M’membe must explain irregularities

Mon, 30 Nov -0001 00:00:00 +0000

By CHIKUMBI KATEBE

ONLY Fred M’membe can explain the schemes he employed to defraud the interests of creditors of the Post Newspaper before the commencement of liquidation, says Provisional Liquidator Lewis Mosho.

Mr Mosho said the former Post Newspaper director must come out of hiding and explain the financial irregularities that have been exposed in the company’s financial records held by the liquidator.

He said only Mr M’membe could provide an answer for the various financial anomalies that have come out following the review of the two

financial records found at the Post offices at Bwinjimfumu.

Earlier, the Provisional Liquidator, Mr Mosho of Lewis Nathan  Advocates, found that the newspaper had two sets of financial reports which indicated the same period under review, but contained different figures, which documents were stashed away in private safes in the managing editor’s office at Bwinjimfumu.

“These irregularities point to the fact that the company employed schemes to avoid, neglect or defraud the interest of creditors,” he said.

He said Mr M’membe should come out from wherever he was hiding and assist the Liquidators with explanations on the findings in the financial report. Mr Mosho charged that Mr M’membe’s continued absence has affected the current winding up process and “may at the same time be misconstrued by creditors”.

The High Court last year ordered for the liquidation of the Post Newspaper following its failure to pay employees’ salaries and high credit in unpaid taxes with Zambia Revenue Authority (ZRA), unpaid bank loans with Investrust Bank, Development Bank of Zambia (DBB) among others.