck Teeth… the THIEVING AMONG ZAMBIA POLITICIANS and ELITE in general is NOT limited to BEMBAs. Your conclusion is MERE TRIBAL HATRED! WHEN HH IS CALLED A PRIVATIZATION THIEF HE THREATENS BUT FAILS TO SUE FOR FEAR OF BEING EXPOSED! Recently there has been THEFT at ZNFU,how many Bembas were involved? This bad culture of STEALING and WRONG DEALING AFFECTS the ENTIRE SOCIETY and we must be WORKING TOGETHER TO END IT RATHER THAN MAKE IT TRIBAL. VJ,SIKOTA and NAKATINDI WINA were caught trading in mandrax and OTHER ILLEGAL DRUGS. Did ZAMBIANS say Tongas and Lozis are drug dealers? You will see that investigating these cases may even point to more than Mutati alone as it could have been a syndicate involving other based on ELITIST CRIMES!!

    • So sad. A little too late, though. He’s now in the corridors of power. These allegations should have come during Michael Sata’s day. Today you can’t succeed with Rupiah Banda in control of the PF and its stolen government.

    • these things are happening all over, we have some cabinet ministers who haven’t paid back loans they got more than 5 years ago and still were adopted and are ministers even now Hon Mwanakatwe is one such individual if going by Chilufya Tayali’s reporting is factual. the CEEC have never come out to deny nor confirm these allegations – political correctness pays in Zambia. my main question is (1) How did the agencies clear him? or this was highlighted but brushed under the carpet? (2) who else is corrupt and he or she is free today? (3) is this a case of fixing Mutati after he acknowledged that the country has essentially been mismanaged? is it jostling to see who pushes out his perceived interested potential candidates for 2021?

    • Not a question of ethnicity here but that those who choose to hold public office should do so with relatively clean hands if they mean well! Across the many Zambian ethnic groupings there is proportional thuggery and thieving thus when there is suggested evidence let the institutions charged with good governance and legality do their job especially where the public is willing to positively participate for the good of the country! Some legislator must lay on the table this piece of information as it also relates to checks and balances!

    • If this is true he must be fired! No sacred cows in Gvt! Also Mr President sir we need those luxury vehicles to be banned! We the citizens are all sacrificing immensely it is only morally right that the Top Govt officers across the board also begin to cut down on their expenditures! Less or no more allowances, remove luxury vehicles which will reduce so many attached costs!

      We are with you sir as we were since day one!

  1. Felix has never been a clean guy. Of course, these allegations are in public domain. They have only resurfaced because people like Kambwili and the “Real Greens” are not happy because Felix is a threat to their long held ambitions of taking over from Lungu. I only wish they could have raised these issues when he was campaigning for them.

    • @2The Chosen one, what truth do you have that it is Kambwili behind this information? It may even come from the other MMD faction that is with UPND. Yes, I also agree with you that Mutati is not clean just like HH and many other politician are not! I know a politician who has been called a privatization thief who always threatens to sue but never does for fear of being exposed! Taking over from Lungu will not depend on Mutati being at Finance. It will depend on his real power base within PF which he does not have! Yes,it is people like Lubinda and Kambwili who have a following in PF and not Mutati and if Lungu wants PF to kiss bye bye to power let him try to impose Mutati!

    • I doubt the UPND or the other MMD faction (which only exist on paper) can be behind this “revelation”. The bottom line is that there are so many disgruntled “Real Greens” out there. Just read what KBF had written the other day to have a glimpse of people’s frustrations. The so-called Real Greens feel the party has been hijacked by RB’s MMD. They feel that at the rate the appointments are panning out, it’s likely that a pro-RB would take over at some point. It’s on that premise that I feel this Mutati feud is coming from the Real Greens (not necessarily Kambwili, he just happens to be the figure-head of that group). By the way, a party needs to evolve, there is no such a thing as owners of the party. If I am not happy with the direction my party has taken, I am free to leave and…

    • If I am not happy with the direction my party has taken, I am free to leave and form my own. Sata did exactly that. Those parties which don’t evolve, remain stagnant. Had PF not evolved by embracing the Pro-RB cartel, UPND would easily won the 2015 or 2016 elections. The East vote was crucial and RB played a crucial role.

    • His mother must have dropped him on head by accident when he was young which has seriously affected his thinking ability.

    • Will any NEW THIEF appointed by the Commander in Chief of Thieves with his US$ 2.3 MILLION of stolen Eurobond money do any better?

  2. HH never stole any money from the mines. If he did he was going to be jailed. How many investigations officers or institutions have gone through that record of privatisation of mines in Zambia? A lot. Lets bury these baseless accusations. I am sure HH was not in gov. then to control the whole lot of min of finance, parliament etc

    • @7 Fred, for you stealing is only done by people in government! Those private contractors you accuse of conniving with government officials to inflate prices on their works are not thieves? If an agent is appointed to value property and advise the seller on the modalities of sale,then he undervalues the property and connives with the buyer and a few days he becomes a share holder in the same property,then for you that one is not a thief? Surely if some one properly sweated for money and others accuse him of being a thief,they would take appropriate action to clear their name unless they have something to fear!!

  3. Haha! Pa Zed… It is like the Fish Called Wanda clip with a twist: “Now that I am not very happy with it, I will tell them who done it with me”. The entire leadership seems to choke-full of flip-flops and cry-babies. Let’s see how they take each other down…

  4. BA Concerned Citizens JUST LET MUTATI WORK PLEASE GO AND PLAY ELSEWHERE AS YOU HAVE SEEN HE IS A VERY BUSY MAN STRIVING ON TAKING THIS COUNTRY INTO PROSPERITY, IF YOU DON’T HAVE ANYTHING TO DO PLEASE GO AND INVESTIGATE HH KALUSA AND THE SELL OF OUR MINES,DO YOU UNDERSTAND?.WE ARE NOT INTERESTED AND REMEMBER WHEN YOU POINT A FINGER THREE ARE POINTING BACK AT YOU, YOU BUNCH OF THIEVES.

    • PROPER. AS ZAMBIANS THIS IS OUR COUNTRY. HOW ARE WE LETTING EXPOSED THIEVES GET AWAY WITH PLUNDER AND ALLOW THEM BACK IN AGAIN TO STEAL MORE? IF THERE IS PROOF ON HH PLEASE BRING IT FORWARDAND LET HIM BE INVESTIGATED ALSO. DID YOU SEE ONE EVIDENCE EXIBITED HERE? OR ARE YOU SO INTO PF THAT YOU ARE JUST BLINDLY SUPPORTING SOMETHING THAT IS AFFECTING OUR ECONOMY.

  5. JAIL him…. Felix Mutati …! Bring him to book. He is currently selling Zambia for $1. to IMF and if HH stole from mines deal and Zambezi sun hotel, Mushroom Lodge hotel – JAIL him

  6. A Minister is a policy maker and not a manager signing deals of USD 17K. Even if he is involved in negotiation these are done within government policy framework. You have heard him trying to dollarize Kasumbalesa Market. It will only happen after the SI ( special Instrument ) has been ratified. Get a life . The MMD of Mutati could not have left all those reserves you always talk about if they had been stealing that much. If fact its HH who sold a KCM Mine for USD 25m and the Guptas recouped USD 1bn within a year. We have now become an academic example of how not to privatize . But we know the reasons WHY THIS HAPPENEND ,the privatization executive we appointed HH became rich over night. He sold the whole Zambians Mines for a personal enrichment. This one wont stick , please go…

    • DID HH HAVE POWER TO SELL? WAS HE THE PRESIDENT? ALL THIS THAT YOU PUT AROUND HH S NECK SHOULD BE ON FREDRICK CHILUBA.

    • Bull sh!t.

      @Dayuk, the OWNER of a property is the one that sells it. And the OWNER was GRZ.

      Was HH President at that time? Was he in Government? Please keep your sh!t to yourself. We are tired of this stuupid old song.

  7. Please give Mutati a chance to try and redeem our ravaged economy. Let him teach the PF how the MMD managed to get the economy back on track with plenty of money flowing. We were terribly deceived by the PF about more money in our pockets yet we had more money in our pockets under the MMD.We miss Rupiah Banda.

  8. SOUR GRAPES. BRING EVIDENCE OF THIS CORRUPTION. DONT JUST SING ABOUT IT. START WITH UNDER FIVE, ASK HIM TO ACCOUNT FOR THE PROCEEDS OF LIMA BANK, RAMCOZ, HOTEL INTERS ETC. THIS TYPE OF LOOSE ACCUSATONS BY ONE SECTION IS SICKENING TO SAY THE LIST.

  9. Ha,ha,ha you will miss Rupia even if a monkey urinated on his head atleast he left billions of dollars in the reserve bank with Musokotwane which furnished in two months when pf took over govt .

    • @ The Saint

      Info is 100% CORRECT!!!
      The Minister, Hon. Mutati, DID SIGN “Investment Promotion and Protection Agreement”between GRZ and VB(Z)Ltd. on 17th January 2009 giving ILLEGAL incentives to Varun. His signature was witnessed by Mr. Siazongo D. Siakalenge from Ministry of C.T.& I.. That is fact. If you still do not believe, check “bundle” in case 2012/HP/196.
      Question is not if he did sign, but who in the Attorney General office authorize content of the Agreement?

  10. Mwamona nomba twasyala muli mwamoneni! Malyashi yenkaya yakokalifya imitima sha bantu, nomba ba Lungu wesu mukochitapo shani palifi? (Translated: This is regrettable and extremely agonizing for the people of Zambia! Mr Lungu what are you going to do about this knowing fully well he is your righthand man in your presidential mandates?

  11. I wish the writer had brought this “scandal ” at the time Mutati campaigned for HH, but as it’s I will take as a detraction to complicate things for the PF government.

Comments are closed.

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