Funds Went Back To Zampost Account Upon Maturity – Bank Witnesses

FUNDS WENT BACK TO ZAMPOST ACCOUNT UPON MATURITY – BANK WITNESSES

The Financial Crimes Court sitting at Ndola before Magistrate Kaunda Sakuwanda today 30th March, 2022 heard today that fixed deposits of Social Cash Transfer funds were returning to a ZamPost bank account and not to the personal accounts of the accused.

Testifying in the trial of the case where former Postmaster General McPherson Chanda, former Finance Director Best Mwaichi and former Director of Operations Isaac Kamwimba are facing 13 counts of stealing a total K335m, prosecution witness Chanda Kapeso, 35, a Customer Relationship Manager at ABSA Bank where ZamPost holds its account told the Court that funds moved from ZamPost account number 016 – 6496152 into a ZamPost fixed deposit account and were credited back to the same account upon maturity with interest. Kapeso informed the Court that the funds did not go to personal accounts of the accused or any other other bank account.

Another bank witness Gideon Chibwe, 41, a Corporate Relationship Manager at ABSA told the Court that the funds placed in fixed deposit accounts by ZamPost were credited back with interest to the ZamPost account upon maturity.

Earlier, two other prosecution witnesses on 29th March, 2022 told the Court that Social Cash Transfer funds were not stolen by the accused persons as all funds placed in the fixed deposits were credited to the designated ZamPost account upon maturity. In his evidence Oliver Joe Phiri, 46, a Financial Accountant – Finance told the Court that each of the 13 fixed deposits placed by ZamPost for periods varrying from 7 to 14 days reverted to ZamPost upon maturity and that no money was stolen.

Another prosecution witness Moses Musonda, 34, a former Assistant Director of Operations at ZamPost said he was not aware of any instance in which payments to beneficiaries were not made due to either missing or stolen Social Cash Transfer funds. He also told the Court that funds for payment of Social Cash Transfers were sent to ZamPost by the Ministry of Community Development and Social Services without payment schedules.

Closing the evidence for the Prosecution the Arresting Officer Victor Mutantabowa, 37, an Investigation Officer at the Anti – Corruption Commission (ACC) told the Court that while the accused three persons did not receive funds into their bank accounts or benefit from the funds, they stole the funds by virtue of having placed the Social Cash Transfer funds into ZamPost fixed deposits instead of paying out to beneficiaries within 72 hours upon receipt of funds as required in the contract signed between ZamPost and the Ministry.

During cross examination by Defense Counsels comprising lawyers from L Matibini and C Maggubwi, Mutantabowa was asked whether he knew that beneficiary payment lists were not availed to ZamPost by the Ministry of Community Development when funds were sent by the Ministry. He told the Court that he was aware of delays by the Ministry in sending payment lists to ZamPost after funds had been transferred.

Further during cross- examination Mutantabowa revealed that according to the investigations of the Joint Investigations Team which he was part of, the total funds sent by the Ministry of Community Development was K110m. When asked whether it was possible for the accused to steal K335m as indicted an amount which was much higher than the total amount received by ZamPost, Mutantabowa told the Court that he did not know.

The Court has reserved 18th April, 2022 for ruling on whether or not to place the accused on their defense.