Saboi frowns at ‘treacherous’ Securities bill

THE approval and taking to parliament of the Securities Amendment Bill No 23 is retrogressive and will have serious consequences on private investment if enacted because politically exposed persons will use the law to grab businesses from their rivals or competitors, National Democratic Congress (NDC) president Saboi Imboela has said.

Ms Imboel said the Securities Amendment Bill No 23 Bill which was read for the second time in Parliament on Thursday was not good for Zambia and that MPs should not go ahead to approve its enactment.

But Finance and National Planning minister, Stumbeko Musokotwane said the Bill was aimed at curbing money laundering and even terrorism financing in the country.

Dr Musokotwane said the introduction of the Bill would ensure that money laundering as they would be risk based supervision was in line with countering things like terrorist financing.

Ms Imboela said once enacted, the Bill would enable the Securities and Exchange Commission (SEC) provide for the commission to take possession of a capital market operator.

She said the Bill was dangerous because it would enable SEC or interested politically exposed persons to run the affairs of a capital market operator and transfer all or part of the capital market operator’s business to another capital market operator.

And Socialist Party president Dr Fred Mmembe has echoed Ms Imboela fears, stating that the introduction of the Securities (Amendment) Bill was an attempt to hoodwink the nation into believing that it was for the purpose of enabling the Securities and Exchange Commission to efficiently and effectively supervise capital market operators. Dr M’membe said combating money laundering and countering the financing of terrorism could be done without targeting businesses of people who would be perceived to be competitors to the powers that be.