WE LENT MALANJI’S COMPANY UP TO $2M BY 2015 BECAUSE HE HAD CAPACITY
….the Loan was cleared in October 2020, long before his Ankara trip – FNB
Lusaka… Tuesday, June 18, 2024
A state witness has told the Lusaka Magistrate Court that over $2 million was lent to former Foreign Affairs Minister Honourable Joseph Malanji’s company by 2015 because he was a deserving client.
Mr Malanji was only elected Member of Parliament for Kitwe’s Kwacha constituency in 2016 and eventually, appointed Foreign Affairs Minister on January 5, 2018.
Biggy Trywell Banda, a senior manager at First National Bank also told the court that the said loan was in October 2020, cleared by Gibson Power Systems way before Hon Malanji’s Ankara trip.
Mr. Banda was testifying in a matter in which former foreign minister Joseph Malanji and former secretary to the treasury, Fredson Yamba are charged with 10 counts of willful failure to comply with laid down procedures and possession of property suspected to be proceeds of crime.
Yamba is charged with two counts of willful failure to comply with laid down procedures while Malanji is facing eight counts of being in possession of property suspected to be proceeds of crime.
When the matter came up for continued trial, the witness said Malanji’s company was awarded several loans because he was among the deserving clients with properties on the Copperbelt as security.
“In my submission to DEC, I explained the facilities that were obtained by Gibson Power Systems; first facility was granted on or around February, 2013, amounting to 4.9 million Kwacha, a loan that was to be paid over a period of 5 years.
“…there came the need for additional funds which brought the second facility disbursed at about February, 2014. The Second facility was for 7.260 million Kwacha in form of an overdraft which is awarded to deserving customers to draw from their account up to the facility amount to run for a tenure of 1 year,” he said.
Mr Banda disclosed that FNB also approved Gibson Power System’s third Loan facility to the tune of 10.2 million Kwacha in November, 2015.
He further told the court that Malanji’s Company had settled the loan in October 2020, before the Ankara trip.
“I can confirm that the loan was settled in October 2020 way before December, the time for the Ankara trip,” said the witness.
The witness told the court that there was nothing illegal done as regards to the money advanced to Gibson Royal Hotel for purposes of renovations.
He said the bank disbursed over 22.300 million Kwacha in loans to Gibson Power System which at the time would be converted up to $2m.
The matter comes up tomorrow for continued trial.