DRC Urged to Reveal Terms of Unannounced Mine Concession Sale

26/06/2015 12:25

The Carter Center has called on the Democratic Republic of Congo to reveal the terms under which state firm Gecamines sold the potentially rich Kawama concession to Mutanda Mining, owned by Swiss commodities giant Glencore and Israeli billionaire Dan Gertler's Fleurettee Group. Under Congolese law, the government is required to publish any transfer of state resources within two months, but the February sale of the Kawama concession only came to light through Bloomberg's (Washington Post) report. The IMF in 2012 suspended a line of credit to the DRC after failing to obtain sufficient information on a transfer of shares in a mining company in the state portfolio.

It is widely suspected that Gertler, who is close to Congolese President Joseph Kabila, built his fortune by acquiring mining permits in the DRC in dubious circumstances - starting with his DGI Group obtaining diamond mining concessions for a fraction of market value. Gertler is also a grandson of Mr. Moshe Schnitzer, the founder of the Israeli Diamond Bourse.