ZCCM Investment Holdings Plc has asked the Lusaka High Court to grant them an order to appoint Milingo Lungu of Messrs Lungu Simwanza and Company as provisional liquidator of Konkola Copper Mines Plc.

This is according to an application for ex parte order appointing provisional liquidator filed in the High Court on Tuesday, May 21st 2019.

According to the order, the Liquidator will have powers to carry on the business of KCM so far as is necessary for the beneficial winding up.

The Liquidator also wants powers to make any compromises or arrangements with creditors and make any agreement on all questions in any way relating to or affecting the company or its assets.

The liquidator father wants powers to take possession, custody and control all the assets of KCM.

The Liquidator will also have powers to bring or defend any action or other legal proceedings in the name and or on behalf of KCM, dispose assets by public tender or the most transparent manner under the circumstances and sell the real and personal property and things in action of KCM by public tender or private contract.

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69 COMMENTS

  1. There you have it ..BOMA ni BOMA, from Edgar Lungu on KCM from India to Donald Trump on Huawei from China. Economics needs politics to generate excitement, intrigue and awe

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    • There you go clapping (again) for “Boma” without understanding the full ramifications of such reckless actions by your “Boma”.

      Of course “Boma” can repossess KCM. Remember Zamtel and LAP green of Libya? Yes, remember well.

      The international courts will fine Zambia heavily for repossessing KCM. Up to now this PF “Boma” has not settled its case with LAP green. The courts will collect, one way or the other.

      So as you clap loudly, but blindly, remember that your children will be faced with huge debts.

      Meanwhile, Lungu will be in Swaziland with wife number 3 eating mangoes with dirty hands.

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    • @IndigoTyrol, I can’t believe you are so clueless even on basic company law! How someone can compare GRZ takeover of Zamtel and the liquidation of KCM is beyond me. Was Zamtel owing and failing to pay creditors to the tune of $260 million as is the case with KCM? Which international court protects companies from paying debts when they fall due?

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    • 1.1 You are the people letting us down. According to the agreement signed between government and Vedanta government has the right to repossess any assets as long it’s done legally. For your information these Indian company inherited readily available resources eggs Drilled reserves, Active tonnes, concentrates. All these were in hundreds of thousands of tonnes. After exhausting all these with maximum profits, they were now not ready to spend money on generating fresh tonnage. And these are the people you support. Even in politics patriotism must rule supreme

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    • Dull 1.3 Hakainde, Lungu has effectively terminated the employment of almost all workers at KCM with this action, understand what liquidation of a company entails before bringing your empty PF brain here, OK?

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    • What we all agreed on was the removal of Vedanta and finding a new investor, I do not remember liquidation being part of the programme. What mental challenge afflicts our PF friends were they think this is a win please??? Sell off all assets, pay off all creditors then what? Thousands unemployed as Govt runs around looking for investors (Chinese) for a stripped mine? What is so difficult about finding an investor who will assume all liabilities and set these amounts off against the purchase price of the bloody mine? All I see are PF vampires salivating at what they can salvage from this liquidation, no one gives a phuck about the workers.

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    • When Indian crook Anil was being entertained by LAZY LUNGU at State House a few years back he pledged $5 billions in investments even smiling at our stupidity to believe him…we told LAZY that there is no way an Indian crook can invest that much in Zambia but the cadres as usual told us to keep quiet…now you have forced to act because of Roan elections this mine should have been repossessed 10 years ago but we know that KCM has been in bed with you. Vandanta’s growth is where it is because of this mine.

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    • Dude love why do you wish Zambia ill? Is your only obsession to see the country fail in order to give Hikainde that elusive chance to enter State house.

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    • @Dudelove, stop acting like a grade 7 failure. It’s not like the buyers of KCM assets e.g concentrator and smelter will raze them down and construct a shopping mall in their place. This route the government has taken is the best way of kicking out Argawal and finding his replacement while avoiding legal consequences of an outright expropriation of KCM assets. Why are most economic refugees so unpatriotic?

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    • Danielle, all that would be possible if we were dealing with a competent group of individuals and not the phucking PF who have proved time and time again how everything they touch goes balls up. I live in Zed BTW so can attest first hand on how PF have no clue. Liquidation is never straightforward and may run into months even years and then what happens to the workers then?? Court cases will still be there whether this route is taken or not mune, don’t be naive.

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    • You know it boggles the mind how from the beginning we have been preaching about how PF decisions are harmful to the economy and are proved right every time but somehow we are still called bitter. ALL economic indicators are in reverse at the moment and falling! What kind of logic do you PF supporters use to continue supporting actions that any sane person can tell will have catastrophic effects for the ordinary Zambian? What companies in Zambia have ever done well after liquidation? And if the Chinese come in, how are you going to justify anything? Awe kwena.

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    • As we speak, there are trucks at KCM loading copper cathodes in the name of bailiffs. Probably jeraboz under the guidance of the PF.

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    • Who is this Milingo Lungu of Messrs Lungu Simwanza and Company who has been appointed as provisional liquidator of Konkola Copper Mines Plc?

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  2. As painful as it may, liquidation is the best legal option under the circumstances. Kanchule Copper Mines (KCM) must never ever be allowed to operate in Zambia as a Vedanta subsidiary. Twanaka nabo ba mwenye

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  3. Is the president linked to the liquidator? Just checking. Can some one do some investigation on the liquidator to ensure compliance and transparency are adhered to during the process.

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    • If he is linked then these foooooools never learnt anything from the Chiluba era…even having to explain yourself to your Children 20 years from now!!

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  4. As painful as it may, liquidation is the only best legal option available under the circumstances. Kanchule Copper Mines (KCM) must never ever be allowed to operate in Zambia as a subsidiary of Argawal’s Vedanta. Twanaka nabo ba mwenye

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  5. INDIA WILL CANCEL THE LUSAKA URBAN ROADS EXPANSION PROJECT WITH IMMEDIATE EFFECT BY INDIA EXIMBANK SUPPORT, THE INTERCHANGES SO FAR UNDER CONSTRUCTION WILL BE A WHITE ELEPHANT LIKE THAT TALL BUILDING NEAR KULIMA TOWER, SABLE IS WITHDRAWING HIS DEPOSITS IN ALL ZAMBIAN BANKS AND ALL INDIANS IN ZAMBIA SHALL DO THE SAME AND KEEP CASH AT HOME, KWACHA WILL SKY ROCKET TO 1US$=20K , PLEASE HH SAVE US

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    • This has nothing to do with Indian govt..you think they would want to be linked to crooks…really laughable…remember when Indian President was in Zambia, crook Anil rushed to Zambia as this is the only place he could get near to him.

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    • @Banyoko,. Get a grip.

      We have ways of dealing with people who keep cash under their beds. Change the bank notes, and tell people to get their money into the banks by a certain date otherwise the notes are worthless. They do this in many third world countries to flashout currency hoaxers/evaders. As for India canceling EVERY legally binding contract to support Vedanta, that is improbable, that would a breach and damages to Zambia. Vedanta is a criminal corporate entity, that had poisoned rivers environment in Zambia, THAT alone is righteous in this act.

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  6. But Donald Tramp is not liquidating any company or taking over. He is not protecting economic interest but security of his country. In fact when Donal Tramp is doing what he is doing he has strong position on which he is standing not us standing on sand. The end of this Saga will just the Lungus who are liquidators who are going to benefit and not an ordinary Zambian. What does the law say about liquidation of companies? Is this action going to create jobs and employ many people?
    It is from Edgar Lungu to Milingo Lungu. Donald Tramp is not desperate to gain political mileage there by plunging his country into further economic uncertainty and chaos. Ours is purely a question of being consistently inconsistency. But before you jump with exercitement of BOMA NI BOMA just hold on a bit…

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  7. This is worse off than a take over, liquidation spells doom for those miners in Kitwe, Chingola and Nampundwe. I thought by taking over they would run it before they could find a suitable investor.If you look at what happened to the mines in Lyanshya and the post newspaper, who were the winners and the losers? Workers in this case will be the losers and wont get their benefits. Its either someone is hoodwinking the Presido to make rush decisions out of political expedience or they have set a trap for him to lose the 2021 elections. No where in this country has liquidation solved all our miseries, it will simply amplify them. Government should have KCM under ZCCMIH and later engage the Chinese period and not this.

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    • Unless there is something we do not know, you do not take over a company by liquidating it. Take overs are done on companies that are going concerns and i want to believe KCM is such. Liquidating is as good as closing the company and the process itself takes years to complete. What will happen to the workers in the interim??

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    • I am making this contribution on assumption that this report is true. Can a non-creditor petition for liquidation of a company? Is my knowledge of Company Law too dated? So how much is ZCCM-IH owed? By taking this option, the next investor will buy the assets on the cheap. We have woven a tangled web here. What will happen to Chingola while legal wranglig is going on in court?

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  8. NATIONALISE!
    ARISE ZAMBIANS………ARISE.
    We have a dream….. that all Resources under the Zambian soil, will provide for our children and their childrens children’s future. That our young men and women will have jobs from the resources and be able to live lives of fruitful fulfilment. That the old men and women will gaze upon their children with pride at the plentiful and abundant lives as promised in scriptures. That families will grow and prosper bringing forth good works for their nation. IT IS TIME ZAMBIANS. ARISE!

    Patriots want to acquire the seat used by the Vedanta ceo , so that we have tinder for a large patriotic bonfire!

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    • Dull one, they are liquidating not nationalising. Read again, understand before you come with those fake poems shouted while wearing a chitenge. Dimwit.

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    • @Dudelove can you read and understand what the other party is actually ‘recommending.’ in the alternative to liquidation. You are the dimwit firing off out of your full head. You are making an assumption.

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  9. MMD Chief Bootlicker – Instead of saying from Edgar Chagwa Lungu to Donald Tramp you should be saying from Edgar Chagwa LUngu to Milingo Lungu. I’m wondering what will happen to those assets. This is purely a populist idea. I don’t support these companies but we should have used a different route.

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  10. Liquidation is catastrophic for the Miners and the surrounding business community. I do not think government is going ahead as they know the consequences. I gut feel is that they are so desperate to show they are doing sometime about KCM to the electorate and taking this step knowing too well that it will be bogged down in legalities once and inter party hearing is done. In other words, the are merely hoodwinking the public. PF is now desperate for 2021. Whatever decision and pronunciation made by them, they are only thinking of 2012 hence the NDF. I am scared for out country.

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  11. Liquidation is catastrophic for the Miners and the surrounding business community. I do not think government is going ahead as they know the consequences. My gut feel is that they are so desperate to show they are doing something about KCM to the electorate and taking this step knowing too well that it will be bogged down in legalities once an inter party hearing is done. In other words, they are merely hoodwinking the public. PF is now desperate for 2021. Whatever decision and pronunciation made by them, is only meant to get votes in 2021 hence the NDF. I am scared for out country.

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  12. PF always appoints useless “nchekelako” liquidators. I, therefore, feel for the affected workers and their families.

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  13. So by the same measure Zambia shall be liquidated??? Where did you get these fools?? KCM might have been facing liquidity problems but is this the solution? This is throwing the baby with bath water. The miners, Contractors, suppliers and their families will be the real losers going forward. This decision has just enforced to the international community that we are in a dictatorship. No credibility, integrity and morality. this wont stand in an international court. You wait ELC will have his plane attached if he tries to fly overseas.

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  14. Pure desperation. I can assure you they wont make the millions they were salivating about. Just shut down Zambia. These criminals are using the back door to lay their dirty hands on the miners. Who is going to invest in the country if their investments are not secure.

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  15. The Indians will come right, just watch.

    They will come with improved conditions…..GRZ and the Indians both will acomodate each other.

    They just want tax reliefs. They have a good deal in Zambia and know we are near elections and GRZ can’t afford any mine closing with resulting no pay of workers.

    Lungu must stand firm and squeeze the most out of them

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  16. Why are they liquidating the Company ? Is the company falling to pay its bills? This all stems from the Sales / VAT taxes saga . They have failed to figure out which is the correct tax use.

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    • You are asking about KCM failing to pay its bills? Just prepare for your third shift of the day as an economic refugee. Leave mines issues with us who are on the ground in Zambia

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  17. What has happened?
    1. Vedanta chairman and the president have been meeting and the chairman has been promising the president. He has been thinking it’s the same old story which he has selling and never fulfilled.
    2. The president has people on the ground. Remember KCM operates in Zambia and there are KCM employees who are part of PF. So the president knows what has been happening, but he gave them a benefit of doubt. Hoping things would change. It was getting worse by the day.
    3. On liquidation: Firstly ZCCM-IH (20% on behalf of Zambians) is owed money and in any case whatever the value of KCM today ZCCM-IH would like to get part of their share. The assets do not include the Reserves (I stand to be corrected), as all minerals belong to the Zambians while the company was given the…

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  18. Dude-love
    The government to come up with that IDEA conducted several consultative meetings with various stakeholders in the country .
    This vendetta ISSUE started long time before today.I didn’t think that the government as well as stakeholders participating in this ISSUE are too dull as you are thinking.
    Let’s follow this ISSUE very well,at this time LET SUPPORT THE WILL OF PEOPLE IN COPPERBELT who have been ill – treated by the Vendetta for long.
    This is not the ISSUE of PF particularly your No.1 enemy ECL,No. This ISSUE of Miner – conglomerates (vendettas) and people of Copperbelt.

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    • Pf do not conduct consultative meetings with anyone. With whom did they do condultation? No one knew about this takeover liquidation. Not even the pf president himself it just happened on the spur of the moment.

      Next week they will be reversing the decision after realization of the magnitude of the error. It’s pf trial and error decisions.

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  19. 3. On liquidation: Firstly ZCCM-IH (20% on behalf of Zambians) is owed money and in any case whatever the value of KCM today ZCCM-IH would like to get part of their share. The assets do not include the Reserves (I stand to be corrected), as all minerals belong to the Zambians while the company was given the licence to operate (which has been revoked, no more licence to operate/mine.)
    4. Assets disposal will be done by giving priority to those who can get the operating units. This will take time as these assets need to be evaluated by any reasonable investor. If no outright buyer (investor), then pieces of the plant would be disposed of.

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  20. There is nothing personal about Vedanta on this issue. That’s why good multinational companies stick to values and operate that way. Licence to operate is very important consideration and this is one major risk, especially in Africa. So to ignore this by bribing a few individuals is dangerous and unsustainable. Some genuine shareholders couldn’t invest in a company with the track record of KCM from the values point of view. This now the company versus the people (Zambians).

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  21. Let’s hope mr lungu pulls the rabbit from the hat and has the Chinese lined up to take over and square some of the debt we owe them

    If we are getting nothing tangible from the Indians let the Chinese come and we reduce debt repayments, at least we will be gaining something

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  22. The idea is okey, but has the implementation been well planned? because if the implementation is not well planned there will be more suffering than before among the employees of KCM, yes the suffering was there but at least others were getting paid, now if this process is mishandled even those that were getting paid will stop getting paid and now the suffering will be more wide spread, let us hope the implementation of this issue will be handled properly otherwise I see it backfiring and the same people who are advocating for Vandetta to go will start lamenting that it was actually better with Vandetta around, we have seen this before in Luanshya when it went under liquidation and the suffering that followed, some parents were even legalizing prostitution among their daughter just to…

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  23. survive, prostitution sky rocketed like never before, let us hope the handling of this issue is done well otherwise mark my words the suffering will be worse than before and I am speaking from experience.

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  24. The negative noise from opposition cadres here baffling. Vedanta is a Criminal entity that has committed environmental damage and taken Zambia lives. THAT alone is enough to support this action by genuine Zambian citizens.

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  25. Why are we busy arguing here? Let us just sit and wait for the story to play itself out. Eventually the winning group will be announced. It is very easy to see where things are going, but some people choose to believe the unbelievable. Let us wait. After just 12 months some people will run away from Lusaka Times. Good luck…and trust me, Zambia needs good luck….with the Kwacha today at K14.10.

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  26. PF at it again – THIEVING. They will loot the mines through the Liquidator.

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  27. @Daniell
    Stick to the subject and stop flying off a tangent. This is a forum for debating or discussing ideas and what i do or what you do or what anyone does is irrelevant on this forum and let alone this topic.

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  28. Probably liquidating is the best option to avoid litigation. Am sure they checked options that would not give vedanta a position to sue government and liquidating was that option. Ofcourse Zambians should understand that in fighting both the winner and the defeated get some beating. So copperbelt people must chose to suffer the consequences of repossessing the mine for a while and come and enjoy later. Hoping ECL will do a good job in ensuring that at the end of the day our people are smiling.

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    • Ecl doing a good job? Have you ever seen him do that. PF had just run the country down and now its time to kill what remains of the mining industry

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  29. Firstly, the liquidator is based on an ex-parte decision. KCM has not been heard yet. The judge will make a proper ruling after the inter-parte hearing wherein both sides will be in Court. Judge will want to hear the KCM side of the story.

    Liquidation is warranted if the liabilities of the company EXCEED the assets of the company. AND there is no reasonable prospect for the company to come back into solvency within a reasonable period.

    Liquidator must sell up everything, pay the secured creditors like the banks, then share the remaining monies between the remaining creditors. Obviously, suppliers, workers, etc are all unsecured creditors. So they will all get a proportionate share, example 20 ngwee on the kwacha. Within the creditors will be sums owing as loans from the…

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  30. I am taking a measured position here. Whereas I wholeheartedly have always advocated a control of our resources in a way that benefits the Zambian people who are the owners (even where we have investors), what is critical here is how we go about it. We should be discussing the modus operandi rather than the political emotions and populism quests that may initially ‘excite’.

    To place this in context, as an example, Zimbabwe needed to clearly redistribute the land that the people had fought for. To this day, arguments still rage as to whether the manner in which this was executed is directly linked to Zimbabwe’s economic woes today. In short, we must ensure the best strategy, with the least pain.

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  31. SAULOS KLAUS CHILIMA HAS BEATEN PROFESSOR MUTHARIKA BY A LANDSLIDE VICTORY IN TODAYS ELECTION IN MALAWI

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