Swedish, Finish govts demand repayment of K34m from ZNFU

ZNFU HQ

The Swedish and Finnish Governments have demanded that the Zambia National Farmers Union (ZNFU) pays back misappropriated funds amounting to K34 million.

This follows the outcome of a second financial audit conducted by KPMG confirming the misappropriation of funds meant to benefit farmers after the ZNFU had rejected the findings of an earlier special audit

Speaking at a joint media briefing in Lusaka today, Deputy Head of the Swedish embassy in Zambia David Wiking disclosed that the two audits conducted on ZNFU have also exposed high levels of suspected fraud.

He says the audit has also revealed that the accounting and financial reporting of ZNFU cannot be considered to be reliable.

Mr. Wiking says the audit findings further revealed that the ZNFU Executive pays significantly higher than what was agreed with donors.

Mr. Wiking adds that their conclusion is that ZNFU has an information system which fails whether by design or by accident.