AUDITOR General Anna Chifungula has said the Development Bank of Zambia (DBZ) gave out loans worth more than K35 billion without insurance cover to three more companies apart from the defunct Zambian Airways.
Speaking in an interview in Lusaka yesterday, Ms Chifungula said that in 2007, the DBZ gave out funds without insurance cover, contrary to disbursement procedures.
Ms Chifungula said that Zambian Airways obtained K12 billion, Moba Investment Limited got K3. 8 billion, African Textiles Zambia got K5 billion and Consolidated Mining Limited which got K14 billion bringing the total to K35 billion.
“The bank gave out over K35 billion without any collateral and this is against the Banking Act which clearly says that before one gets a loan they should have collateral.
“I can’t go to the banks with only my hands and say I want money. Even you, there is no way you can go to the bank and ask for money they will ask you for collateral,” Ms Chifungula said.
A search by the Times at the Patents and Companies Registration Office (PARCO) showed that Elias Simbeye of 6719 Mberere Road in Olympia Extension, Lighton Simbeye and Rabby Nambule of the same residence were the shareholders in the company in Consolidated Mining Limited.
The nature of business for Consolidated Mining was milling, transport and trading.
On the other hand, Ibrahim Ismail Yousuf of plot 12920 Mumbwa Road in Lusaka and Mohamed Zuneid Ismail of 16 D/687/ Mosque were the shareholders in African Textiles Zambia.
The nature of business for African Textiles Zambia was manufacturing and general trading.
On Moba Investment Limited, the search showed that the shareholders were Alex Kaoma of flat M6 Lubambe Centre in Parklands Kitwe, Nelson Kaoma of plot 5059 Zebra Street Nkana East, Kitwe and Virginia Kaoma of plot 5059 Zebra Street, Nkana East in Kitwe.
Times
