Supreme Court of Zambia Rules Against Rajan Mahthani in Forgery Case
In a significant ruling, the Supreme Court of Zambia has determined that businessman Rajan Mahthani and his co-accused are not immune to prosecution regarding allegations of illegally transferring shares.
The court’s decision marks a pivotal chapter in a long-running legal battle involving the alleged forgery of documents related to Zambezi Portland Cement Limited.
The case traces its origins to January 26, 2011, when Mahthani and two other individuals were jointly charged with eight counts of forgery and uttering false documents connected to share transfer forms submitted to the Patents and Companies Registry (PACRA).
However, the charges were initially dropped on April 30, 2012, following a nolle prosequi entered by the Director of Public Prosecution, resulting in Mahthani and his co-accused being discharged.
In June 2015, the case was revisited after fresh instructions from the Attorney General, leading to Mahthani being charged with two counts of forgery based on the same facts as the earlier charges.
Discontent with the developments, Mahthani sought to have the matter treated as a civil issue rather than a criminal trial.
During the proceedings, Mahthani’s defense argued that the allegations were fundamentally civil in nature and should not be pursued criminally.
However, in their ruling Supreme Justices Musonda, DCJ, Kabuka and Mutuna, JJS, refuted this argument, stating that the issues in question were substantially the same as those intended to be raised in the criminal proceedings.
The judges emphasized that one of the charges—uttering a false document—was purely criminal and could not be addressed in a civil context.
“This is now our ruling on the respondent’s preliminary objection.
“(i) that the respondent be subjected to due process of the law before a court of competent jurisdiction where the allegations made against him can be subjected to cross-examination;
(ii) that the respondent would be availed all the necessary facilities required for a fair hearing to clear his name as opposed to ending proceedings against him by way of a nolle prosequi,” reads in parts the ruling dated 8th April 2025 delivered by DCJ Justice Musonda.
This ruling dismissed both grounds of the preliminary objections raised by Mahthani’s legal team for lack of merit, leaving him with little recourse.
Legal experts suggest that the Supreme Court’s decision underscores the serious nature of the allegations against Mahthani and the judicial system’s commitment to upholding the rule of law.
The case has attracted considerable media attention, with many observers watching closely to see how it may influence corporate governance and accountability in Zambia.
As the legal framework around this case evolves, Mahthani and his co-accused will now face trial, where the prosecution will seek to establish their involvement in the alleged forgery.
The outcome of this case could have far-reaching implications for corporate operations and regulatory oversight in the country.
The courtroom drama is far from over, and the eyes of Zambia remain fixed on the next steps in this high-profile legal saga.
