Lawyers appointed to run disputed mine

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THE High Court has appointed two prominent Harare lawyers Jonathan Samukange and Charles Chinyama to run the controversial Wenshou Enterprises’ Eldorado Mine in Chinhoyi, which is at the centre of an ownership wrangle among three Chinese business partners.

BY CHARLES LAITON

The deed of settlement was granted by Justice Happious Zhou pending the finalisation of the ownership wrangle between applicant Zhou Haixi and defendants Chen Shaoliang and Chen Xiandong.

The ownership wrangle has also seen the prosecution of Haixi and a local businessman Tafirenyika Kambarami over a $10 million fraud and the trial is pending at the Chinhoyi Magistrates’ Court.

“Pending the resolution of an action filed by the first and second applicants (Haixi and Wenzhou Enterprises) under HC726/15, the parties agreed that Honourable Samukange and Chinyama be and are hereby appointed to jointly manage the operations of the second applicant at Eldorado Mine, Chinhoyi,” Justice Zhou ruled.

“Honourable J Samkange and C Chinyama shall agree on the appointment of an independent general manager for the mine who shall be responsible for the administration of the mine, ensure workers are paid; funds are deposited in an account to be opened by the management team.”

The parties also agreed that all workers shall remain at their posts and that shareholders would have unlimited access to the mine and have the power to inspect books of accounts including production

The lawyers were also ordered to open an account in the names of Wenzhou Enterprises, where all proceeds from the sale of gold at Fidelity would be deposited.

“Upon determination of case number HC726/15, the mandate of the management team shall be automatically terminated and such mandate can also be terminated at any time in the event that the parties under HC726/15 agree to resolve the ownership dispute amicably out of court,” Justice Zhou ruled.

In his summons, Haixi claims in May 2012, he purchased 100% shares in Wenzhou Enterprises from Chen and his daughter and from that date the former owners ceased to be shareholders and directors.

However, Chen and his daughter denied Haixi’s claims stating any meeting held by him was a nullity as no one was appointed a director or shareholder of Wenzhou Enterprises.