Fidelity, minister clash over mine

FIDELITY Printers and Refineries (FPR), a subsidiary of the Reserve Bank of Zimbabwe (RBZ), has taken the Minister of Mines and Mining Development Winston Chitando to the High Court over his decision to forfeit the company’s gold mine in Kwekwe.

The company seeks an order to suspend the minister’s decision and to evict the people who have occupied the premises through the ministry.

Also contested is the decision by the minister to award the rights to another person.

Minister Chitanda, the provincial mining director for Midlands and Mr Jonah Nyevero who was recently awarded mining rights were listed as respondents in the urgent chamber application filed last week.

Fidelity Printers partnered businessman Mr Caesar Zvayi for gold mining operations at Mirage 3 Mine in Kwekwe until recently when the ministry communicated that the mine had been forfeited over outstanding fees.

The company argues that the minister’s decision must be suspended because no adequate notice had been issued before forfeiture of the claims.

It is also argued that there was no proper demand for the fees prior to the forfeiture and the company was not even aware of the arrears until forfeiture.

Fidelity Printers general manager Mr Fradreck Kunaka deposed an affidavit contesting the minister’s decision.

“The decision by the first respondent (minister) and the second respondent (provincial mining director) to forfeit the applicant’s mining claim is invalid.

“It is palpably arbitrary and violates every known procedure intended to ensure fairness, transparency and justice,” he said.

He added that in terms of the provisions of the Administrative Justice Act, the minister was obliged to have given Fidelity Printers adequate notice before forfeiture.

“As applicant was not given any notice of the decision, it was unaware of the decisions that were made against it.

“It could not approach the courts or seek any other redress to protect its rights.

No representations or corrective measures could be available to the applicant.

“If the first and second respondents had at least demanded payment of outstanding fees, and then warned the applicant of consequences of non-adherence, then the process would have a semblance of fairness to it,” reads Mr Kunaka’s affidavit.

Fidelity seeks the court’s protection against some “hooligans” who besieged the mine on February 2 and threatened the company’s operations.

Mr Zvayi who was at the mine when the said hooligans issued threats said:

“I confirm that on 2 February 2021, a group of men forcibly entered the mining location and issued the threats as the deponent to the founding affidavit states.

“They did not identify themselves and merely alleged they acted for the third respondent (Mr Nyevero) in these proceedings.

“We live in fear as armed groups have been known to mete out vigilante violence in the mining sector in Zimbabwe,” reads Mr Zvayi’s confirmatory affidavit.

However, Midlands provincial mining director Mr Tariro Ndlovu said the forfeiture was above board and there is no basis for its suspension.

“There is no legal basis for suspending forfeiture of the mining claim known as Mirage 3 Mine as the forfeiture was carried out within the stipulations of the Mines and Minerals Act Section 260 as read with Section 272,” reads the notice of opposition.

Government lawyers argued that giving notices was not an obligation.

“It is only the opinion of the applicants that giving personal notices is very important but this is not an obligation on the part of the first and second respondents,” reads the opposing papers.

The parties are yet to appear before a High Court judge for hearing.-herald.cl.zw