‘Another sweet victory for SA’

GUPTA MINES’ ACCOUNTS FROZEN: R1.75BN TO BE USED TO REHABILITATE THE ENVIRONMENT

Outa obtains court interdict to prevent coal mines’ trust funds leaving SA.

The Organisation Undoing Tax Abuse (Outa) has obtained an urgent interim interdict freezing R1.75 billion in the Gupta-owned Optimum and Koornfontein coal mines rehabilitation trust fund accounts held with the Bank of Baroda (BoB).

Outa’s chief operating officer Ben Theron described the order granted in the High Court in Pretoria as “another sweet victory for South Africa” with the prevention of the Gupta mining trust accounts from leaving South Africa or being plundered by the Guptas.

However, he said the fight was far from over as they wanted to ensure that the Gupta family and those responsible for state capture were held accountable.

Theron emphasised that in terms of the Mineral and Petroleum Resources Development Act and the National Environmental Management Act, mine rehabilitation funds could not be used for purposes other than managing the environmental damage caused by mining activities.

“These refunds must be used to restore and rehabilitate the damaged area when the mine gets to the end of its life. The trustees of the Gupta-linked mining rehabilitation funds allegedly mismanaged the funds, allowing the controversial family to use the trusts to pay back loans. Pending the final outcome of the interdict, we will pursue these individuals and hold them accountable for their misconduct,” he said.

In terms of the interim order, BoB must continue to hold the trust funds of the mine rehabilitation trusts in interest-bearing accounts in the trusts’ names.

The trustees or those with signing powers were interdicted “from directly or indirectly dealing in any way with, disposing of or removing from the Republic of South Africa any of the funds or assets of the trust, including, but not limited to, the trust’s funds”.

The application, which was not opposed, was postponed to December 7.

Theron said Outa’s appeal to Mineral Resources Minister Mosebenzi Zwane and the South African Reserve Bank to secure the funds were met with silence, forcing them to continue with the application. –