Corruption Scandal Rocks Fools Mine
Bulawayo:An investigation has uncovered a complex network of fraud, corruption, and manipulation at Fools Mine, a gold mine situated in the Hope Fountain area, about 18 kilometres from Bulawayo along the Matopos highway.
At the heart of this scandal is the self-appointed director, Mohamed Daka.
Fools Mine is known for its rich fine gold deposits, primarily extracted through the elution process – a capital-intensive method requiring significant investment in proper plant and equipment to maximize ore extraction and tonnage output.
The mine was originally owned by the late former Chinese Ambassador to Zimbabwe, Shuixing Xu, and prominent Harare-based businessman, Mr Wang.
However, the mine’s ownership became contentious following the ambassador’s death.
His son, Xiaofei Xu, allegedly took over operations but faced manipulation and threats from Daka, who was part of the mine’s management.
Daka supposedly coerced Xiaofei into making unexplained payments and claimed to be affiliated with the CIO.
The disputes escalated, leading to Xiaofei’s deportation from Zimbabwe, which is strongly believed to have been orchestrated by Daka.
Upon Xiaofei Xu’s departure, his lawyer, Mr Marshall Rubvuwe, was given power of attorney to manage the mine.
However, Daka began claiming full ownership, citing debts owed to him by the mine, according to papers in our possession.
He lied that he was a shareholder with a 52% stake. Using this fake shareholding power, Daka went on to illegally seize and sell functional machinery, including an excavator valued at USD 281,750, a VW Amarok, and two Honda Fits.
Daka’s fraudulent activities extended to manipulating the Indigenous law to produce fake documents to claim ownership, resulting in a court battle with Rubvuwe.
Despite hiring prominent lawyers and allegedly attempting to bribe court officials, Daka’s efforts were ultimately unsuccessful. However, Rubvuwe’s departure to Namibia before the case’s conclusion gave Daka a temporary advantage.
In a desperate bid to seize control of the mine, Daka allegedly partnered with Paul Chakangaesu, who reportedly operates under multiple aliases, including Paul Gono, Paul Samson, and/or Paul Chisvino. Together, they forged a fake power of attorney, purportedly signed by Xiaofei Xu in April 2024, and presented it to the Chinese Embassy for verification, prompting an investigation into its authenticity.
Daka has been accused of bribing government officials and misrepresenting his connections to influential figures within ZANU PF and the government.
He recently posted a picture with controversial businessman Wicknell Chivhayo, further fuelling suspicions.
Authorities are now investigating the fraudulent activities and ownership claims at Fools Mine.
