By Patson Chilemba
Economic Front (EF) leader Wynter Kabimba has demanded for police to arrest Arc Minerals executive chairman Nick Von Schirnding and Rejandrakumar Patel for allegedly ignoring police callouts over the fraud investigations police have launched in connection with the alleged fraudulent acquisition of mines which Anglo American bought at $14.5 million.
Politically linked forces in the mining industry, said to have strong links with powerful people in the UPND administration, have disregarded police callouts over serious allegations of fraudulent practices and illegal transfer of exploration licences.
Speaking with Daily Revelation, Kabimba said the integrity of the police as an institution is under threat, saying if they can issue a callout to a member of the public who is a suspect under some ongoing investigations and that suspect ignores a callout from the police that becomes a serious indictment on their standing.
He said there were two conclusions to this matter, saying it was either the individuals were just being obstinate and arrogant towards the law or they know that they are politically connected and therefore beyond the law.
“And it is for that reason that the police should acquit itself and ensure that those individuals that are under investigations and they are considered suspects under the alleged perpetration of the offence are brought to book,” Kabimba said, adding that it was not in the interests of the UPND and the President to seat back and watch as individuals are being non-responsive to police investigations. “And this particular case comes with a sense of shock to members of the public and I think it is important that the UPND acquits itself as an administration that it is not party to schemes such as these.”
Sources have said that the suspects have ignored police callouts because of being well connected and the strength of the buyer of the alleged fraudulently obtained by Anglo-American, which is said to control leaders in third world countries.
But Kabimba said this was one story similar to the Glencore story, which took the American investigating agencies 10 years to bring Glencore to book.
He said Zambia should not allow investors that should come here to commit crimes, saying stiff laws must be introduced not to allow any investor registered in the country not to commit any bribe anywhere in the world.
Kabimba said he knows about President Hichilema’s business associations, including with South African leader Cyril Ramaphosa in MTN.
“The police have issued callouts and the police must follow up those callouts. And if people are not cooperating with the police the next step for the police to do is to follow up those people and get them arrested. Surely, they should know where they are,” Kabimba said. “And then at that stage we want to know, if the police get there and somebody says don’t arrest them. Then the police should be able to inform members of the public that we have been unable to carry out our duties because of the following.”
He said the problem was that the country had allowed a situation where those in power should do politics and business at the same time, saying there must be a leadership code in place in the same manner Dr Kenneth Kaunda implemented it, saying without that was a situation where people in power had companies which were doing business with government.
“The wrong in my view is that in a third world country where transparency is almost zero, Kaunda was right to have said ‘if you are in politics, I will not allow you to do business.’ If you are in business you shall not do politics. And the choice becomes yours. You can’t have it both ways. Otherwise this corruption will continue because it is being perpetrated by those that are in power,” Kabimba said. “Once the perception is that corruption has its roots in State House, it becomes difficult for any institution to fight that corruption, including the police.”
Kabimba said government’s usually run contracts in third world economies, saying the biggest contract one could get in the country right now could only be from government.
“That’s why you can have millions found in the cushions of the South African President because the man is scared of declaring that money. That’s why you can have HH refusing to declare his assets even as people are calling out that he must declare his assets,” said Kabimba
Details are that Anglo American PLC, which is known to have serious connections with State House has bought a fraudulently obtained mine from Arc Minerals and Handa Resources Ltd, with those implicated being individuals linked to the Zambian government operating under the names Handa Resources, Zaco Investments and Afrimin Resources, which are all subsidiaries of ARC Minerals (ARN.L) over fraudulent practices, including the illegal transfer of exploration licences and collaborating or inducing public officers to approve the grant of unlawful transfers.
Anglo-American PLC (ALL.L, NGLOY, AGL.JO) made initial payment of $3.5 million out of the total cash payment of $14.5 million to Arc Minerals’ subsidiary Umico Minerala Ltd as announced by Arc Minerals executive chairman Nick Von Schirnding on November 10, 2023 in the UK’s Regulatory News Services (RNS), and that the agreement includes a further investment of $90 million by Anglo America in the three licences which have been unlawfully granted contrary to sections 22(3)(e), 66(1), (2), (6) and 72(1) of the Mines and Minerals Development Act no.11 of 2015.
The payments have been made and transactions concluded despite ongoing police investigations and High Court proceedings under Judges Bonaventure Mbewe (Cause no. 2016/HPC/0509) and Charles Zulu (cause no. 2023/HP/1720).
“It’s clear that some powerful individuals at the Ministry of Mines have disregarded the police investigations and the high Court proceedings and transferred the Majority Shareholding of Handa Resources, Zaco Investments and Afrimin Resources to Anglo American Corporation PLC,” sources said.
Documents obtained from the Patents and Companies Registration Agency (PACRA) shows that Anglo is now the majority shareholder in Handa Resources, Afrimin Resources and Zaco investment, with Handa appointing renowned Zambian based in South Africa, ex-chairman and chief executive of Anglo America Norman Mbazima as director and Arc Minerals retaining Valentine Chitalu at the London Board.
The other new board member of Handa Resources is Anglo American country manager Adriana Blesa who has replaced Lt Gen Sande Lageni Kayumba.
Sources have told Daily Revelation that Schirnding and his accomplice Rajendra Patel purported to be representatives of the transferor, Zamsort when in fact not, have ignored police call outs which were served on them because of alleged protection from powerful forces in government and the “strength of the buyer Anglo-American” which controls leaders in most third world countries.
The $3.5 million Anglo American, a global player in the global mining, is said to have been done through an offshore proxy firm of Arc Minerals called Umico Mineral Limited despite the ongoing court proceedings and active matters before the country’s investigative wings, with Finance minister Dr Situmbeko Musokotwane and Secretary to Treasury Felix Nkulukusa being challenged to investigate such transactions as they were some of the main reasons why the Kwacha had depreciated to shambolic levels of almost K25 to US$1.
“Large sums of money are paid overseas for Zambian assets whilst the Commissioner General of ZRA is busy pursuing small Zambian Enterprises for small taxes and grounding them into bankruptcy,” sources mourned. “If these funds went into Zambian banks and several other similar transactions done by these multinationals and hundreds of foreign listed companies which are deliberately allowed to own Mining Rights without any local shareholders, the dollar wouldn’t be trading at K24. It’s time that all Zambians wake up!!”
