Economy

PACRA Official Testifies Against Mahtani’s Cement Shares Fraud

Mahtani-KapumpaThe controversial former banker Rajan Mahtani failed to follow procedure and never presented original share transfer certificates for his disputed claim of shares in Zambezi Portland Cement, according to a new testimony brought before the Lusaka High Court.

This is in the judicial review case brought by Mahtani’s company Finsbury Investments against the Ndola-based cement company seeking to block the shareholding.

According to testimony in a sworn affidavit (see below) Wilson Banda, the Senior Inspector of Companies at the Patents and Companies Registration Agency (PACRA), Mahtani’s group “failed to disclose” in their judicial review application that the documents “were mere copies of original documents contrary to the practice and that despite a reminder to file original documents, the Applicants failed or neglected to lodge with the Registrar original documents.”

The official’s testimony goes on to note that Mahtani’s lawyers also failed to disclose a standing court injunction restraining them from acting as shareholders, and have also failed to show how PACRA is proposing to take any decision that exceeds its jurisdiction, meaning that the judicial review application should not be granted.

This latest twist in the long-running dispute between the controversial former banker Rajan Mahtani and the owners of one of Zambia’s largest cement producers comes after dramatic series of events, including Mahtani allegedly arranging the illegal deportation of executive officers, multiple raids of the plant by hired police, and the apparent fraud committed to submit forged share transfer certificates to steal control of the +$160 million company.

Last April the company owners were successful in reversing the illegal deportations and were able to gain back control of their stolen company. Mahtani was subsequently arrested on two counts of fraud on June 2.

Back in August, PACRA had reverted its shareholding records to the 2008 status quo, listing Antonio Ventriglia as owner of 830,000,000 shares and Manuela Sebastiani as owner of 170,000,000 shares, and removing the management illegally appointed by Mahtani in 2013. However, PACRA’s chairman William Nyirenda reversed the filing without explanation, leading to his eventual dismissal from the agency.

The fact that Nyirenda had been serving as Mahtani’s employee as interim Chairman of Finance Bank of Zambia Ltd at the time has raised serious concerns about conflict of interest and Zambia’s overall rule of law when such alleged thefts of company shares can occur at the registration agency.

pacra mahtani affadavit zambezi 1

pacra mahtani affadavit zambezi 2

pacra mahtani affadavit zambezi 3

27 Comments

  1. CHALI

    Illegal Importation Of Human Resource(workers) And Fraud Are Serious Criminal Offences Not To Be Politisized.Once Found Guilt, He Should Be Charged .God Bless Our New Constitution

  2. KAN

    MATHANI UBUKULU BWALIPITILILA.BOMA NI BOMA NIKUCHIMANGA CHAMBE

  3. KAN

    …A Person Who Is Capable Of Arranging A Deportation Can Also Arrange For Assasination

  4. Mr Freedom

    No Comment

  5. makasa

    IS THIS GUY ZAMBIAN OR WHAT???? WE DONT HAVE SUCH FACES IN ZAMBIA…SORRY TO SAY OR MAYB ZAMBIAN BY ADOPTION BY UPND AND HH???? JST THINKING LOUD THAT A MWENYE NOW WANTS TO SABBOTAGE OUR LOCAL COMPANIES…BOMA IFUNIKA IYANGANEPO MUSHE PALI UYU MUNTU……

    • ben munshi

      THE CONSEGUENSES OF DUO CITIZEN SHIP WILL SOON SHOW ITS VERY UGLY FACE! NEXT LEADER IN THE COUNTRY WILL BE YOUR DANGOTE! WITH THE POVERTY AND CORRUPTION, WE ARE DOOMED!

  6. mr universal

    @makasa i have been thinking the same.

  7. ma a

    Dual citizenship I’d for zambians who want to get other citizenship if another country !

  8. max

    No dual citizen can stand as president in the amended consititution. I stand to be corrected.

  9. Botha Chris

    this dual citizenship is way too dangerous to us zambians then where is our independence apapena natuluba as a country to allow this law to pass

  10. B MAN

    This man is nothing but a thief whose work is to destroy even the face like that of the hyena caught during the day light this guys i don’t him(martaini),m’mbe and hh ma..ma..ma..mamama….tsk.tsk…tsk..tsk.

  11. Mano

    Why is it that people who are Rich are the most corrupt they fail to make straight deals!

  12. mbuti

    You forget to add that the arrest you reference was quashed by the High Court in a Judicial Review Application brought on behalf of Dr. Mahtani. Should that quashing not give you a sense of who is lying in this equation?

  13. brary

    Is it the same Ventriglias who were deported by Lungu when he was Minister of Home Affairs? Since Lungu is a good man, the chaps must be thieves.

  14. mututwa

    RB crooks these Italians. Took over a company mafia style. The day of reckoning is coming. Mwapya

  15. mwanjiti

    If Mahtani was the bad one, should it not have been his to have a deportation record? Hmmmmm. Something here stinks…

  16. gero

    But is this Affidavit a judgment? Why not share the one filed by the Applicant so we have a full picture? Biased. Learn journalism.

  17. bahahaha

    Tried and found guilty by the court of Zambia Reports. If this was a proper Court, we would all be guilty. We will wait for the Courts we know.

  18. chalo bantu

    Mahtani owns alot of Companies Country wide, amongst his employees only a few dont upgrade their tertiary educatjion, only a few dont won Houses, only a few dont own Cars, only a few dont own their own small businesses if you go to his work premises Country wide you would find that all his workers look well to do including his simple messengers, citizens a simply happy to work under Mahtani Group of Companies. Please leave Rajan Mahtani alone he is a second god to many he is simply father of the Nationl!

  19. 18 October

    @Chalo bantu are you real? Which workers are you talking about.People have worked for over 20 years in he’s bank without a mortgage.Even the pension they are legally entitled to is being denied by mahtani by unnecessarily dragging the court case (now in its 10th year).most of the serving workers are living on kaloba as they cannot access staff loans.So if you have been a beneficiary of mahtanis generosity just enjoy the gesture and shut up!

  20. chalo bantu

    @18 October i think you are the only one who is so dull and always left out amongst Mahtani’s employees because you can not upgrade your education and you have been working as messenger for over 20years! all you do is cry for salary increment and loans so that you can go and pay back your kaloba! you are the same people dragging this Country backwards because you want to cling on to work but you cant upgrade yourself! wakeup from those dirty stinking bedsheets and be a sound person in society and please stop lying that workers are being denied mortgages and all its only you who has a net pay of less than ZMW2,000 because of too much nkongoles and they deny you such facilities like mortgage because you will go home with nothing after a deduction Mahtani is a disciplined Employer and he is not reckless like you cry baby

  21. 18 October

    @chalo bantu since you seem to be mahtanis bedfellow, can you give me the number of employees who have accessed mortgages?.Out of nearly 850 only less than 100 have done so.in any case these mortgages are from sister company and not bank and accessed at market interest rate.for your own information I’m not a messenger (not that there is anything wrong in being one) .I have upgraded myself upto post graduate level without any assistance from your covered benefactor. So please spare the majority who do not see what u see.Maybe you are the mole who is always spying on others whilst licking the feet of your masters hence the favours you continue to receive.

  22. ERROR OF PF

    kaya

  23. Bee Esi

    @18 October reminds me of how some workers in some of the Companies in this country are used to glorify cheats for a stipend. No wonder the economy fails to really grow.

  24. chalo bantu

    kekekekeke ba 18 October you could have gone far with your post graduate rather than complaining every now and then! lies will never help and bring food on your table just wakeup my dear! in this world you sit with two buttocks if you use one my dear kubeuka! Mahtani has worked for his money whether in his crookedness or not and if you will live with that attitude you will never reach his level, ichalo lifupa my dear learn to live your life!!

  25. Kalampa 4 lyf

    Mathani is still a banker ba ZR,your malicious reports wont stop Rajan.Flops like you always discuss those that have made in it society.Why dont you talk about your “heroes” and “queens” such as Mumbi Phiri,Jean Kapata,Kambwili,Sunday Chanda,Davies Chama,Kalaba and the other PF honey mooners who wont rest until they grab Finance Bank from Mathani.@Chalo bantu is right if one could take a look at all the workers in Mathani’s companies,they are even better off than civil servants driving around in their “sunka mulamu”Noahs and Ipsums.All those that are against Mathani are those work at ZR and PF cadres who have promised jobs once they succeed in achieving the wicked plan of grabbing all that belongs to Mathani(which is only a pipe dream of course)

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