To
Portfolio Committee on Mineral Resources and Energy
From
Brian
Subject
FAILURE TO DISCHARGE STATUTORY MANDATE BY DMRE AND CONTRAVENTION OFTHE MPRDA AND THE CHARTER BY MILO GRANITE (PTY) LTD
Date
4 April 2023 7:42 p.m.
Dear Portfolio Committee on Mineral Resources and Energy,




I write to express my concern over the issue of corruption.

The background facts are that a black mining company executed a BEE transaction with a white-owned parent company.

Subsequently, the mining right was granted for a period of 30 years. 

Barely a month after the mining right was granted by DMRE, the shareholders of a white-owned company took a resolution  to expropriate the BEE shares back to parent company. 

The matter was reported  to the DMRE but no formal investigation was ever conducted to demand corrective action as part of performing their enforcement responsibilities as a regulator of the mining industry.

The white-owned company ultimately took the matter  to the North Gauteng High Court for judicial review. DMRE failed to file an answering affidavit. 

Despite the black company having filed an answering affidavit, the default judgment was granted in favour of the white company.

In this case the primary question to be answered is: why  would the DMRE insist that the white-owned company comply with the requirements of the MPRDA Act and the Mining Charter in respect of a BEE partner, and then once white compay has secured the mineral right, they are allowed to cast aside the BEE partner and disregard the agreement?

We would appreciate if the Portfolio Committee could institute an inquiry into the DMRE's actions or lack thereof regarding this matter.

Thank you for your time and I look forward to hearing from you soon.

* I HAVE SENT EMAIL TO AYANDA BOSS AND THE CHAIRPERSON. 
* ALL DOCUMENTARY EVIDENCE WILL BE CONVEYED ON REQUEST