Allegations of Unpaid Loans by Prominent Opposition Politicians: Fred M’membe and Edith Nawakwi
The Financial Scandal
A number of politicians from Zambia’s former Patriotic Front (PF) regime, along with their allies, have been implicated in a scandal involving substantial unpaid loans. These loans were obtained from the now-defunct Development Bank of Zambia (DBZ) and Investrust Bank, which recently closed due to financial insolvency.
The Nature of the Loans
Reports reveal that these individuals secured large loans through a system of patronage, subsequently neglecting their repayment obligations. This failure to repay has been highlighted as a contributing factor to the financial difficulties faced by the lending institutions.
Prominent Figures Named
Fred Mmembe’s Financial Ventures:
Fred Mmembe, former owner of the Post Newspaper and now leader of the Socialist Party, is among those named. Mmembe reportedly secured a $350,000 loan from Investrust Bank, using the newspaper’s assets as collateral, to fund the Zambian Airways project, which eventually failed. Additionally, he obtained $240,000 from DBZ for his courier service business, which also floundered without repaying the loans. Mmembe’s ventures were further criticized for evading taxes and failing to make statutory contributions.
Edith Nawakwi’s Business and Political Ambitions:
Edith Nawakwi, another noted figure, borrowed $150,000 from DBZ for her Legana Sausage business, later taking an additional $50,000 purportedly for business expansion. However, these funds were reportedly diverted into her unsuccessful political activities, including a nationwide initiative to support women in the poultry business.
Other Politicians Involved
Several other politicians, including former finance ministers Bwalya Ng’andu and Margaret Mwanakatwe, were mentioned for obtaining loans from these institutions, contributing to their financial strain.
Legal and Political Repercussions
Dr. Samuel Bwalya, former DBZ managing director, has been sentenced to 15 months in prison for abuse of office, highlighting the legal consequences of the misuse of funds. However, there’s a growing call for greater accountability for all involved, especially the politicians who remain free despite their significant debts.
Call for Transparency
There’s a pressing public demand for the publication of all names of those who have heavily borrowed and defaulted from these collapsed Financial Institutions, shedding light on the extent of financial mismanagement and its impact on Zambia’s economy.
-Zambia Eagle
Lift the corporate veil and send bailiffs to get their personal assets. People hide behind corporations to commit crime….
Mmembe and Nakawaki will now cry about political persecution yet fail to meet their personal obligations, while wanting to suggest they can lead this nation. How? When you cant manage your personal issues can you run a nation?
I’m vidicated when I earlier this year said:: The so called Opposition UKA Alliance is composed of croks and thieves of all kinds. Example is one Edith Nawakwi. You remember the Arlington yellow maize scandal which she allegedly stole when she was a minister of agriculture under the then powerful MMD PARTY?? Now this revelation and maybe many more!!! You remember the woman who lost money through ECL’s representation which cost him his law practicing license and suspended by L.A.Z. and probably many more other scanandals. SHAME, SHAME.
The guilty talk the loudest, I say so because the two politicians mentioned here are the ones who have been the loudest in attacking HH’ s leadership. They even went to a degree of suggesting for an impeachment for him. These two have been noted of being good at tax evading. The post newspaper went under ground because of the same. These two have been hostile on HH, because they knew LAW was on the offing. Let the face the Law maybe they can give us space to work on useful things. They have been in the papers and other media outlets just talking I’ll about HH and his leadership. They seem to have no capacity of introspection on what they say to the public. Shame on them, shame.
This is how cruel they were in PF time. Now the loudest speakers Nawakwi and Mmembe must explain to Zambians when are they going to pay back the money plus the interest they owe the Bank.
If they can fail to pay back the little money to the bank which they looted how can they work on the huge debt Notorious Patriotic Front party left?
It’s good they have been exposed
In the interest of transparency, those behind the financial woes of Invest Trust Bank must be exposed, whether private individuals or public persons, including politicians.
Rom. 13:8 says “owe nobody nothing except the outstanding debt to love one another”.
Irresponsible borrowing has been the downfall of many a bank and usually, it is the well connected who are behind this scam. They borrow with no intention to pay back. This evil practice can be traced to the Chiluba administration. In all instances of banks collapsing, the well connected have always gotten to repeat the same fraud on other banks to the detriment of the common customer.
It is time these looters were held to account.
“Uwakalema takaleka”, most of our Politicians are like Army Worms, they ravage one Maize Field and when done, move on to the next Field. That is why they always denigrate each other and clammer for Power, it is not for public service but to loot and pillage State Coffers and we gullibly give them the Keys to the Till every 5 years!!!