ZanuPF officials fight over shares in mine
http://www.thedailynewszw.com/?p=28949
April 17, 2010
By Owen Chikari
MASVINGO – As controversy on the new indigenisation laws continues, senior Zanu-PF officials here have wasted no time in demanding shares in Bikita Minerals – the country’s sole producer of lithium.
Finance Minister Samuel Mumbengegwi is also fighting for shares in
Zanu-PF politburo member Dzikamai Mavhaire, former Bikita West MP Retired Colonel Claudius Makova and former Finance Minister Samuel Mumbengegwi have reportedly demanded shares in the company in return for protection of the company from compulsory take-over.
Walter Mutsauri, Zanu-PF’s losing candidate for Bikita East, is also reported to have staked a claim.
Mavahire, who already sits on the board of Bikita Minerals, has demanded a 51 percent stake.
Mumbengegwi, Mutsauri and Makova are said have already approached the company with the intention of being given shares as a “protection fees.”
The politicians are claiming that ceding shares to them would avert the compulsory take-over of the whole mine.
On Friday, Mavhaire confirmed he was interested in taking over the majority stake in the company.
“I have been a board member of this company for years and I think the only logical way is to empower me by giving me the shares,” said Mavhaire.
“I have been involved in the administration and general operations at the company and therefore giving me shares will not affect viability if the company”.
However, Mumbengegwi said the fact the Mavhaire was on the board of the mineral company did not make him an automatic beneficiary.
“These people like Mavhaire are the ones we are saying should give us a chance since they have been benefiting from government programmes since time immemorial,” said Mumbengegwi.
“We will make sure that even President Robert Mugabe intervenes because I will not leave no stone unturned in making sure I benefit.”
Although Makova, Mutasuri could not be reached for comment, sources said they were also interested in acquiring stake in the giant lithium-producing mine.
The government recently gazetted the Indigenisation and Empowerment Act which compels all foreign owned companies to cede 51 percent of their shares to indigenous Zimbabweans.
However, the MDC and Zanu-PF – parties within the inclusive government – have clashed over the content and implementation of the law.
President Robert Mugabe has already said that there is no going back on the law.
The MDC led by Prime Minister Morgan Tsvangirai has called for a revision of the regulations, to ensure the law did not scare away potential investors.
Zimbabwean companies had until last Wednesday to submit their proposals on how they would cede shares to locals.