Menu Click here
website logo
Sign In| Sign Up
back back
Diamond trading
Search for Diamonds Manage Listings IDEX Onsite
diamond prices
Real Time Prices Diamond Index Price Report
news & research
Newsroom IDEX Research Memo Search News & Archives RSS Feeds
back back
Diamond trading
Search for Diamonds Manage Listings IDEX Onsite
diamond prices
Real Time Prices Diamond Index Price Report
news & research
Newsroom IDEX Research Memo Search News & Archives RSS Feeds
back back
MY IDEX
My Bids & Asks My Purchases My Sales Manage Listings IDEX Onsite Company Information Branches Information Personal Information
Logout
Newsroom Full Article

Alexkor in Corruption Probe over Alleged Links to Gupta Family

January 10, 21 by John Jeffay

(IDEX Online) - South Africa's state-owned diamond company is under investigation in an inquiry into systemic political corruption.

It focuses on alleged links between Alexkor and members of the super-wealthy Gupta family, who were close to former president Jacob Zuma, now live in Dubai, and who have been described by the US Treasury as "members of a significant corruption network".

One of the central allegations is that Gupta entities benefited from "state capture" at Alexkor  -  that's to say when private interests significantly influence a state's decision-making processes to their own advantage.

A resumed commission of inquiry into state capture heard evidence last Friday that a company called Scarlet Sky Investments (SSI) - linked to a business associate of the Gupta family - was appointed without due diligence to market diamonds recovered by Alexkor and joint venture partner Richtersveld Mining Company.

The company had no license to sell rough diamonds, the evaluators weren't fully qualified and diamonds were sold at below market value, the inquiry heard.

A parliamentary committee heard least year that Alexkor which runs land and marine mining operations around Alexander Bay (pictured), on the country's West Coast, was trading recklessly and was technically insolvent.

The commission of inquiry continues.

Diamond Index
Related Articles

Newsletter

The Newsletter offers a quick summary of the past week's industry news and full articles.
Our Services About IDEX Privacy & Security Terms & Conditions Sign-Up Advertise on IDEX Industry Links Contact Us
IDEX on Facebook IDEX on LinkedIn IDEX on Twitter