{"id":4936,"date":"2018-02-23T00:00:00","date_gmt":"2018-02-23T00:00:00","guid":{"rendered":"https:\/\/amabhungane.org\/amabhungane\/stories\/lesotho-pm-faces-probe-over-gupta-mining-links\/"},"modified":"2024-09-22T13:46:46","modified_gmt":"2024-09-22T13:46:46","slug":"lesotho-pm-faces-probe-over-gupta-mining-links","status":"publish","type":"post","link":"https:\/\/further.co.za\/amabwp\/lesotho-pm-faces-probe-over-gupta-mining-links\/","title":{"rendered":"Lesotho PM faces probe over Gupta mining links"},"content":{"rendered":"

Lesotho\u2019s anti-corruption agency is scrutinising Prime Minister Thomas Thabane and his son Potlako over \u201cserious allegations of corrupt practices and money laundering\u201d linked to the Gupta family, the MNN Centre for Investigative Journalism<\/em> (MNNCIJ) has learned.<\/p>\n

This follows a letter to the Directorate on Corruption and Economic Offences by opposition politician Bokang Ramat\u0161ella last month.<\/p>\n

The letter, dated January 29 and addressed to the directorate\u2019s director general, Borotho Matsoso, asks the directorate to investigate the premier and his son in connection with the Guptas\u2019 acquisition of mining rights for Mothae Diamond Mine in 2015, under Thabane\u2019s previous administration.<\/p>\n

The directorate\u2019s spokesperson, Matlhokomelo Senoko, confirmed to the MNNCIJ this week that the investigation was at a preliminary stage.<\/p>\n

\u201cWe have received (an expression of) concern from Mr Ramat\u0161ella, but I cannot reveal details,\u201d she said.<\/p>\n

\u201cA team was set up to determine whether the matter was suitable to be investigated by the directorate. The matter has passed that phase.<\/p>\n

\u201cIt is now at the preliminary investigation stage where some facts are being gathered. The next phase will be the actual investigation.\u201d<\/p>\n

Thabane\u2019s senior private secretary, Lefu Manyokole, said this week they were not aware of these developments.<\/p>\n

\u201cThe matter has not come to the attention of the prime minister\u2019s office. We would be able to comment on it if we knew about it,\u201d Manyokole said.<\/p>\n

The MNNCIJ understands that Ramat\u0161ella met Borotho and one of the directorate\u2019s investigators on Tuesday last week.<\/p>\n

An insider said it was concluded that the matter was sufficiently substantial for the directorate to investigate, and an investigator was assigned to it.<\/p>\n

Ramat\u0161ella confirmed last week\u2019s meeting but refused to divulge details. \u201cI undertook not to discuss the issue with anyone,\u201d he said.<\/p>\n

In his letter, Ramat\u0161ella said he was submitting his request in terms of section 35 of Lesotho\u2019s Prevention of Corruption and Economic Offences Act.<\/p>\n

This provides that \u201cif a person has reasonable grounds to suspect that a serious economic offence has been or is being committed, and that an attempt has been made or is being made to commit such an offence, he may lay the matter in question before the director\u2026\u201d<\/p>\n

The allegations, he said, related to Thomas and Potlako Thabane\u2019s \u201ccollusion\/collaboration with the Gupta-linked shady letterbox Tequesta company and its suspicious acquisition of mining rights at Mothae Diamond Mine\u201d.<\/p>\n

In December 2017, a joint investigation<\/a> by the Lesotho-based MNNCIJ and South Africa\u2019s amaBhungane Centre for Investigative Journalism unearthed documents showing that the government, through former mining minister Tlali Khasu, gave rights to the Hong Kong-based Tequesta Group to operate the Mothae mine. Tequesta\u2019s sole director was the Guptas\u2019 close business partner, Salim Essa.<\/p>\n

At the time the rights \u2013 worth an estimated $8.5-million (R119-million) \u2013 were still vested in Canadian miner Lucara.<\/p>\n

Thabane has denied any personal benefit from the Tequesta deal, insisting that he was motivated only by the desire to promote development in Lesotho.<\/p>\n

However, there are claims that the Guptas offered to fund his re-election campaign before the fiercely contested February 2015 poll.<\/p>\n

A senior government source told investigators that the controversial family had funded the campaign to the tune of R10-million.<\/p>\n

Potlako denied any partnership, saying: \u201cI\u2019m a businessman and a politician as well \u2013 people come to me with proposals. They (Guptas) went to register a local company but nothing came out of it. They just talked \u2026 I think we wanted to be partners, but it never happened.\u201d<\/p>\n

Asked if the Guptas had offered to fund Thabane\u2019s re-election campaign, he said: \u201cWe wanted (the Guptas) to. We made arrangements for them to provide funding. But then they suddenly lost interest. They never provided a cent.<\/p>\n

\u201cThey wanted a mine. The mine they were targeting they couldn\u2019t get. After that, all communication stopped.\u201d<\/p>\n

Ramat\u0161ella complained in his letter that Thabane\u2019s \u201calleged association with this shady company is\u2026 a serious indictment of the integrity of the person of the stature of the prime minister and his office\u201d.<\/p>\n

\u201cMy belief is that the allegation should be thoroughly investigated to clear any doubts\u2026 or\u2026 pave the way for possible prosecution.\u201d<\/p>\n

Ramat\u0161ella pointed out that the #Guptaleaks made startling revelations in respect of two letters written to former mining minister Khasu.<\/p>\n

\u201cThe two letters appear to have been the first step in an audacious plan orchestrated by the Guptas and their business partner, Salim Essa, to seize the Mothae Diamond Mine in Lesotho with the help of the country\u2019s political elite, presumably the Thabane family,\u201d he said.<\/p>\n

Leaked documents from the mining ministry indicate that as soon as the government had reached a shareholder\u2019s agreement with the Hong Kong-based brass-plate company, Khasu signed a 10-year mining lease with Tequesta Group Lesotho.<\/p>\n

The Gupta leaks went further to make \u201can explicit connection between Dr Thabane and the Guptas by telling us that in August 2014\u2026 Thabane appointed Atul Gupta as a special adviser and had granted him, Essa \u2026. and a third Gupta associate diplomatic passports\u201d.<\/p>\n

These privileges were rescinded by Lesotho\u2019s new prime minister, Pakalitha Mosisili, after the fall of Thabane\u2019s government in 2015.<\/p>\n

Attempts by the Guptas to vindicate their \u201crights\u201d in respect of the Mothae mine also fell on stony ground.<\/p>\n

Ramatsella said the lease agreement was additionally surprising because the right to mine at Mothae \u201cunquestionably\u201d still belonged to Lucara.<\/p>\n

He also pointed out that the task of assessing applications for mining rights is normally carried out by Lesotho\u2019s mining board.<\/p>\n

\u201cA June 2015 memo from the mining board to the minister makes it clear that (the board) was not consulted.\u201d<\/p>\n

A draft of the licence found in the Gupta leaks suggests the Guptas were offered a highly favourable deal: a sales tax of between four and eight percent and a rental of $87,000 per year, only payable once the company showed a profit.<\/p>\n

Ramat\u0161ella added there were allegations that the company was set up by the Guptas with the intention of circumventing legal and conventional obligations, including taxation, social security payment, VAT and wages.<\/p>\n

Documents filed with the Lesotho\u2019s ministry of trade and industry show that \u201cthe newly-minted Tequesta Group Lesotho was registered to an office linked to Potlako Thabane at the Thetsane Office Park, south of Maseru Mall\u201d, he said.<\/p>\n

\u201cThe same records listed Potlako Thabane\u2019s email address under Tequesta\u2019s contact details.\u201d<\/p>\n

Ramat\u0161ella concluded: \u201cI am aware that the prime minister \u2018abhors corruption\u2019, as he openly reiterates that in different platforms. In fact, the grand narrative of anti-corruption has become his metaphor for good governance and poverty alleviation.<\/p>\n

\u201cHowever, this should be guided and tested by the cardinal principle that moes tam suspicione quam crimine judico oportere carere<\/em> (I and members of my family should be as free from the suspicion of crime much as we are from the crime itself).\u201d<\/p>\n

Ramat\u0161ella has copied the letter to leaders of Lesotho\u2019s opposition parties, the SADC Oversight Committee, the SADC Facilitator in Lesotho, the Lesotho Council of NGOs and the Christian Council of Lesotho.<\/p>\n