MITA RECEIVED $4M FOR THE PURCHASE OF CHANCERY FOR GRZ IN TURKEY
….as former Zambia’s Acting Ambassador to Turkey testifies how a property management company was contracted on behalf of property owners
Lusaka, Friday, July 21, 2023 ( Smart Eagles)
A report before the Lusaka Magistrates Court has shown how a Turkish property management company, Mita, acknowledged receipt and disbursement of $6.877m downpayment for the purchase of property in Ankara on behalf of the Zambian Government.
According to the report, Mita’s quotation of $19.5m for 12 properties which included a Chancery was the cheapest of all the quotations obtained from several Real Estate Agencies.
Other bidders included Akkicik Gayrimenkul at $32.5m for 11 properties and Setur Gayrimenkul Yalirim at 28.1m for 11 properties.
In this matter, former Foreign Affairs Minister Joseph Malanji and former Secretary to the Treasury Fredson Yamba are charged with wilful failure to comply with procedure relating to procurement, and being in possession of property reasonably suspected to be proceeds of crime.
When the matter came up for continuation of trial, Thursday, former Zambian diplomat to Turkey Misheck Kaoma testified in cross examination that he was aware of the Contract by the Government of the Republic of Zambia for the purchase of 12 properties valued at a lampsum $19.5m.
Asked by Defense Counsel Makebi Zulu as to whether the Contract for the purchase of the 12 properties was approved by Government of the Republic of Zambia, Kaoma responded in the affirmative.
“Yes”, Government was willing to part away with $19.5m on the property stated Kaoma. “The amount was a Lampsum for all the 12 properties.”
Asked if the Contract distinguished every property, Kaoma replied that it did not.
Mr Kaoma, who was Zambia’s Acting Ambassador to Turkey after the death of Joseph Chilengi testified that the Contract was not with individual sellers of properties but with the Property Management Company, Mita, under whose portfolio the properties were.
“The Buyer is the Embassy represented by Joseph Chilengi. The seller was a company called Mita represented by Mr Burhan Asaf Safak. And Mita was a Property Management Company for the purpose of this Contract,” Mr Kaoma stated.
Meanwhile, Kaoma said out of the $19.5m lampsum value of the properties, only $7.1m was paid through Burhan Asaf Safak in favor of the property owners.
And asked if Mita was paid, Kaoma said “Yes”, according to the report Mita is acknowledging disbursement of payments of $4m for the Chancery, paid $1.8m service costs and $1.077m penalty fee.
“The money that was paid to the Seller was against 12 properties as down payment and the 12 properties were being paid by Mita. I do not know the owners of the other properties.”
In re-examination however, Kaoma clarified that $6.8m was the total downpayment paid to Burhan in two instalments of $4.8m and a second payment of $2m.
Trail continues on July 27.