A WITNESS has testified that former Labour minister Austin Liato and his relatives allegedly threatened to kill his three farm workers after suspecting them of having informed police about the K2.1 billion found buried at his farm in Mwembeshi area.

And in cross examination, defence counsel Nelly Mutti suggested to the witness that Liato had called him and the others, thieves because they had allegedly stolen K600 million from the trunks saying the money was supposed to be K2.7 billion and not the K2.1billion declared by the police.

But the witness Paul Kakombe denied the allegations and insisted that he was with the police and after counting the money which was found to be K2.1billion.

Meanwhile, Liato’s trial was yesterday characterised by heavy security called in to seal-off the court premises as the two trunks carrying the K2.1 billion dug-out from the former Kaoma Central Member of Parliament’s farm were being brought in as exhibits.

Liato is facing one count of being in possession of property suspected of being proceeds of crime contrary to section 71 (1) of the Forfeiture of Proceeds of Crime Act number 19 of 2010 of the Laws of Zambia.

Particulars of the offence allege that Liato, 47, did possess and conceal money at his farm, Mwembeshi Farm number L Mpamba 144, amounting to K2.1 billion reasonably and suspected of being proceeds of crime.

Mr Kakombe, 36, of Kaoma told Principal Resident Magistrate, Aridah Chulu, that Liato returned home two days after police dug out the K2.1 billion at his farm and bundled all the three workers in his Pajero vehicle and drove to an unknown destination while threatening to kill them or make them mad.

The witness said Liato who was in the company of his two brothers Kawewe and Peter later drove to their sister’s house, a Mrs Naminano where one of his friends was allegedly beaten by Liato when he attempted to explain to his relatives that they were not the ones who informed the police.

“He called us liars, thieves and betrayers while threatening to kill us but we challenged him and his relatives to first go and kill President Michael Sata and the police because the police had told us that they were sent by the President to search his farm,” he said.

Mr Kakombe told the court that he was among the people that assisted in digging out the two trunks that were buried under a thick concrete burglar-barred chalet with security alarm systems.

He said he and his friends were shocked to see the two trunks containing huge sums of money while their wives fainted upon seeing that kind of money.

The witness said he was with the police from the time they managed to dig-out the trunks until they broke the two safes with one containing K1 billion and the second carrying K1.1 billion.

He said they later drove to police headquarters together with the police.

Mr Kakombe said the police then opened the two trunks in the presence of the two farm workers; himself and Kalu and counted the money together.

Kalu then signed for the money and they were later taken back to the farm.

Mutemwa Mutemwa asked the witness whether Liato had the right to bury the money under ground or whether he was supposed to get permission from anyone on how he should keep his money.

In response, Mr Kakombe said Liato was wrong to bury the money because he was an account holder and was supposed to take it to the bank.

And Magistrate Chulu advised Mr Mutemwa not to take the witness to task citing an Act because he was a lay person and should not expect him to know the State provisions of the Law.

And security officers, some in plain clothes, sealed-off the court premises as early as 08:30 hours to give protection to the money as it was being brought before the court.

The officers accompanied the trunks while clearing on-lookers from the way as they led the trunks into the courtroom.

Scores of onlookers hovered around the court entrance to have a
glimpse of the trunks.

And the presiding Magistrate warned that she would in future, ask the police to clear the court-room if people continued to murmur and pass comments during court sessions.

The court was initially supposed to move to Liato’s farm house but this was rescheduled because of the poor state of the roads following heavy rains in recent days.

Trial continues today.

[Times of Zambia]

Security wings have questioned former vice-president, George Kunda and former minister of Commerce, Trade and Industry Felix Mutati in the acquisition of the controversial border scanners at a cost of over K100 billion.

The investigators quizzed the two former MMD leaders in connection with suspected illegalities in the acquisition of eight border scanners.

Mr Mutati arrived at the former offices of the task force on corruption on Buluwe Road in Lusaka’s Woodlands area around 14:00 hours on Wednesday.

His appearance was in connection with reports that the awarding of tenders for the purchase of scanners by the Zambia Revenue Authority (ZRA) was marred with irregularities.

Spokesperson of the combined team of security personnel, Charity Chanda, confirmed the development and said Mr Mutati’s appearance was meant to help the team understand what he knew about the tender process in the ZRA deal.

This is in a matter in which ZRA is being investigated on allegations that the tax collector single-sourced for the job with the influence of some senior Government officials.

Mr Kunda is reported to have issued an illegal statutory instrument last year to sanction collection of ‘inspection fees’ of K360,000 from each transporter by Bradwell International, a company contracted by the Zambia Revenue Authority to manage scanners.

Mr Kunda, who was then Republican vice-president is said to have authorised in August last year, the collection of the money from each transporter even in ports where there were no scanners to pay 85% to Bradwell International. The remaining 15% went to the Government.

Finance and National Planning Minister, Alexander Chikwanda has since revoked Mr Kunda’s statutory instrument and abolished the K360,000 which was being levied on transporters.

Mr Kunda in a separate interview denied the allegation and said the statutory instrument was signed within the law.

And Mrs Chanda said both Mr Mutati and Mr Kunda were appearing as witnesses because of their knowledge and involvement in the matter.

Recently, former ZRA Commissioner-General, Wisdom Nhekairo was warned and cautioned by the security team.

Mr Nhekairo referred further queries to the police.

And the Drug Enforcement Commission (DEC) has pounced on two senior management officers at Zambia Red Cross Society (ZRCS), who are currently being investigated by the commission for various offences including money laundering activities and seized six motor vehicles from them.

DEC acting public relations officer, Samuel Silomba, who confirmed the development in Lusaka yesterday said the motor vehicles were seized early this week.

In an interview in Lusaka, Mr Silomba said investigations into the matter involving ZRCS senior management officials have reached an advanced stage.

However, he could not name the affected officers but said the nation would be kept informed of any latest developments at Zambia’s largest humanitarian organisation.

Efforts to get a comment from ZRCS Secretary General, Charles Mushitu proved futile as his mobile phone was switched off while another senior officer Mr James Zulu, could not comment referring all queries to Mr Mushitu.

Meanwhile, sources within the society revealed that some motor vehicles belonging to the organisation were being parked and hidden in different locations in Lusaka, where the commission could not find them for fear that they could be seized as well.

The sources said the organisation had been grounded following the sudden closure in December last year after senior managers received immense pressure from the commission to stand aside to pave way for investigations.

The workers complained that management communicated to them through telephone calls and text messages informing them that the organisation has been closed until January 8, 2012 but that was not the case.

The employees said that as things stood, they received information that the humanitarian organisation might not resume operations soon because of the on-going investigations.

The workers also complained that they had not yet received their salaries dating back to September last year and appealed to the government to intervene.
[Times of Zambia]

The UPND has accused the PF government of having failed the people of Zambia since it assumed government in September 2011.

UNPD chief advisor, Douglas Siyakalima says President Sata has failed to fulfill the promises he made to the Zambian people during the 2011 election campaigns.

Mr Siyakalima says President Sata has deviated people’s attention to the fight against corruption which he said is only targeting political opponents .

And Mr Siyakalima told a media briefing that publishing of the Baroste agreement in the media will not solve anything because the document has been in the public domain.

But State House says the Patriotic Front Government has managed to free the media from the shackles of the former ruling party the MMD which used to black out the voice of opposition political parties.

President Sata’s Special Assistant for Press and Public Relations,George Chella says Mr Siyakalima should appreciate that today opposition political parties are free to voice their views using the public media.

Mr ChellaA said this was not the case during the MMD regime.

He advised UPND to present meaningful opposition to the government because at the moment the party is only pretending not to notice the changes the PF government has brought since the September 2011 poll.

ZNBC

LAP Green Network Chairman Wafik Alshater has described as completely baseless accusations that Zamtel was undervalued at the point of sale.

Mr Alshater in an electronic statement released to QFM has also dismissed allegations of wrong-doing by LAP Green during the acquisition of the 75 percent stake in Zamtel.

Mr Alshater claimed that LAP Green followed due, facilitated by a consortium of internationally renowned professional service companies, including Standard Bank, Denton Wilde Sapte and KPMG South Africa.

He said that the open and competitive bid process was overseen by the Zambia Development Agency and included the direct involvement of the Attorney General and international legal advisers, Simmons and Simmons.

Mr Alshater added that the 75% stake sold to LAP Green in June 2010 for $257 million about K1.37 trillion constituted the highest amount ever paid for a privatized company in Zambia and was at the time one of the higher valuations for a telecoms asset in Africa

He said that Zamtel is a successful turnaround story and that LAP Green remains keen to cooperate with the Zambian government to ensure the continued growth and success of the company.

And Mr Alshater has accused the media in Zambia of subjecting LAP Green to a concerted campaign of misinformation.

He said that the willful misrepresentation of LAP Green has forced the company to explore legal options to protect its reputation.

QFM

The Lusaka Magistrate court was today packed with heavy presence of police as trunks and money were taken to court for identification in the case involving former Labour Minister Austin Laito.

Mr. Liato who had his indictment substituted yesterday is charged with possession of property suspected to be proceeds of crime.

Before Magistrate Aridah Chulu was Paul Kayando, a witness, who identified the trunks and two safes where the money was being kept.

Kayando, a former worker at Mr. Austin Liato’s farm in Mwembeshi identified the items in question following an application by the Director of Public Prosecution (DPP) Mutembo Nchito.

Kayando testified that he and his colleagues witnessed the excavation of the money and that the money was counted at the Lusaka Central Police Station.

He told the court that one trunk contained K1.1 billion while the other had K1 billion.

He also told the court that his wife and his colleague’s wives fainted upon seeing the money adding that the place where the money was discovered had an alarm system.

Kayando added that Liato threatened to kill him and his colleagues and falsely imprisoned them in his car and moved them around.

Kayando further testified that Liato accused them of having divulged the presence of money at his farm.

Later the money and trunks where whisked away from the court premises as the court moved to Liato’s farm in Mwembeshi.

ZANIS