
THE Government has questioned the calibre of opposition leaders like Lusaka business executive Geoffrey Mwamba seeking to be in Government when he has failed to settle a K2.4 billion debt to the Food Reserve Agency that takes care of peasant farmers.
Minister of Agriculture Peter Daka wondered yesterday why Mr Mwamba had failed to settle a 1998 loan from FRA which he now was claiming was petty cash to him when the same money works as a revolving fund to pay poor peasant farmers.
Mr Mwamba at a Press briefing yesterday boasted that he would today settle the debt to enable him recover the seized building seized by the FRA last week.
He said he would today instruct his junior accountant to pay the FRA debt so that he reclaims the seized building.
The seized building in Lusaka also houses the central secretariat for the opposition Patriotic Front (PF), a party to which Mr Mwamba belongs and is a Member of Parliament.
Mr Mwamba, flanked by PF spokesperson Given Lubinda accused the Government of ‘squeezing’ him and mixing his business with politics, and that he was not a finished business person as some people were saying.
But Mr Daka said it was surprising that Mr Mwamba could drag the Government into an issue that was purely commercial between his business and the FRA.
He said the FRA was an independent institution operating through an Act of Parliament and there was no way the Government could interfere in its operations.
[pullquote]“If he is calling K2.4 billion petty cash why did it take him long to service the loan?” he asked.[/pullquote]
He said the FRA had its own mandate and through its board of directors made all its decisions and decided whom to do business with.
“The issue is between GBM and FRA and it is purely commercial without any political connotations,” he said.
Mr Daka said it was also shocking that Mr Mwamba and Mr Lubinda who were once political rivals when they battled for the Kabwata Constituency seat in 2006 were now friends who teamed up to denounce the Government based on false allegations.
He said as minister he could not understand why Mr Mwamba could boast about having a lot of money through a Press conference when he had neglected to service his indebtedness since 1998.
“If he is calling K2.4 billion petty cash why did it take him long to service the loan?” he asked.
Mr Daka said it was unfortunate that most farmers across Zambia remained poor when people like Mr Mwamba were not paying the FRA.
He said Government remained selfless and committed to the development of the agriculture sector through support to the farmers.
“That money is a lot to pay farmers across the country and he is not giving FRA,” he said.
He said the matter was decided by the courts that Mr Mwamba should pay the FRA and the Government.
And the FRA has confirmed that the Supreme Court passed a judgment in1998 against GBM Trucking and GBM Milling
FRA legal counsel, Chola Kafwabulula said in a statement yesterday that the court judgment was delivered in January.
He said the deal between the FRA and GBM was purely commercial and there where no politics involved.
He said GBM willingly offered collateral in form of a building in Villa Elizabetha and that was not done under any duress.
The Supreme Court upheld an earlier High Court decision in favour of FRA after GBM appealed to the higher court.
On April 7, the FRA seized a property belonging to GBM Trucking to recover more than K2.4 billion it was owed.
[Times of Zambia]