Kafara
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- Feb 17, 2007
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sijui hii ya tansort iliishia wapi. tansort inamilikiwa 100% na serikali lakini watu wachache sana (ni akina nani?) wana access na vitabu vyao vya mahesabu masikini tanzania yangu
source the eastafrican january 23, 2006 http://www.nationmedia.com/eastafrican/23012006/News/news230120063.htm
Probe report on Dar diamond trade to be tabled
Among the contracts that are expected to spark controversy is the sale of the government's 25 per cent stake in Williamson Diamond Ltd for only $180,521. WILFRED EDWIN reports.
A report by the probe committee of the Parliamentary Accounts Committee that in 2004 investigated the activities of the Tanzania Diamond Sorting Office (Tansort) and its London Trading Centre will be re-tabled in parliament.
The long-awaited report, which is expected to dramatically change the way the diamond trade is conducted in Tanzania, was not tabled in time in the last session last year, for reasons that are still unclear.
The current leader of the opposition in the House, Hamad Rashid Hamad, who was the chairman of the probe committee that carried out the investigations, told The EastAfrican last week in Dar es Salaam, "I expect the report to be re-tabled for discussion in the next parliament sitting."
"I have already written to the House Speaker on the matter," added Mr Hamad, who was also the chairman of the PAC in the past parliament. The PAC created the probe committee after it found that answers given by the accounts officials from the Ministry of Energy and Minerals "were not satisfactory."
It was tasked to investigate Tansort's activities and the method of payment of royalties emanating from diamond sales. The 10-member committee started its work on May 12, 2004, and by July 21 the same year had finished examining documents and interviewing various public and private-sector officials. It also visited and inspected diamond mines in Mwadui as well as Tansort's London offices.
Among those interviewed by the sub-committee were the then Commissioner for Minerals, Gray Mwakalukwa, Commissioner of Customs George Lauwo, Commissioner of Income Tax Patrick Kassera, Governor of the Bank of Tanzania Daudi Balali, and Williamson Diamond Ltd managing director Tony Guthrie. Others were Permanent Secretary in the Treasury Gray Mgonja, Permanent Secretary in the Ministry of Energy and Minerals Patrick Rutabanzibwa, and an official from the Lawyers Environment Action Team, Tundu Lissu.
The tabling of the report is expected to create a heated debate when parliamentarians begin sifting through some of the damaging procedures and flawed contracts that analysts say the government entered into.
It will also act as a litmus test for the new parliament as well as the new government of President Jakaya Kikwete, who has promised to look carefully into dubious contracts entered into with foreign companies in which national interests were not safeguarded.
Among the contracts that are expected to spark controversy is the sale of the government's 25 per cent stake in Williamson Diamond Ltd for only $180,521, although the company owns land, diamond mines and infrastructure of considerable value.
While the mineral policy of Tanzania, which was formulated in 1997, stresses private sector-led mineral development the major roles of the government being to regulate, promote and facilitate its implementation leaves much to be desired.
Currently, the country lacks a comprehensive approach to monitoring the diamond trade including monitoring of quality quantities and size declared, which can make a significant difference to the final price tag. Analysts say this laxity has greatly constrained the mineral sector's contribution to GDP despite Tanzania being endowed with large deposits of high-value minerals.
While the recent reforms have seen the entry of six gold mining companies into the sector between 1999 and 2005, with capital investments amounting to $1.5 billion making Tanzania the third largest gold mining country in Africa behind South Africa and Ghana its contribution to GDP as of 2004 was only 3.2 per cent, up from 1.4 per cent in 2003.
According to the annual report of the Bank of Tanzania, this increase, particularly in diamond recoveries, was on account of improvements in production of the gemstones by Williamson Diamond Mines and the commencement of production by El-Hillal Minerals.
The year 2004 saw 303,900 car- ats of diamonds recovered. The gems price varies sharply in accordance with size, quality and colour. A pink diamond weighing 19 carats may sell for up to $30,000, while a green diamond of 19 carats without cracks will fetch just $2,500. An ordinary diamond, weighing a carat, of a good shape and colour, sells for between $ 200 and $400.
Mr Hamad told The EastAfrican that the investigations carried out by his committee had revealed that the government was losing hefty sums of money due to the existing poor monitoring of the whole after-mining process.
The report says that the processing of the diamonds before they are handed over to Tansort for sorting is undertaken entirely by Williamson Diamond Ltd.
"What a Tansort officer checks is only the weight and seal but the existing system does not allow the officer to determine whether the size and quality of diamonds he has received are the same as that sent from the mine," says the report.
The committee, which had specifically investigated the system of internal control in mining, transportation, sorting and selling of diamonds, also discovered that even Tansort itself often fails to undertake sorting in an appropriate manner.
The investigations revealed that Tansort employed three Tanzanians who were not even on the government payroll one of whom, M. Maulid, has been working in Tansort's London office since 1966. He was expected to retire last year but, due to the irregularities, difficulties were expected in paying his terminal benefits.
source the eastafrican january 23, 2006 http://www.nationmedia.com/eastafrican/23012006/News/news230120063.htm