Renowned international crooks no running Lapgreen have written to Zambia’s international lenders calling the country a serial defaulter.
Through a criminal court settlement done in the Lusaka High Court and registered in the London High Court Arbitration, Felix Mutati, Attorney General Likando Kalaluka and Meanwood proprietor, Robinson Zulu who is the authorised agent of LapgreenN settled on behalf of government to pay the $270million.
In January 2018 Mutati directed that the payment of $50million be made and pledged to settle a similar amount every other month until the $220million is settled.
Libya does not have a central government and its sovereign wealth fund and state owned enterprises like LapgreenN are being controlled by militias and international crooks since 2011.
When international reports showed that Zambia had paid $50million to Mauritius where the so called LapgreenN hold their account, it raised eyebrows and was flagged off by international law.enforcement agencies as money laundering criminal activity.
Below is the report:
LIBYA’S LAP GreenN has written to Zambia’s lenders and other international institutions highlighting serious concerns of the defaulted debt which the government has failed to pay in compensation following repossession of Zamtel’s shares.
LAP GreenN had last week said it would use every possible avenue to collect the over $220 million debt that arose from the Zambian High Court Consent Compensation Order. This followed the government’s nationalisation in January 2012 of LAP GreenN’s stake in Zamtel pursuant to Zambia’s Land Acquisition Act.
However, the government has defaulted despite agreeing to payment in instalments.
In raising concerns over the defaulted, LAP GreenN has now written to the International Monetary Fund, the World Bank, African Development Bank, Development Bank of Southern Africa, European Investment Bank, Fitch Rating Agency, Moody’s Investors Services, S & P Global Ratings, Deutsche Bank AG, Barclays Bank Plc, finance minister Margaret Mwanakatwe, Attorney General Likando Kalaluka and Solicitor General Abraham Mwansa.
“The purpose of this letter is to bring to your attention that the Government of Zambia (‘GRZ’) is in serial default, to the extent of over USD220m, of its legally due sovereign debt obligations to pay compensation for the nationalization of LAP GreenN’s shares in Zamtel. More specifically, the GRZ is in serial breach of a Zambian High Court Consent Compensation Order and is failing to remedy such defaults. By way of brief background and a more detailed note is attached. In summary, LAP GreenN acquired its stake in Zamtel from the GRZ in 2012 for a purchase consideration of USD257m, which was paid in full to the GRZ. In January 2012, the GRZ nationalized LAP GreenN’s stake in Zamtel pursuant to Zambia’s Land Acquisition Act (by way of compulsory acquisition). Under the aforementioned Act and pursuant to the Constitution of the Republic of Zambia, the GRZ was obliged to pay LAP GreenN compensation for the value of the shares that had been acquired by the GRZ,” Dr Faisel Gergab, chairman of the Libyan Post, Telecommunications & IT Holding Company, stated in the letter obtained by The Mast.
“LAP GreenN was forced to proceed with court action against the GRZ in Zambia to recover the compensation to which it was lawfully entitled as the GRZ initially attempted to delay and/or avoid payment of compensation to LAP GreenN. After 4 years of litigation, the GRZ and LAP GreenN concluded a settlement of the compensation claim – which was made an order of the High Court of Zambia pursuant to Consent Compensation Order (the “CCO) in August 2016.”
He stated that the compensation was to be paid in installments over a 48-month period.
“The material terms of the CCO (enclosed) are that the GRZ shall pay to LAP GreenN an amount equal to the original purchase price (USD257m) plus interest on the same at the rate of eight per cent per annum from the date of original purchase (10 July 2010). However, the GRZ has serially defaulted under the CCO as follows: (i) by failing to pay USD114m in November 2016; (ii) by failing to pay USD35m in each of February 2017, August 2017 and February 2018. Default interest on the total amount due is accruing and currently exceeds USD15m. The GRZ acknowledges this debt in full, says it is ready and willing to pay installments, but has failed to pay a cent of the debt due,” stated Dr Gergab.
“We believe it appropriate that international investors, lenders and rating agencies be appraised of our very real concerns that there would appear to be a fundamental breakdown of prudent financial governance within the Ministry of Finance and the Office of the Attorney General. Furthermore, the defaults adversely affect aspects of constitutionalism and the democratic credentials of Zambia.”
There was no immediate response from Mwanakatwe as her phone went unanswered while chief government spokesperson Dora Siliya cleared the call.
Kalaluka, when contacted, said the matter was being handled by Mwansa, who was unreachable by phone.
When told that the letter had also been copied to his office, Kalaluka said he was not yet in receipt.