KCM starts payments of outstanding debt to small suppliers and contractors

Konkola Copper Mines Plc (KCM) Provisional Liquidator Celine Nair has announced that the Company has set aside two million United States dollars ($2 million) to dismantle outstanding historical debt to small and medium suppliers and contractors in a bid to reduce liabilities and aid the growth of businesses.
 
In a statement released to the media by Ms Nair, who is the acting Administrator General and Official Receiver of Zambia, said she had taken a decision to pay outstanding debt, following consultations with KCM Management, in order to support small vendors and suppliers, some of whom had been waiting for their payments for some time.
 
“The Company is fully aware that it has been difficult for our business partners to operate smoothly and grow their enterprises because part of their money has been tied up and was only expected to be paid off at the end of the liquidation process,” Ms Nair said. “But a call was made to pay now in order to create some relief to the KCM business partners.”
 
KCM has allocated about $488,675 to pay off 103 vendors with balances below $10,000, while slightly over $1.5 million was set aside for 190 vendors who have been owed amounts in excess of $10,000, under a new system seeking to ensure equitable treatment of all vendors regardless of their type of business with the Company.
 
The payments to the business partners started on Thursday, 30th June 2022 and will continue through this week until all those listed on the schedule are paid off.
 
Previously KCM has focused much on payments to major contractors who assist in keeping operations afloat during the liquidation period, resulting in other suppliers and contractors going for long periods without receiving payment, but that has changed following measures introduced since Ms Nair took over the office of KCM Provisional Liquidator about two months ago.
 
“It is our sincere hope that the newly devised system will ensure all vendors regardless of their size are treated fairly as we support growth of KCM, the mining sector and other related industry and the national economy,” She said.