MINISTER MULONGOTI DEFENDS ZAMBIAN POLICIES

C O N F I D E N T I A L LUSAKA 000594


FOR AF/S AND DRL

E.O. 12958: DECL: 08/21/2019
TAGS: PHUM PGOV PREL ZA
SUBJECT: MINISTER MULONGOTI DEFENDS ZAMBIAN POLICIES

REF: A. LUSAKA 552

B. LUSAKA 508

Classified By: Ambassador Donald E. Booth, reasons 1.4, b/d.


1. (U) Zambian Minister of Works and Supply, as well as
acting ruling party MMD spokesperson and rumored member of
President Banda's inner circle of advisers Mike Mulongoti
discussed the Government of Zambia's (GRZ) troubling record
on freedom of speech and press of late. Mulongoti went to
the U.S. on an IV program in 2000 while he was an MMD
parliamentarian. Mulongoti left the MMD in 2001 after trying
to impeach former President Chiluba for gross misconduct
following Chiluba's failed attempt to secure an
unconstitutional third term in office. Mulongoti rejoined
the MMD after Mwanawasa's election in 2002 and has served as
Deputy Minister at both Defense and Foreign Affairs, and most
recently as Minister of Information. End Summary.

Chiluba Outcome Best for Zambia, or Best for Banda Government?


2. (C) During an August 21 meeting with the Ambassador,
Mulongoti described former President Chiluba's not guilty
verdict as, "the best outcome for Zambia." He said the
verdict meant that Chiluba's considerable number of followers
would not cause trouble, that the GRZ does not have to deal
with where to find an appropriate facility to incarcerate a
former head of state, and that President Banda will not be
forced into having to decide whether or not to pardon
Chiluba. When the Ambassador asked whether the GRZ still
plans to register the UK civil case judgment against Chiluba
(an approximately $40 million judgment) in Zambian courts,
Mulongoti did not reply directly but said the seven-year
criminal trial was probably "punishment enough" for Chiluba,
as he had been prevented from traveling without GRZ
permission. Mulongoti did not reply to the observation that
Chiluba has continued to be treated by the current government
as an honored former head of state. Mulongoti, a trained
lawyer, said the other charges the Task Force had prepared
but not yet pursued could not now be prosecuted because the
six-year statute of limitations had run out. Mulongoti said
he did not know whether restoration of Chiluba's immunity,
which Chiluba requested immediately following his August 17
acquittal, would affect enforcement of the civil case verdict
should it be registered in Zambian courts, observing that it
was a complicated legal question. Mulongoti offered that the
Chiluba criminal case verdict could have implications for
Regina Chiluba's appeal of her conviction of receiving stolen
public funds from Chiluba. If Chiluba is not guilty of
taking state resources, how can his wife be convicted of
receiving stolen funds from him? The Ambassador emphasized
that the USG is interested in seeing the GRZ effectively
tackle corruption and putting no one above the law. He
expressed concern that Zambia might have problems with the
MCC corruption indicator in 2010-11, about the time MCC
Compact would normally be funded, as a result of the Chiluba
case and other corruption issues like embezzlement of
Ministry of Health funds.

NGO Bill and other Pending Legislation


3. (SBU) Mulongoti noted the NGO bill (ref B) had been passed
on August 14, just before parliament recessed that day. He
said the final bill would be made public only after President
Banda signed it. Banda had not signed it as of August 21,
according to Mulongoti. The Ambassador reiterated our
concerns about the bill that had been proposed by government
to parliament. Mulongoti energetically insisted that if
government must be transparent, the private NGOs must be
transparent as well. He said the GRZ cannot accept an NGO
saying its function is to support orphans and then do nothing
with orphans but instead get involved in political
activities.


4. (C) Mulongoti confirmed that the long awaited Freedom of
Information bill will go forward, most likely in the session
of parliament that begins in October. He was evasive on
prospects for creation of the Financial Intelligence Unit
(FIU) and other anti-corruption legislation such as
whistleblower protection, asset disclosure and asset
forfeiture for which the USG provided technical assistance
several years ago but which has never been considered. He
explained that corruption is driven by Zambian culture, where
chiefs are expected to provide for their
subjects/constituents. Mulongoti asserted that most
ministers leave office poor and that it is so hard to meet
constituents' expectations that 60 percent of all MPs and 80
percent of ministers are not re-elected (NOTE: Embassy is
looking into this unlikely statistic.). This cultural driver
of corruption has been compounded by urbanization. While in
rural areas families can fend for themselves, those who
migrate to urban areas rely on the family member with a job
to provide for all the unemployed family members. This puts
great pressure on those employed and leads them into corrupt
practices. He asserted that tackling corruption would thus
require an "evolutionary" approach. The Ambassador pointed
out that there is a distinction between petty/survival
corruption and higher level corruption and that it was hard
to see how Zambia could afford to deal with the latter on an
evolutionary timetable.


5. (U) Mulongoti said the Attorney General was drafting the
regulations needed to implement the Procurement Reform Act.
He offered no timeframe for completion of the regulations and
their implementation. Ambassador stressed how much Zambia
could benefit from transparent and competitive procurement.

Public Works Matters


6. (SBU) The Ambassador expressed regret that the Ministry
had not been able to convince the previous contractor to
finish the U.S. CDC's pediatric ward and offices project and
reported that given the project's importance, we had
terminated the old contract and hired a new contractor to
finish the building. Mulongoti said he had inherited the
problem when he became Minister of Works last November. He
said he had called in the contractor, who explained that he
had over-extended himself and had used U.S. funds to advance
other projects. Mulongoti said he berated the contractor but
had concluded the money was gone and he could not be forced
to finish the building. He said Zambian contractors often
over-extend themselves and that is why former President
Mwanawasa had blacklisted dozens of contractors. He
expressed interest in participating in the dedication of the
facility.


7. (C) Comment: Mulongoti tried to come across as an
understanding friend of the U.S. He seemed to want to use
the meeting to prepare us for further disappointing news on
the Chiluba corruption front (Note: subsequent to this
meeting the Government dismissed the head of the Task Force
on Corruption and withdrew, at least temporarily, the appeal
against the Chiluba verdict). His suggestion that corruption
must be dealt with in an "evolutionary" way in order to avoid
disruption in the country was further testimony to this
government's inherent conservatism, its unwillingness to rock
the boat or tolerate those who advocate for change.


BOOTH