I wonder if anyone would like to cast a forensic eye on ZCCM-IH (Zambia Consolidated Copper Mines - Investment Holding), which is a Zambian government owned (87%) holding
Copper is back at it's historic highs (over $8,000/tonne).
The problem is that they have not received any kind of dividend payments, and I suspect various government ministers are involved in making cushy deals with the various international mining companies. At least in the US, it is illegal to bribe a foreign government official, so any information on that would be interesting too.
I would like to prove it.
I would like to know:
* Why ZCCM-IH has not received any kind of dividend payments that are on a par with the value of their holdings
* If the shareholders are being defrauded, how this is being done.
* What laws are being broken, if any.
* Who should go to jail.
70% of the people of Zambia live on less than $1,- per day, even while foreign mining companies are expatriating at least $2.5 billion a year, without paying any significant taxes ($50 million) and are apparently not paying any dividends even to ZCCM-IH. These resources belong to the Zambian people, but foreign mining interests seem to have bought the ear of their elected representatives. (Sound familiar?)
So you're doing a good thing exposing these crooks. What I would like to have, is a professional opinion on how they're doing it.
They have a website, and have been late in filing annual reports.
ZCCM-IH Home page: http://www.zccm-ih.com.zm /
Corruption And Swindle At ZCCM-IH http://maravi.blogspot.com/2010/04/sticky-mrk-corruption-and-swindle-at.html
From The Guardian:
Vedanta plots London float for Zambian copper offshoot Billionaire mining boss keen to slash borrowing at Vedanta and realise the value of subsidiary KDC (1) Richard Wachman The Observer, Sunday 17 October 2010
Vedanta Resources, the mining empire headed by Indian billionaire Anil Agarwal, has drawn up secret plans to float its £4bn Zambian copper subsidiary on the London stock exchange.
The group's Zambian offshoot, KDC, could seek to raise £500m in a London listing that may bring on board blue-chip British and European investors.
Agarwal wants to slash borrowings at Vedanta. Analysts at Liberum Capital expect the group's debt to soar to £7.5bn (higher than Vedanta's £6bn market valuation) once the firm gets Indian government approval to acquire a controlling stake in Cairn India's oil operations, in a deal under discussion since August.
Agarwal, who owns a home in London's Mayfair, feels the value of KDC, which has the capacity to produce 200,000 tonnes of copper a year, is not reflected in Vedanta's stock price and is keen to float it separately. The Zambian government owns a small holding, but is not expected to raise any objections to a London flotation.
Agarwal's plan is supported by Vedanta's investors, which include Legal & General, Standard Life and Fidelity. Agarwal owns a 62% stake.
Vedanta, a UK-listed company headquartered in London, has come under fire from environmental campaigners. It was recently ordered to scrap plans to develop a bauxite mine in an area of southern India deemed sacred by local people. And two weeks ago, it had to shut a copper smelter because of concerns over pollution.
Agarwal's parallel move to spend £4.3bn on a 51% stake in Cairn India, controlled by Edinburgh-based Cairn Energy, has upset some investors, worried that the company has no experience in oil and is taking on too much debt. Agarwal is keen to make Vedanta an "Indian natural resources champion", competing on the world stage with titans such as Lakshmi Mittal.
The tough regulatory stance taken by the Indian authorities has made it more difficult for Vedanta to secure financing for the Cairn India deal. But RBS and Standard Chartered are understood to have agreed to provide Vedanta with a bridging loan.
According to Forbes, Agarwal who was born in India's Bihar region, is close to breaking into the ranks of the world's 100 richest people, with a fortune of £4bn. He left school at 15 and started a scrap-metal business in 1976, building it up through acquisitions.