Economy

Mahtani Caught Up in Panama Papers Tax Evasion Scandal

rajan-mahtani-panama-papersThe controversial Zambian businessman Rajan Mahtani is facing a potential new criminal investigation related to alleged tax evasion activities revealed by the whistleblower leaks of the so-called “Panama Papers” of law firm Mossack Fonseca.

According to tipsters based in London, Mahtani was spotted on Thursday, 14 July in Victoria Station on his way back from meeting with his lawyer Ashok Kumar Sancheti at Morgan Walker Solicitors LLP on Chancery Lane in Central London. The source indicates that Mahtani is in a panic to prepare a legal defence strategy following his implication in the Panama Papers ahead of a potential inquiry by the Serious Fraud Office (SFO).

Mahtani’s wholly owned subsidiary company Finsbury Investments Ltd. is listed among those companies listed in the Offshore Leaks Database of the Panama Papers provided by the International Consortium of Investigative Journalists (ICIJ). The documents show that Finsbury was incorporated in Switzerland via an intermediary Semely Conseil & Gestion in 1996. This incorporation took place just a few years before he was tried and convicted on several counts of money laundering by the government of former President Frederick Chiluba.

Since the original release of the Panama Papers, prosecutors in a number of jurisdictions have indicated that they are preparing investigations into those parties known to be using shell corporations for unlawful activities of money laundering and tax evasion. Last April, U.S. Attorney in Manhattan, Preet Bharara, sent a letter to ICIJ announcing that his office has “opened a criminal investigation regarding matters to which the Panama Papers are relevant.” Similar intentions are underway at the UK’s SFO.

Over the past 40 years, Mahtani has been caught breaking the law numerous times and has served time in prison on two separate occasions. Among the early scandals he was implicated in the Carlington maize corruption scheme, which involved the defrauding of a Canadian company through the Food Reserve Agency (FRA). A few years later, Mahtani engaged in another scheme through his company Furncoz, which had been given lucrative government contracts to provide schools desks and other equipment to hundreds of Zambian schools – however Furncoz absorbed the funds and failed to deliver the promised goods, declaring bankruptcy.

Later in his career as managing director of Finance Bank (which he has been forced into selling to Atlas Mara at a steep discount), Mahtani was further implicated a series of money laundering charges, leading to the closure of his bank and suspension of shareholder interests in both Malawi and Zambia.

Some of this criminal activity is coming back to haunt him as he used allegedly illegally offshore shells to funnel these stolen funds from Zambia abroad while avoiding tax payments. Now, with the Panama Papers exposing his vehicle, he is assembling a legal defence strategy from his base in London.

Mahtani’s lawyer, Ashok Kumar Sancheti at Morgan Walker LLP, is not without his own controversy. He and his firm were sanctioned and shut down by the Solicitors Regulation Authority for “dishonestly using client money.”

In a prosecution brought by the Solicitors Regulation Authority (SRA), it was also alleged that Mr Sancheti had breached a professional undertaking, failed to account for funds involved in that undertaking and failed to pay £135,000 of stamp duty on behalf of a client. In all, the SDT found ten allegations against Mr Sancheti proven, with four of them involving dishonesty.

52 Comments

  1. mpombo

    Where does he stand politically before we either defend or crucify him #Neverhh more pop corn plitz

    • Joan Craven

      It was in 1997 that Mahtani used this account to share the loot from Carlington Maize theft 50 dollar a tonne was stolen by this Indian thug. President Chiluba instructed Intelligence Service to investigate and liaise with Canadian and British governments to find the money stolen and laundered by Mahtani. It is this time he was tipped and got the money transferred and made the company inactive in October 1997. He never ever went back to the safe haven, having achieved his laundering act. His sister, pseudo Mary Schultz is the one that has been involved in all stealing through her Zambia-Canadian passports before she surrendered her Zambian Passport on the advice of DEC Mole.

    • zambian

      He is upnd

  2. villager

    Almost every one is faultee, so forgive him.

  3. Kumawa kuchoka bazeru.

    Nili chabe nkhale amuna

  4. Big J

    RB at it again.

  5. Neil Armstron

    Mahtani never learns. He along with his pseudo Christian sister Mary Schultz have created a chain of entities to evade tax in Zambia, UK and Canada. In all companies it was always Mary Schultz and her husband, a fake reverend were shareholders of Finance Bank, Professional Insurance, Leasing Finance and all other companies through Finsbury Investments Limited , a company 100% owned by Mary Schultz and Fake Reverend Gabriel Schultz. In Zambia Mahtani does not pay tax and in Canada Gabriel and Mary do not pay tax. Criminals of 1st degree. Mahtani, Mary and Gabriel shall be prosecuted in conjunction with UK and Canada tax authorities.

    • James

      @Neil Armstron, let the bygones be bygones. He has sold his flagship Finance Bank, offloaded Professional Insurance on LuSE. Let him rest in peace. He is finished old man.

      • Joan Craven

        It was in 1997 that Mahtani used this account to share the loot from Carlington Maize theft 50 dollar a tonne was stolen by this Indian thug. President Chiluba instructed Intelligence Service to investigate and liaise with Canadian and British governments to find the money stolen and laundered by Mahtani. It is this time he was tipped and got the money transferred and made the company inactive in October 1997. He never ever went back to the safe haven, having achieved his laundering act. His sister, pseudo Mary Schultz is the one that has been involved in all stealing through her Zambia-Canadian passports before she surrendered her Zambian Passport on the advice of DEC Mole.

    • John njovu

      Comment:fair?thatway no one shouldraise a pointing finger at leaders in buteko of instigating persecution.tax evation is avery serious case in europe it can land him into bankrupcy+many years inprisonement.ba mahtani nabu born again? You are contaminating our faith as christians.

  6. AMEKE FISI

    Comment
    NA ENA AMA PULI YAKULA…SO YATAMPA UKUPULA…..FILI UKU TULEYA….

  7. Mutabaruka

    Mmmm! Sounds interesting now with this tax evasion issue. I think the law on tax should be stiff en ensure that people in question should not go free.

  8. @Lunatic

    And all U pf maniacs wanted poor Mmembe to be stoned to death for a similar offense#StaystrongMmembe

    • titi

      Iwe uli buncha sana. .so to you everthing is political learn to see things beyond that booby shit

    • Joan Craven

      It was in 1997 that Mahtani used this account to share the loot from Carlington Maize theft 50 dollar a tonne was stolen by this Indian thug. President Chiluba instructed Intelligence Service to investigate and liaise with Canadian and British governments to find the money stolen and laundered by Mahtani. It is this time he was tipped and got the money transferred and made the company inactive in October 1997. He never ever went back to the safe haven, having achieved his laundering act. His sister, pseudo Mary Schultz is the one that has been involved in all stealing through her Zambia-Canadian passports before she surrendered her Zambian Passport on the advice of DEC Mole.

  9. chafwinho

    Comment Lunatic How old are u? Your comments? or smart phone bla bla

  10. Michel Nostradamus

    apart from money laundering ,he is also an expert in indian witchcraft,an art he has perfected to the extent of ” bewitching all former zambian presidents making them blind to his criminal dealings.

  11. Derick

    uwakalema takaleka

  12. chafwinho

    Comment Mpombo. He is amongest those sucrificin innocent souls 4 high offices& Michel Notradumus’s comment just add more meanin.

    • mpombo

      Well as long as he keeps his witchcraft to himself & doesn’t disturb my president he wont run afoul with me

  13. Hussain

    It’s not witchcraft, it’s simply called creativity; you see prophet Fraud(Rajan Mahtani) simply is always keen to stop the economic black hole from swallowing his economic portion.

  14. Lunatic

    @chafwinho am having a hard time trying to track sense from your comment,but it doesn’t surprise me cos zambia has one of the highest levels of illiteracy and you make up the number#disgusting

  15. molechi

    there he goes again…mamamamah

  16. CK John

    Tax invasion is high in Zambia too but it’s not just exposed. Many business people can be found wanting if any government was to take this matter seriously andiinvestigate it. God help us.

    • Chiluba FJT

      On ZWD, Mary Schultz writes disguising herself as Choongo Mulenga.

      Sakwiba and his collaborators like RB need repentance. Sakwiba should by now know that you can only be rich if you are are god fearing. The poor man thinks that he can become rich by pretending to be clever and peddling falsehoods. Sakwiba should just repent otherwise the poverty and cruelty he subjected his step mother will fallow him. As for RB I see him going back to Chipata where he will beplaying Nsolo with his farm workers as he does not have any ideas about making money through sweat other than organizing deals.

      Mahtani and his sister are fake christians. Their professor brother has disowned them and as recently as last month told them off for being a part of stealing from poor Zambians and Malawians. Let Mahtani and his sister deny this through their vuvuzela of ZWD. A bunch of criminals who have evaded tax in Zambia, UK and Canada.

  17. Terrible

    Aha, so that is where Mmembe learnt his criminal activities from? No wonder Mahtani is Mmembe’s role model, it adds up now.

  18. jojo

    hello hello

  19. ngandwe kaunda

    This Indian’s under hand dealings will never stops amazing me.may long arm of the law catch up with him.

  20. Jamwa

    Comment Awe Mwandi Kwisa Pabwelu, Bakabolala Uno Mwaka.

  21. chafwinho

    Comment Lunatic when u grow up like us.Exremies upnd school goers ,milk smelling john came eat nshima , your comments sucks

  22. Umuntu

    Really? Does anyone doing business in Zambia need to go all the way to panama to evade tax? What I know is that businessmen in Zambia simply bribe ZRA inspectors to evade tax…no need to go offshore

  23. TENZE BANTHU

    Comment He is on it again ..now with panama paper …chalo.chonse chaziba ati ni kawalala ..like David cameron who accepted after his name was listed and he defended himself said its his father s business and not him.

  24. Chisenga

    BA ZR YOU SEEM TO HAVE BEEF WITH MATHANI. ALL THE TIME MATHANI THIS….. MATHANI THAT. LEAVE THE MAN ALONE.

  25. BAKUMWELA

    @TENZE BANTU, YEAH YOU ARE RIGHT MY BROTHER

  26. ZODIAK STUDIO

    Ba P.F bushe mwalikwata amano why are you traboling investers e more job at last you are going to do the sam like mugabe in zimbabwe pleas give respect to theos who can employ us zambian mr E.C.L you are the one who put chrestian name here in zambia first forgive him 70×70 we want to proof if you are a real chrestian if you fall stop shoulting that you are chrestian mwbafinjelengwe

  27. Chrisngosa

    Comment
    Ine ndeloleshafye

  28. ZODIAK STUDIO

    E mr lungu uyu you said you will atract more investers so that they can com and creat more job pleas stop westing your time to traboling investers your dulty is to inspect your government official in there offices there full of corrapution abusing office you see lungu our late beloved m.c.s may his so rest in peac he like to say M.M.D is a banch of criminal there thifs today its you teti ufumye akasanga mwilinso lya munobe apo i we muli akachani alikwisa driver aleisa H.H ZAMBIA NI FOWARD

  29. julius

    Jst finished reading all yo opinions, let me gather enough data I will comment latter.

  30. Obrigo

    Leave him nimwana wako

    • Joan Craven

      It was in 1997 that Mahtani used this account to share the loot from Carlington Maize theft 50 dollar a tonne was stolen by this Indian thug. President Chiluba instructed Intelligence Service to investigate and liaise with Canadian and British governments to find the money stolen and laundered by Mahtani. It is this time he was tipped and got the money transferred and made the company inactive in October 1997. He never ever went back to the safe haven, having achieved his laundering act. His sister, pseudo Mary Schultz is the one that has been involved in all stealing through her Zambia-Canadian passports before she surrendered her Zambian Passport on the advice of DEC Mole.

  31. Meso Penya

    Mulandu siwuwola, umulandu taubola. Justice must always prevail. UPND no matter how much you may want to demonise PF on mahtani you are just being unfaire.

  32. general

    Comment. The man doesn’t listen i remember is the same person who was once forgiven by the late Michael Sata due to the issue of finance bank.just pin him this time.

  33. zambian

    loading…………..

  34. GBM

    RB was telling HH that he (RB) cried with Don`t Kubeba but he (HH) will cry with Dununa Reverse.

    • Joan Craven

      It was in 1997 that Mahtani used this account to share the loot from Carlington Maize theft 50 dollar a tonne was stolen by this Indian thug. President Chiluba instructed Intelligence Service to investigate and liaise with Canadian and British governments to find the money stolen and laundered by Mahtani. It is this time he was tipped and got the money transferred and made the company inactive in October 1997. He never ever went back to the safe haven, having achieved his laundering act. His sister, pseudo Mary Schultz is the one that has been involved in all stealing through her Zambia-Canadian passports before she surrendered her Zambian Passport on the advice of DEC Mole.

  35. Big people

    Comment
    DANGOTE PICK SOMETHING FROM THIS ARTICLE, WHEN YOU SUPPORT THEM YOU’RE SAFE BUT IF YOU DON’T THIS IS WHAT HAPPENS IN ZAMBIA.

  36. Kalampa 4 Lyf

    Dickson Jere and Chanda Chimba are scaverngers and will not rest until they get their filthy claws on Mathani’s hard earned money.I thought it was best for all PF cadres to concentrate on their violent campaigns than poke their noses into Rajan’s affairs.

  37. 2 band radio (wailes)

    Kalampa 4 wat ever, the issue is about rajan, not pf.

  38. MR CHANG

    LEARN TO CALM YOUR ASS[upn]

  39. king E Z S

    Just listening—–

  40. sky boy

    listenin first

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