For six years, more than K18 million […]

For six years, more than K18 million in public funds allegedly found its way into a senior officer’s personal account, disguised as salaries and payments to farmers, according to a Financial Intelligence Centre (FIC) report that has raised serious questions about how public money was monitored.

The report seen by the Zambian Business Times-ZBT, indicates that the officer, identified as OT, worked at a public institution and allegedly initiated transfers from its bank account to his personal accounts at two banks between January 2019 and January 2025.

In a scheme that made the payment descriptions appear legitimate, the officer allegedly used names of genuine beneficiaries in transaction narrations while directing the money to accounts belonging to himself, turning payments meant for others into deposits in his own accounts.

 The FIC analysis established that OT received more than K18 million over the six-year period, with individual transfers ranging from K1,000 to K10,000 and often labelled as “salaries,” while the funds were subsequently moved through bank-to-mobilewallet transactions.

The report further indicated that more than K10 million was used for personal expenses, raising questions about how transactions bearing routine payment descriptions allegedly continued without the discrepancies being detected for years.

 Meanwhile, the alleged spending trail extended beyond mobile wallets, with the officer reportedly acquiring a government security worth more than K600,000, a bus valued at over K350,000 and land worth more than K400,000.

 The FIC also identified a transfer exceeding K400,000 to another individual, while additional money was spent on building materials, leading analysts to infer that some of the funds may have been used to construct a house.

 Speaking in an interview with ZBT, Copperbelt-based economic and policy analyst, John Ng’andu said the case illustrates how prolonged weaknesses in internal controls can undermine public institutions and the services they are expected to deliver.

“The impact goes beyond theft because when farmer payments and salaries are diverted, farmers are not paid, work suffers, and trust in a public institution collapses,” said Ng’andu.

He added that the apparent use of legitimate beneficiary names alongside personal account numbers, followed by transfers through mobile wallets, point to possible weaknesses in payment verification and oversight. “For six years this continued without detection, which raises serious questions about the separation of duties, independent reconciliation and lifestyle audits,” said Ng’andu.

The FIC said the matter has been referred to relevant law enforcement agencies and investigations are ongoing, while Ng’andu called for mandatory account-name verification, dual authorisation of transfers, stronger asset declarations and lifestyle audits, alongside prosecution and asset forfeiture where theft is established.

Article by Philip Sinkala