The Anti-Corruption Trust of Southern Africa (ACT-SA) is urging relevant authorities in Zimbabwe to seriously consider carrying out lifestyle audits for individuals in the mining sector. This request has been prompted by a public outcry that these individuals could be benefiting from tax evasion as well as illicit trading of gold in the black market. In major mining towns, these individuals have accumulated a lot of wealth which they should be asked to explain. ACT-SA has learnt that some of these individuals in the mining sector are bypassing the Fidelity Printers and Refiners and selling their gold to the thriving black market. Furthermore, the majority of them are not paying Zimra. Against this background, there seems to be no interest by relevant authorities to investigate and take remedial action.
Mr David Jamali, the Chairperson of ACT urged the government to investigate allegations of illicit financial flows in the mining sector.
“We know the assets that some individuals in the mining sector have accumulated. They have built expensive houses and drive posh cars. Anti-Corruption authorities such as ZACC should demand that they explain the source of the wealth they have accumulated.” he says
Mr Jamali warns politically exposed persons who are also involved in illicit deals in the mining sector
“We know that some of the individuals in the mining sector are politically exposed persons. This explains the lack of interest and fear by relevant authorities to investigate the mining sector. Some individuals, who are not politically exposed, get protection by sponsoring political parties. Institutions such as ZACC should investigate the mining sector without fear or favour” he adds
ACT is currently conducting a mapping exercise seeking to document wealth generated by players in the mining sector. The report will be released in the immediate future.
Source: Anti-Corruption Trust of Southern Africa (ACT-Southern Africa)