By Johnathan Paoli
The Mining Affected Communities United in Action (Macua) has sharply criticised the Mineral and Petroleum Resources Department for failing to address allegations of illegal mining and the unlawful exportation of gemstones involving Assmang’s Black Rock Mine.
While the department has framed the dispute as a civil matter between Assmang and PP Gemstones, Macua insists that the issue goes beyond mere licensing conflicts and delves into potential criminal conduct.
“South Africa’s mineral wealth must be managed lawfully, transparently and in a manner that benefits all its people, not to enrich a few at the expense of legal compliance, fiscal responsibility and community rights,” Macua spokesperson Magnificent Mndebele said on Monday.
Mndebele raised pressing concerns regarding Assmang’s alleged involvement in unauthorised gemstone mining and its failure to obtain proper permits.
He highlighted a critical incident in which a foreign national was arrested at OR Tambo International Airport allegedly attempting to export gemstones valued at R700 million.
The suspect allegedly claimed that he had been purchasing gemstones from Assmang for years, pointing to a long-standing illicit trade network.
Despite the gravity of these claims, there has been no known criminal prosecution of Assmang or its associates.
Macua contends that Assmang’s mining rights are strictly limited to manganese extraction and do not extend to Sugilite or any other gemstones.
The fact that the company has allegedly extracted and sold Sugilite without the appropriate permits should warrant legal action, yet authorities have remained inactive.
Mndebele outlined several violations of South African mining and criminal laws, especially under the Mineral and Petroleum Resources Development Act. The law prohibits mining activities without proper rights or permits, grants exclusive rights for Sugilite mining to PP Gemstones, making Assmang’s alleged involvement unlawful and criminalises mining beyond the scope of permitted rights, with penalties including fines and imprisonment.
In addition, under the Prevention of Organised Crime Act, engaging in illegal gemstone sales and exportation could constitute money laundering and racketeering, while tax and customs violations raise questions about potential revenue losses for the state.
Macua called on various government bodies, including the department, the SA Revenue Service and the National Prosecuting Authority to provide clear answers on why no legal action has been taken against Assmang.
The controversy surrounding Assmang is emblematic of a broader crisis within South Africa’s gemstone industry, with illegal mining operations, often carried out by organised syndicates, leading to severe economic and environmental consequences.
The Sugilite trade has become a hotbed of illicit activity due to the stone’s rarity and high market value, especially in Asian markets.
Macua also wants an independent investigation into Assmang’s gemstone mining activities, an immediate suspension of Assmang’s operations if illegal mining is confirmed, criminal prosecution of any entities or individuals found in violation of mining laws and full disclosure of all gemstone exports linked to Assmang.
Mndebele warned that without immediate intervention, the South African government would be complicit in enabling corporate misconduct that undermined the country’s mineral wealth and economic sovereignty.
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