DON’T CRIMINALISE THE OFFICE OF THE SECRETARY TO THE TREASURY – YAMBA

……as he expresses shock for being dragged into Court over charges of failure to carry out responsibilities of a Foreign Affairs Permanent Secretary when he has NEVER been one

Lusaka… Friday February 14, 2025

POSTERITY will judge us harshly if we criminalise the office of the Secretary to the Treasury for merely performing its function, former Secretary to the Treasury Fredson Yamba has told the Economic and Financial Crimes Court.

Testifying before Lusaka Principal Resident Magistrate Ireen Wishimanga yesterday, Yamba said he was shocked that the prosecution had charged him with wilful failure to comply with procedure relating to procurement when he was not part of the procurement process at Ministry of Foreign Affairs as that was the role of the controlling officer.

This is in a matter where Yamba is charged with two counts of wilful failure to comply with applicable law and procedure relating to procurement of property in Turkey, while former Foreign Affairs Minister Joseph Malanji is charged for being in possession of property suspected of being proceeds of crime.

A visibly unhappy Yamba said he was at pain to understand why he was charged on the alleged procurement illegalities which were not under his jurisdiction.

He wondered which specific section of the law was breached by carrying out his duties of disbursing public funds to controlling officers who in turn are mandated to oversee how the funds are spent.

“With regards to the processes of procurement of property in Turkey, I played no single role due to the fact that when you look at the procurement Act, the Secretary to the Treasury is not involved at all but the controlling officer for head 17 who in this case was Dr Ronald Simwinga. Dr Simwinga chaired the procurement committee that awarded contracts to the legal representatives and other players in the procurement process.

“I never participated in the disbursement of funds in Turkey. In fact, I do recall in his testimony, Sam Sankenga (Embassy Accountant) stated that he was getting instructions from the late Ambassador Joseph Chilengi, mhsrip. I never gave any single instructions either by word or writing on payments. I had no role in the payment processes. So, I don’t know which procedure I violated. It is saddening that some state witnesses gave this court false statement.

“I issue treasury funds, they tell me that I have committed a crime. How do you criminalise the carrying out of the functions of my office as prescribed by law? I would like to tell this court that posterity will judge us harshly if we criminalise the function of the Secretary to the Treasury,” an emotionally charged Yamba said.

Yamba who presented the 2022 Auditor-General’s (AG) Report and the expenditure for the financial year ending December 2021 as part of his evidence wondered why there were no queries with regards to the alleged irregularities or over expenditure.

He argued that had there been any irregularities, the 2022 AG’s report would have highlighted them.

“In respect of the AG’s audits, there is no query on excessive expenditure and if that had happened, the Controlling Officers would have been queried,” he said.

“According to the audit findings, revenue and expenditure for the financial year ending December 2021, a provision of K1.6 billion was made to cater for the operations of the ministry against which amounts totalling K1.5 billion were released resulting in an underfunding of K76 million. This report demonstrates that there was no over expenditure under head 17 in the financial year 2021 because the budget provision was not consumed by the funds that were released, and less was spent against the budget. These were the findings of the Auditor General.

“If we move on to head 21, which is on page 77 under Loans and Investments, audit findings, the AG said an examination in the estimates of revenue and expenditure, a total authorised budget of 22.1 billion, was meant to cater for programmes under head 21 against 20.5 billion, resulting in an underfunding of 1.5 billion compromising 7%. Zero unconstitutional expenditure under head 21 as demonstrated by the findings of the AG.

“On page 80, the AG highlighted irregularities in the procurement of the Chancery in Turkey, and his observations lack of written advice and approval, lack of documentations to support expenditure details, waste expenditure- irregular payment of penalty to seller’s Lawyer; these were the irregularities highlighted by AG. Nowhere does the AG mention that the Secretary to the Treasury breached regulations,” Yamba explained.

He said if at all there were wasteful expenditure and irregularities, the controlling officer in the particular spending head was supposed to be charged and not him.

“First of all, I am shocked at how the charge is cited. The prosecution is addressing the Secretary to the Treasury as acting with persons unknown and yet the person in charge of the procurement committee at Ministry of Foreign Affairs was known. Dr Simwinga is known and if he did something wrong, why not charge him? He authorized payments to the lawyers, estate agents, etc – are you saying the prosecution doesn’t know him?
His procurement committee is known. If there was something wrong, they should have arrested him.

“Dr Emmanuel Mulenga Pamu is also known if the offence is in head 21. The prosecution even demonstrated how he signed. These people are known and if they did something wrong, they should have been arrested. Directors in budget office signing of memos are known. If they did something wrong, they should have been held accountable. If the transactions were wrong, they should have been brought to account. The documents where signatures were appended are before the court.

“The prosecution is not telling me which specific section I breached in carrying out my duties of releasing funds to controlling officers. I give advice and guidance on matters to do with budget and accounting, you tell me that I have committed a crime? How does the functions of my office become a crime upon being carried out?” Yamba asked as he concluded his testimony.

The matter comes up today, February 14, for continued trial.