PF’S NKANDU LUO IMPLICATED IN 26,000,000.00 (MILLION) KWACHA ROBERT KAPASA MAKASA UNIVERSITY GRAND THEFT SCANDAL
By Mabvuto Mtonga in Chinsali
A latest audit sanctioned by Secretary to the Treasury Felix Nkulukusa to investigate the alleged looting of 26 million Kwacha disbursed to the Copperbelt University for capital investments at Chinsali’s Robert Kapasa Makasa University, has implicated former higher education minister Prof. Nkandu Luo, our three-day investigation can reveal.
Prof. Nkandu Luo was also former president Edgar Lungu’s running mate in the PF’s ill-fated 2021 presidential election, as well as Munali member of parliament.
A Zambia United investigation can reveal today that on December 22, 2021, the office of the Secretary to the Treasury at Ministry of Finance and National Planning in Lusaka received an anonymous letter in which a concern was raised regarding alleged misappropriation of public funds at Kapasa Makasa University amounting to K10,986,213.00.
“In this regard, an amount of K12,000,000.00 was said to have been released to the Copperbelt University (CBU) ZANACO call Account No. 0378648700245 on 4th October, 2016 while K14,000,000.00 was released to ZANACO Kapasa Makasa, Account No. 5421276500254 on 29th December, 2016,” the investigative report from Chibwe N. Mulonda, controller of internal audit at the Ministry of Finance and National,reads in it’s background section. “It was further alleged that only K15,013,787.00 was spent to acquire capital items to operationalize the University leaving a balance of K10,986,213.00 which is the amount allegedly misappropriated.”
According to the bulky investigative report dated September 8, 2022 the whistleblower concluded the allegation by stating that despite funds having been released by Government through the Ministry of Finance and Ministry of Higher Education based on the University’s request as per it’s Capital Estimate budget, capital items totalling K9,976,918.69 were not procured.
These unprocured capital items include laboratory equipment and materials (K4,972,555.00), library furniture, equipment, books and security (K3,566,677.69), and ambulance and twin cab (K1,437,686.00).
“The audit team reviewed the documents at the two universities with the objective of establishing whether the allegation was true or false, and also establish on how the funds were expended,” the audit report reads.”We reviewed, in relation to the K26,000,000.00, payment vouchers, bank transfer letters, contract documents, stores records and other relevant documents at both Copperbelt University and Kapasa Makasa University. We also conducted interviews with key staff and employees who we believed could have information regarding the usage of the funds in question.
The outcome of the audit is as follows:
1. The K26,000,000.00 was received by the Copperbelt University:
“We established that indeed, K26,000,000.00 disbursed by the Ministry of Finance, through the Ministry of Higher Education, was received by the Copperbelt University”.
2. Excess funding of K1,922,547.08 Over and Above Capital Expenditure Budget Submitted by the Copperbelt University:
“Certified bank statements for the University revealed that the University received an amount of K26,000,000.00 instead of the K24,077,452.92 it requested for, this representing an excess funding of K1,922,547.08”.
3. Misapplication of Funds On Non-Capital Expenditure Items – K11,774,465.71
“A schedule for the description of components procured under each capital item description and the amounts thereof, as per funded capital budget submission by the Copperbelt University was analysed. The analysis revealed that out of the total amount of K24,077,452.92 for Capital expenditure request and funded, only K12,302,987.27 was spent on capital items, while the balance of K11,774,465.71 was spent on Non-Capital items”.
4. Unaccounted for medical supplies – K29,615.00
According to the report summary, it was established that some of the capital items which were budgeted and funded were not procured as at September 8 this year.
“Therefore, the allegation stating that only K15,013,787.00 was spent to acquire capital items to operationalize the University leaving a balance of K10,986,213.00 misappropriated is hereby confirmed to be true,” the audit concluded.
But how is Prof Nkandu Luo connected to this grand theft of K26,000,000.00?
Zambia United can disclose here that on October 20, 2016, 16 days after this K26,000,000.00 was disbursed to the Ministry of Higher Education by the Ministry of Finance, Prof. Luo issued a ministerial statement to Parliament on the status of opening the Robert Kapasa Makasa University.
Prof. Luo indicated that the University was commissioned by former president Lungu on July 28,2016 and that it was constructed at a total sum of K159 million.
However, while she revealed that a decision was made to operationalize the University at the least cost, by placing the management of Robert Kapasa Makasa under the Copperbelt University, Prof. Luo in her ministerial statement completely ignored to mention the K26,000,000.00 disbursed to the Chinsali-domiciled tertiary learning institution only a fortnight earlier.
(c) Zambia United 2022