Pole pole, huenda wakaja kuigusa Meremeta
The real story of Meremeta's Origin
A FORMER registrar of the Treasury, a civil servant and at least one senior Tanzanian military officer were amongst the first directors of the controversial Meremeta Limited when it was officially registered in the country towards the end of 1997, THISDAY can reveal today.
According to official government records, after being incorporated in the UK on August 19, 1997, Meremeta was registered in Dar es Salaam two months later (October 3) under certificate of compliance number 32755, with a total of four listed directors.
They were Russel John Schwartz, a South African national, along with Gerald Augustine Mrudi, Wilfred Lusata Nyachia, and Zulu Ally Lyana - all Tanzanians.
Company documents described Schwartz as a South African citizen working as a financier, with residential address listed as 147 West Road North, Morning Side, Sandton, South Africa.
Mrudi, an officer with the Tanzania People's Defence Forces (TPDF), was listed as a Meremeta director residing at 375 Upanga Street, Dar es Salaam; while Nyachia, the then Treasury registrar in the Ministry of Finance, was also listed as a director of the company with his residence being in Oysterbay, Dar es Salaam.
Nyachia was later promoted to the post of permanent secretary in the Ministry of Industry, Trade and
Marketing, before officially retiring from the civil service earlier this year. He now serves as chairman of the board of directors of the state-run Tanzania Broadcasting Corporation (TBC).
The fourth director, Lyana, was described in Meremeta's documents as a Tanzanian civil servant residing at house number 121, Seaview, Dar es Salaam.
Somewhat surprisingly, Meremeta Ltd listed its official company address as plot number 203 Mbezi Beach, on the outskirts of Dar es Salaam.
Government officials say it is quite unusual for a company of such stature, wholly or partly-owned by the government, to have its place of business outside the city's central business district.
According to the company's memorandum of association, its objectives include implementing "a gold collection and benefication programme on behalf of the government of the United Republic of Tanzania."
The official government position is that Meremeta was a joint venture project owned on a 50-50 basis
by the Tanzanian government and a private South African firm going by the name of Triennex (Pty)
Limited.
It could not be immediately established whose interests were represented by the four listed directors represented in Meremeta Ltd.
Meremeta's articles of association state that all the company's shares "shall be under the control
of the directors, and the directors may allot, grant options over, or otherwise deal with or dispose of
the same (shares) to such persons and generally on such terms and in such manner as they think fit."
Published THISDAY findings have already established that Meremeta officially began gold mining operations at the Buhemba mine in Mara Region in February 2003, with its operations heavily financed by local taxpayers through the Bank of Tanzania (BoT).
In 2005, the company announced that it had produced 2,075 kilogrammes of gold at a cash cost of $384 per troy ounce of gold. But hardly a year later (2006), Meremeta unexpectedly declared bankruptcy, and was formally dissolved.
Official government records show that as Meremeta Ltd was winding up its operations, the BoT paid more than $118m (approx. 150bn/-) to Nedcor Trade Services Limited of South Africa after having guaranteed a loan from this firm to finance Meremeta's operations.
The abrupt exit of Meremeta paved the way for the entrance of TANGOLD Limited, another
controversial company which assumed all of Meremeta's assets and liabilities, including the Buhemba mine.
Although the Ministry of Energy and Minerals has claimed that TANGOLD Ltd was 100 per cent owned by the Tanzanian government, it has also been established through THISDAY findings that the offshore company was originally registered in Mauritius in April 2005, with its address listed as Suite 520, Barkly Whart, Le Caudan Waterfront, Port Louis.
TANGOLD Ltd was incorporated in Tanzania in February 2006, with its listed local shareholders including former BoT governor Daudi Ballali (now deceased); a then senior Cabinet minister and former attorney general Andrew Chenge; and the former permanent secretary in the Ministry of Finance, Gray Mgonja.
Other listed TANGOLD shareholders are the current PS in the Ministry of Home Affairs, Patrick Rutabanzibwa; and the then permanent secretary in the Ministry of Livestock Development, Vincent Mrisho.
The manner and timing of Meremeta's liquidation has continued to raise many an eyebrow in key areas of the public domain, including parliament where various legislators have alleged that the company was purposely used to embezzle billions of shillings in public funds.
The government, maintaining that Meremeta was a classified military project, has so far declined to respond to MPs' queries about the true nature of the company.
Source:
http://www.thisday.co.tz/News/6159.html