Rajan Mahtani, the chairman of Mahtani Group of Companies, says that there is nothing creepy about his capture of Radisson Blu Hotel. His Finsbury Investments took possession of the hotel this year following the judgment of the Lusaka High Court sustaining hotel owners of forty million US dollars indebtedness to the FBZ.
The takeover sparked accusations and speculation on Dr Rajan Mahtani. But in an interview he explained that his takeover was clean and was made through a legal battle with the former owners. He said, “The public need to know the truth. We fought the battle through a due process, through the courts of law. There was nothing sinister. We succeeded in proving that all the allegations that were made against us were false and documents [to show this] are in court, some of them already came out in the public domain.”
On May 7 the High Court, delivered a judgment where Hotellier Limited was established as being legally responsible for paying the compound interest to the FBZ at an overdraft rate for the money that Hotellier borrowed at the time of constructing the hotel.
All these were in the matter where Finsbury Investements and FBZ as plaintiffs sued Hotellier Limited , Odysseas Mandenakis senior, Odysseas Mandenakis Jr and Ody’s Works Limited as defendants for the monies, which they acquired from bank for constructing Radisson Blu Hotel.
The Mahtani Group of Companies chairman said, “The total debts that were incurred [now] amount to roughly US$62 million; there aren’t sufficient assets.” He even added, “...but we have decided to step in to safeguard employment, to safeguard competition and the management contract which we have with Radison Blu will continue and we will look to further develop the area with expansion programe.”
“There are no negative changes [such as downsizing the workforce]. In fact, changes will be for the better like further increasing employment because of our desire to expand.”
In the meantime, Rajan Mahtani said that his nation Zambia had established itself on international market as haven for investment and to do businesses because of the strong democracy and judiciary. He said, “It is a place where democracy prevails and where there is a good and strong judiciary.”
“A lot of international players look to those yardsticks when they invest funds.”
Questioned if there were any kind of immediate threats for sustaining the gains which Zambia had made as safe haven for an investment, Rajan Mahtani said, “Unfortunately, instead of Zambians concentrating on something more important to the economy, we tend to spend more time on the politics and that is what is a threat to the international [players].” He said, “They look for stability [and yes] we are stable but if we could concentrate more of our time in building the economy and building a better Zambia for Zambians, we will find the achievements sustained a little longer.”
On FBZ, he said that the bank had continued to be profitable and resilient. The bank even performed quite well. If you have a look at the financial results, you will find that they are excellent.
The financial institution which the administration of Rupiah Banda wrestled briefly from Rajan Mahtani, announced that the deposit base that’s an essential measure of performance had grown from K1.009 billion to K2.048 billion in 2 ½ years.
Rajan Mahtani said that the bank was actually going ahead with the planning that’s listed on LSE this year. He said, “The listing will be before 31st December and we are also listing on the Johannesburg [bourse].”
“Our expansion plans are also on. We are opening in Malawi in the next six weeks with three branches. Our head office will be in Lilogwe.”
The takeover sparked accusations and speculation on Dr Rajan Mahtani. But in an interview he explained that his takeover was clean and was made through a legal battle with the former owners. He said, “The public need to know the truth. We fought the battle through a due process, through the courts of law. There was nothing sinister. We succeeded in proving that all the allegations that were made against us were false and documents [to show this] are in court, some of them already came out in the public domain.”
On May 7 the High Court, delivered a judgment where Hotellier Limited was established as being legally responsible for paying the compound interest to the FBZ at an overdraft rate for the money that Hotellier borrowed at the time of constructing the hotel.
All these were in the matter where Finsbury Investements and FBZ as plaintiffs sued Hotellier Limited , Odysseas Mandenakis senior, Odysseas Mandenakis Jr and Ody’s Works Limited as defendants for the monies, which they acquired from bank for constructing Radisson Blu Hotel.
The Mahtani Group of Companies chairman said, “The total debts that were incurred [now] amount to roughly US$62 million; there aren’t sufficient assets.” He even added, “...but we have decided to step in to safeguard employment, to safeguard competition and the management contract which we have with Radison Blu will continue and we will look to further develop the area with expansion programe.”
“There are no negative changes [such as downsizing the workforce]. In fact, changes will be for the better like further increasing employment because of our desire to expand.”
In the meantime, Rajan Mahtani said that his nation Zambia had established itself on international market as haven for investment and to do businesses because of the strong democracy and judiciary. He said, “It is a place where democracy prevails and where there is a good and strong judiciary.”
“A lot of international players look to those yardsticks when they invest funds.”
Questioned if there were any kind of immediate threats for sustaining the gains which Zambia had made as safe haven for an investment, Rajan Mahtani said, “Unfortunately, instead of Zambians concentrating on something more important to the economy, we tend to spend more time on the politics and that is what is a threat to the international [players].” He said, “They look for stability [and yes] we are stable but if we could concentrate more of our time in building the economy and building a better Zambia for Zambians, we will find the achievements sustained a little longer.”
On FBZ, he said that the bank had continued to be profitable and resilient. The bank even performed quite well. If you have a look at the financial results, you will find that they are excellent.
The financial institution which the administration of Rupiah Banda wrestled briefly from Rajan Mahtani, announced that the deposit base that’s an essential measure of performance had grown from K1.009 billion to K2.048 billion in 2 ½ years.
Rajan Mahtani said that the bank was actually going ahead with the planning that’s listed on LSE this year. He said, “The listing will be before 31st December and we are also listing on the Johannesburg [bourse].”
“Our expansion plans are also on. We are opening in Malawi in the next six weeks with three branches. Our head office will be in Lilogwe.”