Luwingu and Lupososhi district council in northern province have been dragged to court for failure to remit National Pension Scheme Authority (NAPSA) contributions.
ZANIS reports that this is according to a statement of claim filed at the Luwingu district subordinate court on January 9, 2025.
NAPSA is demanding Luwingu council to pay K123, 739. 68 for the month of October and November, 2024 while K300,792.18 is being demanded from Lupososhi district council for the period of June to October, 2024 respectively.
A statement of offense for the duo is failure to contribute to NAPSA within the period specified contrary to sections 15 (1) and (2) as read with section 51 (1)d and (2) of NAPSA Act number 40 of 1996 of the laws of Zambia.
NAPSA stated that it is mandated by law to collect monthly statutory contributions from employers at the end of each month adding that both Luwingu and Lupososhi district councils are also mandated to deduct and remit employees earning monthly.
NAPSA complained that the two local authorities have not been remitting monthly contributions despite deducting the said funds from their workers.
As a result, they have accumulated debts in the form of penalty arrears amounting k123, 739. 68 in respect to Luwingu district council while K300, 792.18 in respect to Lupososhi district council.
NAPSA has several times issued reminders to the two district councils but the defendant failed to pay the sum due forcing it to drag the two council authorities to Luwingu subordinate court.
As a result, the organization is now claiming K424, 531. 86 in respect of penalty arrears as a result of the late payment of contribution, interest on the claimed sum, damages cost and other relief the court may deem fit.
When reached for comment, Luwingu district council secretary Benson Malama confirmed the council having received the summon.
Mr. Malama was however quick to say he needed to confirm with his account department to find which month was paid.
He argued saying the council have paid NAPSA adding the receipts are there to prove the payments
Meanwhile efforts to get a comment from Lupososhi town council secretary failed.
And Luwingu magistrate has placed January 22nd, 2025, as the date for the hearing of both Luwingu and Lupososhi town councils.
