Dalitso Lungu fails to account for his obscene wealth
DALITSO Lungu, the son of late former president Edgar Lungu has spectacularly failed to prove he legally acquired a fleet of over 70 vehicles along with luxury apartments and pieces of land dotted around the country.
This failure has since led the Economic and Financial Crimes Court (EFCC) to conclude that Dalitso and his Company Saloid Traders Limited might have engaged in illegal activities, tax evasion and money laundering for them to acquire properties way beyond their legitimate income.
In its judgment dated February 9, 2026 the Court ruled that the single orphaned son cannot innocently claim to have been gifted a filling station by his father as the manner in which the land in Lusaka’s Jack compound was obtained from the Lusaka City Council, gifted to him and later leased to Total Energies has no legal foundation.
In forfeiting his 79 vehicles and 25 pieces of land, the court said Dalitso had claimed that he used profits from his businesses and claimed that he was a commercial farmer yet he could not mention a single crop that he sowed or reaped any livestock he reared nor mention a single name of the people he sold his farm produce to, which makes the property tainted.
The Court said the failure to prove the source of his funds to purchase property way beyond his legitimate income proves that the same was illegally obtained.
In this matter, the State had moved a motion before the EFCC to have 79 vehicles worth over K24 million and 25 pieces of land dotted across the country in Kanakantapa of Chongwe district, Chibombo, Chisamba, Solwezi, Masaiti in Ndola district, Chilanga, Petauke and Nakonde belonging to Dalitso confiscated.
Dalitso opposed the application by the Director of Public Prosecutions arguing that he did not engage in crime to acquire the pricy cars and pieces of land across the country, saying the late former president heavily invested in him by gifting him the said properties.
Dalitso said though he did not earn much from his job his properties were legally acquired with the assistance of his parents as Saloid Traders limited is a family business which was owned by his late father.
However the investigations officer, Pardon Liuma maintained that Dalitso Lungu acquired unexplained wealth worth K31,332,019.75 and when asked how he acquired the properties, he claimed that he was a farmer but could not specify his farm produce nor disclose who his customers where.
Liuma said he visited all the properties owned by Dalitso Lungu and did not establish where he conducts his agricultural activities, as the only farm that was discovered with some farming activity is registered in the name of Lungu’s widow Esther, and not Dalitso.
He said Dalitso failed to give a reasonable explanation on how he acquired the pricy properties which are above his net worth.
Liuma indicated that Dalitso’s company Saloid Traders Limited acquired unexplained wealth amounting to K35,067,662.56 which was at variance with its clean traceable income in the tune of K7,855,645.00.
He said Dalitso alleged that he bought vehicles under Saloid Traders Limited, using resources from business operations and other sources such as farming yet he could not mention his farm products nor the customers that purchased his farm products.
However in their findings judges Pixie Yangailo, Ann Onnonuju and Ian Mabbolobbolo said where admissions are made by a party opposing an application, such admissions move hearsay
statements into the realm of facts which do not require to be proved.
The judges established that Dalitso having largely and expressly admitted the truth of what is contained in the affidavits in support means that those facts admitted are no longer in dispute and evidence is not required to prove them.
“It is our considered view that Section 71 of the Forfeiture of Proceeds of Crime Act (FPOCA) applies to both Conviction Based Forfeiture for the purposes of convicting an
Interested Party, and to Non-Conviction Based Forfeiture proceedings for purposes of establishing an offence, a serious
offence, committed by the Interested Party,” Judge Onnonuju said on behalf of others.
“It is therefore abundantly clear that in an application for Non-Conviction Based Forfeiture of tainted property, the property must be tainted in relation to a serious offence, and in casu, the serious offences are those provided for under Section 71(1) of the FPOCA and Section 7 of the Prohibition and Prevention of Money Laundering Act No. 14 of 2001.”
Judge Onnonuju said investigations conducted at Zambia Revenue Authority (ZRA), shows that neither Dalitso nor his Company’s income and business earnings, or profits speak to their capacity to purchase the said Properties.
She said investigations conducted at ZRA
with regards to taxes paid by both fails to substantiate a level of income or business profits, that would enable them both to acquire properties in the manner and at the rate they did, which points to the offence of tax evasion and possession of proceeds of crime.
“Investigations conducted into the income and business earning of Dalitso and Saloid Traders fails to explain the ability to pay cash in US Dollars for motor vehicles and the acquisition of real estate property in the manner and time Dalitso did. They have failed to establish the legitimate source or sources of the monies used in the manner it was,” judge Onnonuju said.
She said Dalitso earned K7,075,645.00 from Total Energies Zambia Limited and K780,000.00 from BIl Zambia Limited against unexplained wealth amounting to K35,067,662.56 therefore the total earnings and expenditure, mostly in cash and paid in US Dollars, against the value of the properties established as well as revelations from the investigations on Returns at ZRA, led the State to reasonably suspect that the properties are liable for forfeiture to the State as they are tainted property reasonably suspected to be proceeds o f crime.
“It is our considered view that the State has fulfilled Section 31(1) of the FOCA and has satisfied this Court, on a balance of
probability, that the properties cited are reasonably suspected to be proceeds of crime and tainted, and therefore, liable to forfeiture to
the State,”Justice Onnonuju said.
“ It i s clear from the evidence adduced by the State that Dalitso, Saloid Traders Limited and the Co-Director his wife Matildah Likando Milinga, had no financial capacity to purchase the cited Properties based on the Bank Statements produced, the income earned throughout their employment and the Tax Returns
provided by ZRA.”
She said Dalitso claims to be a commercial farmer and having other sources of income outside his employment have not been
substantiated by the production of evidence showing the success of his endeavours through the production of Tax Returns, bank statements, and evidence of business transactions yielding income earned and profits made.
Judge Onnonuju said Dalitso has failed to prove that the properties were bought and largely financed by his late father Edgar Lungu to support his claim which could have been done through the production of Bank transfers into any of his bank accounts, Dollar and Kwacha, evidencing monies used to purchase the said Properties.
“With regard to Section 30(b) and 31(2) of the FPOCA, the Is Interested Dalitso’s parents are not Interested Parties in these Proceedings and have not therefore tendered evidence to show or register an interest in the Property, nor to substantiate Dalitso’s assertions that they financed him and his company and financially facilitated the purchase o f the cited Properties,” judge Onnonuju said.
“Dalitso in his Affidavit in Opposition not only submitted that his parents are the source of funds used t o purchase the cited Properties, but submitted that the properties at Jack Compound were gifted to him by his father as evidenced by copies of two Deeds of Gift dated 16th April 2019 and exhibited and marked “DLa” and “DL2c” and leased through the 2nd Interested Party to
Total Energies Zambia Limited for USD8,000.00 per month from 1st September 2018.”
Justice Onnonuju indicated the date of the current Occupancy Licences is 29th January 2018, valid for 30 years, and no evidence has been tendered in the form of an express approval by Lusaka City Council for the holder of the licences, Edgar Chagwa Lungu, to sub-licence or assign the benefits or part with the rights granted over the premises or any part to his son and company
She said neither has evidence been tendered to show that Dalitso has been entitled by law to succeed the Occupant of the licences in the event of death or mental incapacity of the owner.
Judge Onnonuju said without proof of such application and the approval thereof, and indeed the issuance of Certificates of Title for both Stands from the Ministry o f Lands, Edgar Chagwa Lungu cannot proceed to gift the premises or parcels of land to Dalitso by way of the Deeds of Gift.
“We have noted that there has been no evidence tendered of proof of registration of the purported Deeds of Gifts a s required by Section 4 of the Lands and Deeds Registry Act Chapter 187 of the Laws ofZambia. We consequently find the two Deeds of Gift, exhibited and marked “DLa” and “DL2c” do not meet the legal requirements t o qualify as Deed of Gift to transfer ownership of the subject Properties,” she said.
“Occupancy Licences granted to Edgar Chagwa Lungu for Stand No. BP 37/Block 603 01/01 and Stand No. BP 82/Block 603 01/01 Jack Improvement Area Lusaka are dated 29th January, 2018. Evidence on Record shows that the premises were then leased to Total Energies Zambia Limited on 1st September 2018, when the said premises were under an Occupancy Licence held by Edgar Chagwa Lungu. However, the Lease Agreement, exhibited and marked “PL34” in the Applicant’s Amended Affidavit in Support, shows that the said Agreement was between Saloid Traders Limited, the Company incorporated on 17th September, 2018, and Total Energies Zambia Limited, a full 16 days before the 2nd Interested Party could legally contract.”
The Court established that, the date of execution of the two Deeds of Gift, which were not legally executed, purportedly gifting Dalitso as a director in Saloid Traders limited was done 7 months before himself through his company could legally contract with Total Energies Zambia Limited.
“The Lease was executed before the purported Deed of Gift. We find that the Interested Parties regarding Stand No. BP 37/Block 603 01/01 and Stand No. BP 82/Block 603 01/01 (housing the gas station) Jack Improvement Area Lusaka have not acted legally and above board,” Judge Onnonuju said.
She ruled that there are clear signs of concealment when it comes to the manner in which the said premises were handled and transferred from Council ownership to Edgar Chagwa Lungu and Dalitso as well as in the manner in which the Lease Agreement between Saloid Traders Limited and Total Energies Zambia Limited was executed.
“The lawfulness of the source of the Property gifted to Dalitso and the clear irregularities in the contract entered by Saloid Traders Limited and Total Energies Zambia Limited deem the impugned premises tainted in line with the definition of tainted property in Section 2 o f the FPOCA,” Judge Onnonuju said.
“Based on our finding, Dalitso cannot be deemed to be an innocent owner of the impugned premises who acquired them by way of gift as a bona fide transferee without knowledge through due diligence of the unlawful nature and origin of the said gifts.”
She said the Late Edgar Lungu’s ability to gift the impugned premises must itself have a lawful foundation of which it did not.
Justice Onnonuju said the production of the Deeds of Gift does not discharge Dalitso’s evidentiary burden once the State, and indeed the evidence on record, raises credible suspicion of illicit and dubious acquisition.
“We have noted that the investigations into the financial capacity of the Interested Parties showed a lack of compliance with Tax Returns required by ZRA and the submission of Nil Returns pointing to not only the fact that the Interested Parties had no discernible income from employment or business transactions and dealings that would be subject to tax, but also that the monies used to purchase the cited Properties could have been obtained from illicit or unlawful activities such as money laundering and tax evasion,” she said.
The EFCC said the lack of establishment of legitimate sources of income to enable Dalitso and his company’s acquisition of the cited properties leads to the reasonable suspicion that they are tainted property and proceeds of crime.
The Court said evidence adduced by the State is not just from intelligence sources, but compiled as a result of robust investigations at ZRA, RTSA, Ministry of Lands and Natural Resources, NAPSA and various Banks where accounts held by Dalitso and his company are domiciled, accompanied by sworn Statements and Reports, and whose findings have not been sufficiently disputed by the Interested Parties.
“Based on the foregoing findings, we are of the view that the Director of Public Prosecutions has successfully made out its case for Non-
Conviction Based Forfeiture of tainted property. The evidentiary burden that had shifted to the Interested Parties was not discharged as required by the Forfeiture of Proceeds of Crime Act, Act Number 29 of 2010 of the Laws of Zambia,”said justice Onnonuju.
“We accordingly Order that the cited Properties herein be forfeited to the State, to be applied as the Director of Public Prosecutions deems fit within the confines of the law. The Interested Parties are, in consequence, condemned in costs, to be taxed in default of agreement.”
By George Musonda
Kalemba February 10, 2026