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US$10 million gold scandal rocks Kwekwe mine
2 hrs ago |
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A sophisticated gold smuggling syndicate operating under the guise of legitimate mining in Kwekwe's Silobela area has siphoned off more than 120 kilogrammes of gold, worth over US$10 million, in under two years.
According to official production data obtained by Check Point, Podhill (Pvt) Ltd - jointly owned by Chinese businessman Mr Zuo Wenzhong and Australian national Mr Moham Karim - declared less than 4kg of gold for official sale in 2024, despite processing over 3 000kg of ore monthly.
Internal mine records reveal that in December 2024 alone, Podhill's carbon-in-pulp (CIP) plant processed gold batches yielding up to 1 500 grammes each, with off-book transactions handled by an associate identified only as Talib.
However, only a fraction of that gold - about 300 grammes - was officially sold through Fidelity Printers and Refiners and the CID Minerals Unit.
Investigators say the syndicate's heap leaching and smelting facilities at Ourstrike Mine were used to divert gold for private sale. Smelted bars were allegedly moved quietly from Kwekwe to unregistered refiners, and later exported to Dubai and China.
"By early 2025, Podhill's illicit operations had outgrown their legitimate cover," the report says. "Undeclared sales had exceeded 120kg of gold, valued at over US$10 million."
Insiders told investigators the network ran a "ghost refinery" system fuelled by cash deals and private couriers.
The probe has linked the smuggling network to Generous Resources, Milhub, and Podhill, all controlled by Mr Zuo through interlinked shareholding and management structures.
Key figures identified include Podhill general manager Mr He Huayang, director Mr Duan Yuanbin, and business partner Mr Taleb, who allegedly oversaw the off-record sales.
Financial records, photographs and transaction ledgers form the backbone of an ongoing investigation by the Zimbabwe Republic Police Minerals and Border Control Unit, which is tracing proceeds through the companies' accounts.
Sources say regulatory loopholes and weak oversight allowed the syndicate to flourish. "The system was manipulated from within," said one mining insider.
Authorities are now tightening oversight on private gold processors and foreign-linked mining ventures as part of a broader anti-smuggling crackdown.
According to official production data obtained by Check Point, Podhill (Pvt) Ltd - jointly owned by Chinese businessman Mr Zuo Wenzhong and Australian national Mr Moham Karim - declared less than 4kg of gold for official sale in 2024, despite processing over 3 000kg of ore monthly.
Internal mine records reveal that in December 2024 alone, Podhill's carbon-in-pulp (CIP) plant processed gold batches yielding up to 1 500 grammes each, with off-book transactions handled by an associate identified only as Talib.
However, only a fraction of that gold - about 300 grammes - was officially sold through Fidelity Printers and Refiners and the CID Minerals Unit.
Investigators say the syndicate's heap leaching and smelting facilities at Ourstrike Mine were used to divert gold for private sale. Smelted bars were allegedly moved quietly from Kwekwe to unregistered refiners, and later exported to Dubai and China.
"By early 2025, Podhill's illicit operations had outgrown their legitimate cover," the report says. "Undeclared sales had exceeded 120kg of gold, valued at over US$10 million."
Insiders told investigators the network ran a "ghost refinery" system fuelled by cash deals and private couriers.
The probe has linked the smuggling network to Generous Resources, Milhub, and Podhill, all controlled by Mr Zuo through interlinked shareholding and management structures.
Key figures identified include Podhill general manager Mr He Huayang, director Mr Duan Yuanbin, and business partner Mr Taleb, who allegedly oversaw the off-record sales.
Financial records, photographs and transaction ledgers form the backbone of an ongoing investigation by the Zimbabwe Republic Police Minerals and Border Control Unit, which is tracing proceeds through the companies' accounts.
Sources say regulatory loopholes and weak oversight allowed the syndicate to flourish. "The system was manipulated from within," said one mining insider.
Authorities are now tightening oversight on private gold processors and foreign-linked mining ventures as part of a broader anti-smuggling crackdown.
Source - The Herald
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