Financial scandal at Building Society

Editor,

There is a financial scandal at ZNBS involving the dubious procurement of the core banking system.

Last year in 2019,The board of ZNBS approved a tender to procure the core banking system which was advertised but ZNBS senior management settled for a greek based company, Intrasoft, to supply and install the system at an inflated cost of K25 million. On top of this price, ZNBS was paying the Carpe diem allowances for the Greeks who camped in Zambia for over 6 months, accommodated at a 5 star hotel, until December last year when the project was finalised. This is a system which could have been procured at a very cheaper price locally but settling for a company based in Greece to supply a core banking system which has has failed to work is a big scandal. This is why when you go to ZNBS today, there are always stories of no network because the system has failed. The said system procured in Greece is substandard and does not even match the standards of the locally procured systems by other banks. K25 million was too much for such a sham system.

Because of this scandal, we saw the board of directors a few months ago firing the company managing director Mr Joseph Chikolwa and secretely the procurement manager Mrs Chipungu Dzekedzeke has resigned before her contract expires after sensing that the banking system deal is a big scandal hence to run away.

As at now, ZNBS senior management is still struggling to cover up this scandal and the board is in panic because huge sums of money was spent on this core banking system project which has failed to work.

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