Zimbabwe: Supreme Court orders mining firms to halt Marange operations

Chidyausiku orders mining firms to halt Marange operations

http://zimbabwejournalists.com/story.php?art_id=6425&cat=1

Zimbabwe's Supreme Court has ordered two government mining firms to
stop operations on British-owned diamond mining fields plagu! ed by
human rights abuses, state newspapers reported Thursday. The case was brought to the court by British-based African Consolidated
Resources (ACR) in a bid to win back its mining rights which were
suspended in 2006. The government is appealing a court ruling returning
the fields to ACR. Chief Justice Godfrey Chidyausiku said Zimbabwe
Mining Development Corporation and Minerals Marketing
Corporation "must cease all mining activities," in his judgement
quoted by the state-run Herald.

"Allowing the applicants to continue mining has the potential of
causing irreparable damage to the respondents (ACR) should the
(government) appeal fail," Chidyausiku said. Since the suspension, the
Zimbabwe government and the London Stock Exchange-listed ACR have been in a legal fight over ownership of the Marange diamond fields. After
the firm was forced to shut down its operations, the minefields fell
into the hands of illegal panners, leading to the deployment of state
security agents who were accused of u! sing force to evict diamond
dealers, resulting in deaths and injuries. The Supreme Court has
already ordered that the central bank keep 129,400 carats of diamonds,
seized from ACR in 2007, until the courts make a final determination on
the case.

Zimbabwe last week published new regulations to give local investors
a 51 percent stake in major corporations such as banks and mines. Prime
Minister Morgan Tsvangirai said the regulations which are to take
effect in March were invalid as they were not discussed and approved by
cabinet, highlighting tensions in Zimbabwe's strained unity government.