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| National |
| Mine investor worried about delay of Muluzi case |
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by
Mabvuto Banda, 11 June 2004
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16:12:54
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A South African investor has complained of being denied justice by government for delaying a case in which he wants former president Bakili Muluzi and his business associates to pay K10 billion for allegedly grabbing his prospecting license to mine monazite in Balaka.
“This case was filed in May 2003 and government has not put up any defence and the courts keep on adjourning the case. Justice delayed is justice denied,” said investor Michael Saner in a telephone interview from South Africa on Wednesday.
Lawyer Ralph Kasambara complained this week that government asked for a judicial review to determine whether there was a case or not.
“We have been waiting for a judicial review of the case and it is taking too long,” he said.
Kasambara said they wanted the judicial review and to determine if they can take government and the former president to court.
The Attorney General hired private lawyer Kalekeni Kaphale for the case, but Kaphale has said he is no longer handling the case.
“I can’t give you any reasons [for withdrawing from the case] but what I can tell you is that I am no longer handling the case,” Kaphale said.
Solicitor General Steve Matenje on Monday this week insisted that his office is still discussing the issue with Kaphale.
“We are still discussing the issue with Kaphale before we file in a defence,” he said.
The investor has taken to court government, Muluzi, three businessmen and a naturalized British citizen for abuse of office, fraud, theft of copyright material and intellectual property, breach of the Constitution and the Mining Act.
Court documents indicate that Muluzi is the first accused. His business partner in Ntaja Trading, Pramod Kalaria is the second, Blantyre furniture manufacturer Narhari Dayalji Patel is the third and Ashok Kalaria the fourth accused.
In the case, Saner is demanding over K10 billion ($100 million) for allegedly grabbing his exclusive prospecting license (EPL) to mine Monazite—a rare ore found at Kangankunde mine in Balaka.
Monazite is used to make televisions sets, fertiliser and refining oil.
The mine, with an estimated annual turnover of between $10 million and $48 million, was allegedly grabbed from Saner and given to Rare Earth contravening the Malawian law.
Former Minister of Natural Resources Uladi Mussa is implicated in the case after refused to renew the license on the basis that Saner failed to develop the mine for three years.
Studies by the Geological Survey show that Kangankunde mine has several hundred millions of tons of rare earth ore which can sustain the business for over 50 years at any projected production.
Studies dating back to the 1950s and 60s on the mine, indicate that the project has potential to cater for 30 percent of world supply which could reduce the 90 percent monopoly by People’s Republic of China.
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