By JERRY MUNTHALI
NORTHERN Province Permanent Secretary Emmanuel Mwamba has summoned30 business enterprises in the province that obtained loans from the Citizens Economic Empowerment Commission (CEEC) in a bid to recover K12 billion, which they have not paid back.
The 30 firms got CEEC loans in 2010 and 2011which they were supposed to be making monthly repayments but none of them has done so to date.
In a statement issued in Kitwe yesterday, Mr Mwamba said he has written to the business entities that got loans from CEEC ranging from K200 million to K2 billion.
Mr Mwamba said the non-repayment and poor performance of loans require urgent attention and action.
“The high rate of default is a serious source of concern and I advise the proprietors and directors of the companies to report to Kasama for a meeting scheduled for next week on Friday February 3, 2012,” MrMwamba said.
He said he has summoned the 30 business entities in his capacity as a provincial supervisor of CEEC funds and chairperson of the provincial empowerment committee that approves payment of loans to successful applicants.
Mr Mwamba said the empowerment fund has lent out a total of K12 billion to businesses in Northern Province.
He said the citizen’s economic empowerment initiative was designed to be a revolving fund meant to benefit many people but that government is concerned about the current high rate of default by beneficiaries.
Mr Mwamba said he will coordinate the recovery of the loans with the Ministry of Commerce, Trade and Industry.
He said he is determined to recover the K12 billion which private businesses owe CEEC in the province.
He reiterated that CEEC funds are not government grants but are revolving funds designed to uplift and empower local businesses that find it difficult to borrow money from commercial banks at high interest rates.
The business entities summoned with high value loans include Mwame Coach (K1.8 billion), Chiti School (K1.2 billion),  Nella’s Lodge (K900 million), Kennix Ltd (K838 million) and Kalungu Lubemba Trading (K412 million).
Others are One Africa Enterprise (K250million), Walex General Dealers (K250 milllion), Bakwiza Enterprise (K250 million) and Pamulambe Mpika Milling (K250 million).
Mr Mwamba also encouraged business entities that obtained loans of K50million and below to also make frequent repayments.