Mbada theft scandal

HARARE - Police in South Africa have arrested a director and senior employees of the New Reclamation Group (NRG), Zimbabwe's controversial partner in the Mbada Diamonds joint venture operating in Marange.

A SAPS spokesman confirmed the arrests to The Zimbabwean.

“A director and some employees of the New Reclamation Group are helping us with investigations after they were picked up last Thursday (Aug 12). The charges relate to theft of copper cables, which have been recovered from the premises of the suspects,” the spokesman said.

Names of the arrested officials were not given. The SAPS estimate the value of the recovered cables at SAR20 million.

The NRG is represented in Zimbabwe by Robert Mhlanga, a former army colonel who has also been appointed chairman of the Mbada Diamonds joint venture with the Zimbabwe Mining Development Corporation.

It is owned by Grandwell Holdings, a subsidiary of Old Mutual, and its selection to partner with ZMDC raised serious concerns as the company has no experience in diamond mining.

In 2008, NRG was fined millions of dollars for unethical conduct, and claims to be the regions leading producer of recycled ferrous and non?ferrous metal products.

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