When the fire tender deal came to light, Zambians were shocked at the broad daylight robbery conducted on the national treasury by government officials along with their friends.
To this day, Zambians are still outraged on how a fire tender that costs $250,000 could be purchased at $1 Million.
To make it worse, a huge number of 42 of them was purchased, this means that the total funds stolen in this corrupt deal was $31.5 Million or in kwacha terms K445 Million stolen by a small group of less than 10 people.
But what many Zambians don’t realize us that the RTSA speed camera deal that has landed Zindaba Soko and Amos Chanda is far worse both in scale and magnitude than the fire tender deal.
HOW IS RTSA DEAL WORSE THAN FIRE TENDER DEAL?
1: The fire tender theft was a one off event, they stole and run off with the money.
As opposed to that, the RTSA deal is for a period of 17 years, this means they’ll continue stealing from the people of Zambia until 2035.
2: Under the fire tender deal, Zambia lost K445 Million, compare that to the speed camera deal where Zambia will bleed over K8 Billion over a period of 17 years.
The speed camera scam was a very sophisticated scam ;
1: They single sourced it without advertising a tender or bidding process.
2: They awarded the contract to a company that was less than 3 months old, in breach of the public procurement act.
3:They awarded it to a foreign company for a period of 17 years, do you know why they did this?
They did this so that they could continue receiving bribes or dividends abroad for 17 years, long after they left their government and RTSA positions.
They actually structured the agreement in such a way that the Austrian company would get 53% of a revenue from speed camera fines while the Zambian government would only get 47%.
For example, in the first month of the speed cameras, they raised a total of K13 Million, of this amount K7 Million went to the Austrian company while the government only kept K6 Million.
When the Austrians receive this money, they can then distribute part of the proceeds to those who gave them the contract, and they will do this for 17 years.
What this means is that those who gave them the contract are effectively shareholders of this company for 17 years, receiving dividends long after vacating their government positions.
But what’s even worse is that under the RTSA deal, they are actually robbing Zambians on their own roads using a foreign entity, in simple terms it’s highway robbery.
For every speed fine of K300 you pay, K160 of that goes to Austria, it does not remain in Zambia.
The speed camera infrastructure installed by the Austrians is not expensive, the Zambian government could easily have afforded to buy those cameras and install them, but due to corruption they decided to enlist the services of a corrupt foreign entity to rob Zambians on their behalf.
We actually believe that the total investment by IMS in the speed cameras was less than K10 Million, which means they’ve already recovered what they spent on installing the cameras, what they will make between now and 2035 is pure loot and stolen profit, stolen from ambushing poor Zambian motorists on their own roads.