Mopani was a gov’t asset, not private Kantemba – Sensio Banda

By NATION REPORTER

SENSIO Banda, a seasoned politician says Mopani Copper Mines was a state asset and government should take responsibility for the mess it created by not following procedure to transfer it to private hands.
Mr Banda said given the circumstances under which Mopani was sold, Government should not have avoided taking responsibility.
“There is a need for the government to acknowledge and take responsibility. Through IDC (Industrial Development Corporation) and ZCCM IH, Mopani was a government asset that belonged to the people of Zambia, no matter how one views it,” he said. Mr Banda said the procedure to transfer Mopani shares to a private entity should have been followed as per provisions of various and relevant laws. The former Kasenengwa Member of Parliament said the recent ministerial statement regarding the Mopani Copper Mine deal left many uncertainties.
He was the lack of transparency, unclear share transfers, and potential legal loopholes emphasized the importance of conducting a comprehensive investigation and oversight of such transactions.
“Failure to provide satisfactory responses may result in accountability for those involved in the near future. All stakeholders must prioritize accountability and transparency to prevent similar controversies from arising again,” Mr Banda said.
He said the transfer of 51 percent shares from ZCCM IH to IRH, and then to Delta, continues to be a puzzling aspect of the agreement.
Mr Banda said IRH was tasked with holding the purported 51 percent shares in Mopani, making the transfer to Delta somewhat mysterious.
He said what was interesting was that the Companies Act of 2017 in Zambia prohibited companies from transferring their shares to their subsidiaries.
Mr Banda said it was necessary to comply with the regulations outlined in the Company Act, which dictated that shares could only be transferred if they were fully paid up.

“In the case of transferring IRH’s 51 percent shares of Mopani, valued at $1.1 Billion, to Delta, the shares must be paid for in full. Has this transaction been completed? There remain numerous unanswered questions that the Minister (of Mines) should have addressed, but unfortunately, he missed the opportunity to do so,” he said.

Meanwhile, Mr Banda said the current economic performance and projected core anchors of the 2025 budget did not align with the forecast for a stronger economy next year.

He said it was crucial to be cautious and plan carefully to tackle the challenges facing the nation’s economy.