KCGM accuses Midkwe of stripping Chaka Gold Plant, selling equipment

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THE legal battle between Kwekwe Consolidated Gold Mines (KCGM) and Midkwe Minerals over control of Chaka Gold Plant has taken another turn with the latter being accused of damaging and plundering equipment at the disputed plant.

by Own Correspondent

On March 4 this year, KCGM filed an urgent chamber application at the Supreme Court in Harare under case number SC143/15, seeking an order to execute the judgment of the same court granted in case number SC358/12 pending determination of an appeal filed by Midkwe Minerals in the Constitutional Court.

The two parties have been locked in a long standing dispute over the control of Chaka Gold Plant since 2012.
In the latest development, KCGM, which is being represented by Valentine Mutatu, claims that Midkwe Minerals, which is jointly owned by Buhera North legislator William Mutomba and Gweru businesswoman Smelly Dube, was illegally carrying out mining operations at the gold plant.

In the founding affidavit filed by the company’s managing director Emmanuel Toga Nhamo, KCGM alleges Midkwe Minerals started stripping off the plant and selling plant material as scrap metal.

“The gold room was blasted and the control room is damaged [with] all its circuits breakers removed. The respondent started stripping off the plant by selling plant material as scrap metal. The electric motors running the plant have been removed and most of the plant equipment is being removed by the respondent,” Nhamo said.

“The applicant is unable to protect its plant at the moment. It is only able to view its plant from a distance because the respondent does not allow it to do so. At the same time, respondent is deliberately destroying the gold plant well knowing that their Constitutional Court appeal is frivolous and is unlikely to be heard anytime soon. Even if it is heard, the respondent is fully aware that the appeal has no merit.”

Nhamo added: “There will be no point in pursuing any further legal proceedings if this present application is not determined and the order granted on an urgent basis because the cost of replacing the plant runs in excess of
$15 million.”

According to court documents, on November 8 2012, KCGM obtained an order for ownership of Chaka Gold Plant in the High Court of Bulawayo before Justice Lawrence Kamocha.