Staff Reporter
BINDURA– A recent public notice issued by Freda Rebecca Gold Mine has triggered growing concern among governance experts and mining contractors, following the introduction of an “artisanal miner drive” that departs sharply from standard corporate practice. The initiative is marked by an unusual senior appointment and a directive that centralises payments from miners and contractors in the hands of a single individual, bypassing conventional corporate finance systems.
Governance specialists say the structure outlined in the notice raises red flags around financial controls, accountability and potential conflicts of interest particularly given the broader legal disputes surrounding the same mining operations.
At the same time, Mpofu-Chisvo is understood to be asserting before the courts that her contractual relationship with Botha Gold Mine was never terminated and continues to subsist, forming the basis of ongoing litigation in which she seeks reinstatement or continued recognition as a Botha contractor. Governance observers say the juxtaposition is notable: an individual claiming an extant contractual relationship with one mining operation while assuming a senior, payment-facing role within a competing entity raises questions of judgment and potential conflicts that merit careful scrutiny.
Governance specialists say the payment arrangement itself is highly unusual for a corporate mining company that publicly claims adherence to international standards and operates a fully staffed finance and accounting department.
“Centralising payment authority in a single individual, outside standard corporate receipting, segregation of duties and audit controls, is fundamentally inconsistent with accepted governance practice,” said one governance analyst.
Industry observers note that standard corporate practice ordinarily requires contractor payments to flow through controlled company accounts, supported by formal invoicing, receipting, reconciliation and independent oversight. Departing from these norms, particularly in a contested operational environment, raises legitimate questions about accountability, auditability and contractor protection should disputes later arise.
Adding to the unease, governance analysts say Freda’s decision to place an individual reported to be facing criminal charges linked to disputes at Botha Gold Mine into a sensitive, cash-handling role is itself a questionable exercise of corporate judgment. While such matters remain under investigation and are subject to due process, observers note that senior appointments involving financial control are typically expected to withstand heightened scrutiny, especially amid active civil and criminal proceedings.
Contractors say the payment directive has generated anxiety, particularly in the absence of clear information on how funds would be formally receipted, reconciled or protected in the event of future disputes.
“What worries people is not just who is collecting the money,” said one contractor, “but what proof we will have later and who carries the risk if things change.”
The concerns arise against the backdrop of ongoing legal disputes affecting the same mining ground, heightening fears that contractors could later be exposed to claims of non-payment, double payment or unauthorised remittance.
As scrutiny intensifies, governance experts say the episode underscores the importance of clear financial controls, transparent systems and the careful management of conflicts, perceived or actual, particularly where artisanal miners’ livelihoods intersect with contested mining rights and unresolved litigation.
Efforts to get a comment from Mpofu- Chisvo or Freda Rebecca were unsuccessful at the time of publishing.
