South Sudan president’s daughter involved in dirty mining deals of E. Equatoria: report
April 3, 2020 (JUBA) – South Sudanese president’s daughter, vice-president’s son, military officials and local officials are involved in illegal mining activities in Eastern Equatoria state, according to a U.S. Watchdog group.
In a new report released on Thursday, The Sentry a group co-founded by actor George Clooney and rights activist John Prendergast denounced a high level of corruption in the inner presidential circle saying that Kiir’s close relatives and associates are tied to 32 mining companies.
“Memoranda and articles of incorporation reviewed by The Sentry reveal that politically exposed persons—both President Salva Kiir’s close associates and lower-level ministers—have held shares in no fewer than 32 South Sudanese companies established to extract minerals,” says the Watchdog in a statement extended to Sudan Tribune.
“Kiir’s daughter partly owns a company with three active mining licenses. A company with three mining licenses lists former Vice President James Wani Igga’s son as a shareholder,” reads the 33-page report titled “Untapped and Unprepared: Dirty Deals Threaten South Sudan’s Mining Sector”.
The report went further to claim that Ashraf Seed Ahmed Hussein Ali ” Al-Cardinal” a Sudanese businessman known to be close to President Kiir and placed under Global Magnitsky sanctions in October 2019 owns the company currently holding the most mining licenses.
Also, the anti-corruption investigation group pinpointed to the local official in Kapoeta area saying they have issued gold mining licenses independently of the central government, in violation of South Sudan’s Mining Act.
“South Sudan’s military has developed problematic mining interests in an effort to address budgetary shortfalls,” said the report. Also, it mentioned Deputy Defence Minister Malek Reuben Riak Rengu, who is under UN and US sanctions, and Lawrence Lual Malong Yor Jr who claimed family ties to former army chief of staff.
“Without swift action, South Sudan’s mining sector may fall into the same traps as the oil sector, which has helped drive war in South Sudan for decades. Military interests abound, either through joint ventures with private investors or companies controlled by the Ministry of Defence,” said Sophie Lombardo, Investigator for The Sentry.
Referring to a report by UN experts on South Sudan speaking about the involvement of the holdout rebel National Salvation Front (NAS) in the gold mining activity, the report warned that the current state quo may fuel violent competition and put at risk the ongoing efforts to implement the revitalized peace pact.
The Sentry in its finding further raised alarm over the illegal gold mining activity saying it reveals signs of possible money laundering
To demonstrate the magnitude of corruption, the report pointed to the failure of the Ministry of Mining’s screening and deliberative processes, saying some license applications were approved within days of receipt.
“Children have been identified as shareholders in two companies actively exploring for gold, a possible contravention of the 2012 Mining Act’s provision against titles held by minors, and the governor of Eastern Equatoria has allegedly funnelled the proceeds of South Sudanese mining operations into luxury real estate in Kenya,” further said the report.
To end the mismanagement and corruption in the vital sector, the Sentry called for an audit and to create a public register disclosing beneficial ownership which will promote good governance and serve as a vital accountability tool for anti-corruption advocates.
(ST)