FRIDAY, 11.30AM
ZIMBABWEAN President Robert Mugabe has set a two-week deadline to a group of what he calls “former Rhodesians” to return to Zimbabwe to start negotiations on the future of former Union Carbide Mining subsidiary Zimasco or face seizure of the mine.
“If they don’t come here by that given time then the government will correct the fraud and make the company 100% indigenous,” Mugabe said in an interview with the Financial Gazette.
The controversy follows an “indigenisation” attempt by the owners in which retired General Solomon Mujuru, a member of Mu gabe’s politburo and husband of information minister Joyce Mujuru, was to have received 27% of the company’s equity. Mugabe vetoed the plan, calling it “fraudulent”.
Zimbabwe’s constitution does not cater for compulsory nationalisation and such action would be unprecendented.
Zimasco recently announced plans to put 50% of its equity into the hands of indigenous black Zimbabweans. The company was sold in 1994 by US multinational Union Carbide to a Mauritius-registered consortium called Exultate, led by ex-Rhodesian now Irish national Patrick Quirk. Mugabe claims Quirk’s group bought the mine for $45-million, after it had been offered to the government for $100-million, and was worth $450-million.
BUSINESS BRIEFS
INTERLEISURE SOLD PORN ENTERTAINMENT group Interleisure has admitted it was involved in distributing pornographic videos in response to an attack on the integrity of its board by Hustler magazine. Interleisure admitted it owned Private, a pronographic video distributor acquired unknowingly in a deal between subsidiary Ster-Kinekor Home Entertainment and distributor Daru Video. Private has since been closed down and residual stocks are being sold off. Interleisure MD Mike Egan claimed Hustler’s attack was a result of it being threatened by the possibility of the Private residual stock sale lowering market prices.
‘POLICE HYUNDAI’ CALL SA trade and industry director-general Zav Rustomjee has called on the Botswana government to instruct Hyundai Botswana to begin complying with Southern African Customs Union regulations. The call comes in the wake of a dispute between the department and Hyundai over the importation of semi-knocked-down vehicles and follows a threat by Minister Alec Erwin to take tough action if Hyundai does not put its house in order.
THIRD CELLULAR LICENCE? THE SA Telecommunications Regulatory Authority has called for tenders to establish the viability of issuing a third cellular telephone network licence. Legislation obliges Satra to conduct the viability study and report to the minister within the next two years. Satra said it will complete the study within three months and, if required, issue the licence shortly.