Parly Committee To Visit SMM Mines

The hearings take place on Sunday and Monday where the committee will interview workers at the two mines.  Gaths Mine and Shabanie, the two mines owned by SMM, are not working due to cash problems bedeviling the holding company which government seized from Mawere. This has meant that workers have not been able to get their salaries which has worsened their plight.
Mashava and Zvishavane were mainly driven by the two mines. Edward Chindori Chininga, the committee’s chairperson confirmed the visit to Radio vop. After the visit, the team will write a comprehensive report to be presented to Parliament recommending the way forward.

The committee has so far interviewed, Mawere, Justice Minister Patrick Chinamasa and SMM administrator Afaras Gwaradzimba. Mawere has been fighting to reclaim his prized possession seized by government in 2004 by the reconstruction laws which deemed his companies indebted to the state by virtue of owing parastatals money. 
His appeal at the Supreme Court challenging the reconstruction laws was dismissed last week. The visit at the mines comes at a time when Gwaradzimba was confirmed an interested investor into the mines.

The agreed price for the 76% shareholding is US$115 million, of which US$37 million will be invested directly into AAM Mines (the holding company of Gaths and Mashava) and the balance will be used by SMM to pay its liabilities.

“ The investor is currently working on the modus operandi of transferring this money to Zimbabwe, ” Gwaradzimba said.

The prospective investor has so far paid a commitment amount of US$2 600 000 which when all terms and conditions of the IA (Investment Agreement) are fulfilled will form part of payment of the investor amount.
Chinamasa insists the takeover of Mawere’s companies was within the realms of the laws as they had become so indebted to the state.Mawere on the other hand contends that the takeover sets a bad precedent and chases away prospective investors.