The National Director of Public Prosecutions (NDPP) is heading for a full-blown fight with the business rescue (BRP) practitioners of Optimum Coal Mine on the eroding value of the mine, which is being asset-stripped by pit miners, who are akin to to illegal miners.
Advocate Ouma Rabaji-Rasethaba, Deputy National Director of Public Prosecutions for the National Prosecuting Authority (NPA) and head of the Asset Forfeiture Unit, told Parliament yesterday that pit miners were running roughshod over the mine without accountability from the BRPs.
The NPA and the Asset Forfeiture Unit have obtained orders for execution, which are now delayed by the series of interlocutory orders and appeals staying the sale of the mine at market value.
“We are headed for a full-blown fight with the BRPs and are concerned about the value of the mine. We have concerns about these pit operators eroding the value of the mine. We have sent letters, as has the curator to the Department of Mineral Resources and Energy on our concerns that the mine is now literally run by these pit operators.
“We want to know how much they are making. There have been reports they have made more than R6 billion, but the BRPs say they do not have an update on this,” Rabaji-Rasethaba said.
“We are calling for a judicial case manager – who would be another judge – to be appointed to deal with the interlocutory applications, so that the case for the forfeiture of the mine can be heard. We have raised our concerns about the waste of money, the safety of the assets and rehabilitation of the mine so that people can be re-employed and start working again,” she said.
She said the NDPP was also confused about the contradictory stand of the National Union of Mineworkers (NUM), which initially along with the Mpumalanga Action Movement (MAM), had been admitted into the matter as parties to the proceedings, but had lately backtracked to oppose some of the NDPP’s actions.
Optimum Coal Mine has been in business rescue since 2018, with the process to sell the mine hampered by various legal challenges, including from the NUM and BRPs.
The high court in Pretoria granted the NDPP an order to preserve all shares held in the mine, the business of the mine and all shares held in the Optimum coal terminal as well as an order to preserve the claims held by Templar Capital against the mine.
The NDPP had brought two applications and the court consolidated them into a single hearing, the first application regarding the bid to preserve all shares held in the mine, the business of the mine and all shares in Optimum’ coal terminal — were opposed by the BRPs.
On the application to preserve the claims held by Templar, Templar initially opposed the application, but later indicated it would abide by the decision of the court. This meant the second application became unopposed.
“We have people who lost their jobs at the mine and hope to be re-employed as soon as possible. We are hoping to finalise the matter and sell the mine as speedily as possible, of course at at its market value. But more than three years later and with two freezing orders, we are still dealing with applications from the same BRPs who were ready to literally give the money over for R1,” Rabaji-Rasethaba said.
The matter is now set for hearing in February for the NDPP to obtain the necessary order to finally sell the mine.
BUSINESS REPORT