23 March 2014

Zambia: Sonny Mulenga Writes BoZ Over First Alliance Bank

Lusaka businessman and former minister of Lusaka Sonny Mulenga has written to the Bank of Zambia asking them to punish First Alliance Bank Zambia for defrauding him about K850 million.

According to a letter addressed to the Bank of Zambia governor dated 17th March, Mulenga expressed disappointment that the Bankers Association of Zambia (BAZ) has failed to prevail on his long standing complaint and that he was now referring the matter to the Bank of Zambia who regulate the banks to act.

"We fail to understand why the Bankers Association of Zambia has been unable to get a reply from First Alliance Bank. The only reason is perhaps the Bankers Association of Zambia has no powers to compel their member bank to give a response to our complaint.

"Since the Bankers Association has failed to get a response from their member bank, we are now asking you as a supervisory and regulatory institution to take action and respond to our complaint," Mulenga wrote.

He said his complaint is based on concealment and obtaining money by false pretence contrary to the banking regulations and ethics.

Mulenga noted First Alliance Bank concealed bank statements regarding the amount which were removed from his company account.

He said in order to justify the debt which never existed, the bank typed a statement on a plain paper as a calculation of loan build up to eight months.

Mulenga said as a result of the same transaction which was outside the company's main active and operational accounts, First Alliance Bank defrauded them in the total sum of K853,000.

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