Kamono farming, management jailed 30 years

By CHIKUMBI KATEBE

THE Lusaka High Court (Economic and Financial Crimes Division) has completely overturned the subordinate court ruling, including the acquittal of Kamono Farming Initiatives and its management team and has slapped them with jails sentences of up to 30 months in prison.

In a landmark judgment delivered by High Court Justice Susan Wanjelani, on behalf of the panel that included Justice Ian Mabbolobbolo and Justice Vincent Siloka have sent the managers Fanwell Zulu, Enock Chibutu and Mirriam Solo to almost 3 years in prison after the lower court only pronounced a fine of K60,000 each in default nine months in prison.

It was alleged that Kamono Farms Initiative Limited, Zulu, Chibutu and Soko between March 1 2022 and April 30 2023 in Lusaka did conduct banking business without a licence involving over K144 million from the public.

“We have considered the gravity of the offence from the evidence that the respondents collected over K144 million from the public and that K11.5 million was transferred from Fanwell Zulu’s account without an explanation.

“Consequently we find that the prosecution did prove the existence of factual circumstances from which a reasonable interfere could be made that the said sum of K7.2 million which was transferred from Kamono UBA account to SPENN Zambia a mobile platform for Kamono farms were proceeds of crime,” the judgment read in part.

The Magistrate court had convicted Kamono Initiative Farms Limited on two counts 1 and 2 where they were ordered to pay fines of K100 000 and K70,000 respectively while the second, third and fourth respondents were also convicted in these counts and ordered to pay a fine in each count of K60,000 each .

All the respondents were acquitted in count 3, but being dissatisfied with the decision of the lower court, they appealed the sentences meted out on them in counts 1 and 2 and the acquittal in count 3.

They argued that trial court erred in law when it sentenced Kamono Farms to pay fines of K100,000 in count 1 and K70,000 in count 2, and that at law, the court erred when it sentenced the other 3 directors to pay a fine of K60,000 in count 1 and another K60,000 in count each, that it misapplied the principles of sentencing in relation to the gravity and nature of the offences committed.

The further argued that the lower court erred when it found that the monies received by the respondents in count 3 were not proceeds of crime that there was no proof of evidence on record to prove ingredients of the offence.

And that Kamono could not continue its business after their accounts were frozen, as so it affected their flow of money for their clients, as such the court misdirected itself when it convicted them of the offence of money circulation scheme and imposed fines and claimed they were involved in farming business.

The claimed they were first offenders and so could have been given a lower fine, that “there was nothing aggravating in the case as the farm was unable to fulfil its obligations under the farming contracts due to its accounts being frozen by December 2023”. 

But Justice Wanjelani pouncing judgment said ordered that fines by the court below be set aside and substituted with a fine of K180,000 for each respondent in default 9 months imprisonment.

She ordered that in addition, the High Court impose 18 months imprisonment Zulu, Chibutu and Soko, and that failure to pay K180,000 each shall lead to 9 months imprisonment which shall run consecutively with the other imprisonment.

The High Court found that in count 2 the fines by the lower court below be set aside and substituted with a fine of K76,000  for each respondent

And that the acquittal in count 3 also be set aside and the convicts being are found guilty and convicted of the offence of money laundering.

The Judge granted leave to appeal

ends