Jun 22, 2018

Zimbabwe Supreme Court Denies ZCDC Appeal in Mbada Diamonds Case

The Zimbabwe Supreme Court has rejected an appeal filed by the Zimbabwe Consolidated Diamond Company (ZCDC) challenging an earlier court order restraining it from entering areas held as diamond concessions by Mbada Diamonds, according to local media reports.

The case is part of the litigation arising from the government order of 2016 cancelling all operating licences given to individual companies in the Chiadzwa diamond fields and attempting to consolidate all mining activity under the government-owned ZCDC.

The reports state that the order was challenged by Mbada Diamonds on behalf of its major shareholder, Grandwell Holdings. It states that following a long court battle and multiple rulings, the ZCDC and any others acting on its behalf were restrained from collecting ore from the Mbada Diamonds concessions, and were later also prevented from entering areas under the control of Mbada’s security staff.

In a related matter, Mbada also reportedly got a court order staying the sale of diamonds taken over by the government as well as those stored in a vault.

The news reports state that in its latest ruling, the SC has dismissed the appeal filed by ZCDC against its earlier orders and also ordered the company and multiple other appellants to pay the legal costs.