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FAZ ordered to pay K7.2 million to NAPSA for unpaid employee contributions

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Football Association of Zambia (FAZ) has been ordered to pay K7.2 million to the National Pension Scheme Authority (NAPSA) for unremitted employee contributions and associated penalties incurred between January 2014 and 2024.

FAZ, represented by its General Secretary, Reuben Kamanga, pleaded guilty to three counts of failing to remit statutory contributions to NAPSA within the stipulated time.

This is contrary to Section 51 (1) (d) and (2) of the National Pension Scheme (NPS) Act No. 40 of 1996.

Lusaka Magistrate Constance Kansankala fined Kamanga K400 for each of the three counts, which ought to be paid by the close of business on Thursday. Failure to pay would result in one month of imprisonment.

FAZ was also ordered to settle the outstanding amount of K7,222,894.98 in three installments. The first installment of K437,806.98 is due by January 31, 2025.

During mitigation, Kamanga, who was convicted upon his guilty plea, requested leniency.

He noted that he was a first-time offender, had not failed to cooperate, and had not wasted the court’s time.

Magistrate Kansankala acknowledged Kamanga’s mitigation and his status as a first-time offender.

However, she said that failing to remit statutory contributions was a serious offence, and Kamanga was aware of the obligations under the law.

The unremitted contributions and penalties were broken down as follows: For Count One, K280,710.25 in employer and employee contributions, plus cumulative penalties of K4,804,273.14, was owed for the period between January 2014 and December 2017.

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For count two, K150,080.24 in employer and employee contributions, plus cumulative penalties of K1,966,273.34, was owed for the period between February 2018 and November 2020.

For count three, K14,526.09 in contributions, plus K7,015.74 in penalties, was owed for the period between March 2022 and December 2024.

Kamanga informed the court that FAZ and NAPSA had previously reached an agreement for the association to adhere to a payment plan.

The Magistrate warned FAZ that failure to comply with the payment terms would attract further legal consequences.

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