Three Senior United Party for National Development (UPND) officials in Western Province running a Ponzi Scheme have swindled Zambian contractors of millions of Kwachas and have since gone into hiding.
The three running an organisation called PADIC had been collecting huge sums of money from unsuspecting contractors on the pretext that they will be given construction contracts for a multimillion Dollar Sugar project in Shang’ombo district of Western Province.
Mr. Muchezi Kaonga, Simasiku Namasiku, and Sitali Sitali have been running a project called Programme against Discrimination in Community (PADIC) which was registered on 22 September 2014. They got 30,000 hectors of land from the Baroste Royal Establishment for the project.
After getting the land, they started advertising for construction jobs including the construction of low and high cost houses. Surprising, instead of PADIC paying down payments to would be contractors, PADIC is the one that used to receive money from would be contractors on the pretext that it was commitment to show that the construction company had capacity.
One of the companies that has fallen victim is Paveline Construction of Lusaka which was made to pay a commitment of k70,000 in 2017 and to date no contract has been given to the company while the project site has been abandoned and directors have disappeared in thin air.
According to investigations, at one time the three directors hoodwinked the Zambian contractors by claiming that a Finland based company Nacart was going to construct a US 200 million Solar project at the would be sugar project. The Finnish company was represented by a Mr. Sid Kabaso. Nothing has happened.
Further investigations from the Patents and Companies Registration Agency (PACRA) reveal that the company physical office is in Kafue at NAPSA building meanwhile on the document presented to the would be contractors, the address is Box 910177 Mongu.
A check with NAPSA in Kafue reveal that the company has never had offices there. The post box at the Zambia Postal Services reveal that the address was deregistered a long time ago. The Know Your Customer (KYC) details reveal that the phone number 0977585405 belongs to Mr. Sitali Sitali who is the Managing Director for this fake company.
“How can Zambians be cheated like this? Have you been to NAPSA building in Kafue? It is a very small branch it cannot house such a perceived big company. Then how can the document have no landline and email. These documents where just being created in bedrooms. So I blame Zambians who do not interrogate”
According to a source, money laundering allegations against the three directors have been lodged. Mr. Sitali Sitali is a senior member of the UPND the Western Province Provincial leadership while Muchezi Kaonga is a member of the UPND Kafue District.
Source: Zambia Reports