LUWINGU and Lupososhi Town Councils, respectively, have pleaded guilty to one count of failure to remit monthly contribution to National Pension Scheme Authority (NAPSA) contrary to the laws of Zambia.
And Luwingu subordinate court has since fined K 300 to be paid forthwith in default a warrant of distress will be issued to the erring officers.
Luwingu Resident Magistrate Sharon Luhanga stated that the two local authorities should put everything in order by paying all the monthly contributions and penalties pending on or before February 28, 2025.
This is the matter in which the two local authorities stand charged with failure to pay National Pension Scheme Authority contrary to section 15 (1) and (2) as read with section 51 (1) d and (2) of national pension scheme Act number 40 of 1996 of the laws of Zambia.
Luwingu Town Council was represented by council secretary, Benson Malama while Lupososhi town council was represented by council secretary, Syden Hamooya.
The duo was found guilty of failure to remit NAPSA monthly contributions for the employees contrary to the laws of Zambia.
In respect to Luwingu town council, facts were that between December 10, 2024 and January 10, 2024 accused failed to remit K123,739.68 statutory contribution for the period of November and December 2024 to the NAPSA.
And Luwingu town council was on January, 9th 2025 charged with one count of failure to pay NAPSA monthly contribution.
In respect to Lupososhi town council, facts were that between July 10th July 2024 and November 10th 2024, failed to remit K300,792.18 statutory contributions.
Lupososhi Town Council was on January 10, 2025 charged with one count of failure to pay NAPSA monthly contributions.
Both local authorities had no lawful justification for failing to pay the said contribution to NAPSA because funds were deducted from the employees.
The duo is registered as contributing employers in terms of the provision of the national pension scheme Act number 40 of 1996 of the laws of Zambia and allocated with account numbers were to deposit the deductions.
By reason of such registration, the two Councils are obliged to make monthly deductions at a predetermined rate from the earnings of employees and to remit the deduct sum together with the accused portion as pension contribution to the NAPSA as per law provided.
When the matter came up for facts and sentencing, Benson Malama and Syden Hamooya admitted failure to remit the monthly contribution to NAPSA contrary to the laws of Zambia.
Resident Magistrate Sharon Luhanga convicted the two-representatives based on their admission and the evidence before the court.
“I find you guilty of failure to pay NAPSA and I will convict you accordingly,” she said.
In mitigation, Syden stated that Lupososhi town council is finding it difficult to mobilize resources, adding that it is ready to start paying in instalments. This is because it is a new district council.
In passing judgement, Resident magistrate Luhanga noted that failing to pay NAPSA contribution was a serious offence adding it is the duty of the court to impose stiffer penalties to deter future offenders.
