The Economic and Financial Crimes Court (EFCC) has authorized the forfeiture of 15 flats valued at K66 million belonging to former First Lady Esther Lungu. These assets are suspected to be proceeds of crime, marking a significant step in the fight against financial crimes in Zambia.
Official Takeover by State Authorities
Following the court's ruling, the National Prosecutions Authority (NPA) and the Drug Enforcement Commission (DEC) swiftly moved to the site to announce their official takeover of the double-storey flats. In a joint statement, officials emphasized that this forfeiture represents a crucial effort to combat financial crime and ensures that criminal activities do not pay off.
Statement from NPA and DEC
NPA Public Relations Officer Chali Hambayi and DEC Public Relations Officer Allan Tamba stated that the forfeiture sends a strong message against illicit wealth accumulation. “Asset forfeiture is a vital tool in our collective fight against crime,” they declared, emphasizing that “ill-gotten gains will not be tolerated.”
The statement further highlighted that depriving criminals of their assets redirects these properties towards lawful and beneficial societal purposes. “We will continue to work tirelessly to prosecute and recover assets obtained through illicit means,” they added.
Legal Proceedings and Rulings
Earlier in the day, the EFCC ruled that Mrs. Lungu failed to demonstrate that her properties, valued at K66 million, were not proceeds of crime. In cases of non-conviction forfeiture, the burden of proof shifts to the interested party rather than the State.
Pursuant to the Forfeiture of Proceeds of Crime Act (No. 19 of 2010), Director of Public Prosecutions (DPP) Gilbert Phiri filed a lawsuit to secure the forfeiture of the flats, located on four plots in Palabana, Chongwe. The State argued that the properties’ value exceeded Mrs. Lungu’s reported income, raising suspicions of their illicit acquisition.
Defense and Court Ruling
In her defense, Mrs. Lungu claimed that the flats legally belonged to her and constituted matrimonial property. However, the judges—Pixie Yangailo, Ian Mabbolobbolo, and Vincent Siloka—ruled in favor of the forfeiture, citing sufficient grounds for the court’s decision.
Mrs. Lungu’s lawyers, including Sakwiba Sikota and Charles Changano, announced plans to appeal the ruling. Lawyer Changano stated, “The court claimed Mrs. Lungu lacks the capacity to build the flats, but did not address our assertion that it was a matrimonial home.”
Ongoing Legal Issues for the Lungu Family
This is not the first instance of asset forfeiture involving the Lungu family. Just weeks ago, the court permitted the forfeiture of a K13 million farm belonging to Tasila, the daughter of former President Edgar Lungu. Additionally, a lodge valued at K9 million owned by another daughter, Chiyeso, was forfeited five months ago.
In an upcoming case on December 6, the EFCC is set to rule on the forfeiture of over 80 vehicles owned by Dalitso, Edgar Lungu's son, who reportedly possesses unexplained wealth amounting to K31 million and has 16 properties across the country.
Stay tuned for further updates on this evolving legal situation, which highlights ongoing efforts to combat corruption and financial crimes in Zambia.