The Private Sector Development Association (PSDA) fears that Government’s decision to seize the 75 percent shares of Lap Green Networks in ZAMTEL may lead to litigation in international courts of law.
Association Chairperson Yusuf Dodia stated that Lap Green Networks entered into a legally binding contract with the Zambian Government which cannot be dismissed easily, saying a lawsuit from the Libyan firm against the Zambian Government is imminent in the international courts.
Mr. Dodia is of the view that Zambia can only escape paying huge sums of money to Lap Green Networks if it will be in a position to articulate the wrong doing and misconduct on the part of the private firm.
He told ZANIS in an interview that the mechanism used in getting back the 75 percent shares in ZAMTEL is what has been the greatest challenge.
Mr. Dodia stated that failure to do so on the part of the Zambian Government may led the international courts to suppose that Government was attacking a private firm and may lead to Zambia paying Lap Green Networks huge sums of money.
The PSDA Chairperson declined to state whether the repossession of the telecommunication company was a positive move that would benefit the country, saying it was difficult to conclude not until a full statement on the wrong doing of Lap Green was availed to the public.
He said it is more likely that the Government of the Republic of Zambia was more at fault hence it was imperative that Government takes responsibility for its shortcomings in the deal.
President Michael Sata has declared that Government having accepted without reservation the report on the findings of the Committee Investigating the sale of Zamtel, he has deemed it desirable and expedient to compulsorily acquire the 75 per cent shareholding of Lap Green Network in Zamtel.
The President has since dissolved the Board of Directors of Zamtel and appointed a new Chief Executive Officer and Chairman