Pamodzi and Aurora crisis: The end may be in sight: Department of Mineral Resources needs support to overcome illegal mining crisis
The end of the Pamodzi and Aurora crisis may finally be in sight if the Pamodzi liquidators succeed in selling the Grootvlei mine on the East Rand and the Orkney mine in North West, trade union Solidarity said today in response to the liquidators' press statement. The trade union commended the Pamodzi liquidators on this announcement earlier today and again expressed the hope that the transaction would be concluded as quickly as possible with the assistance of the Department of Mineral Resources (DMR).
According to Gideon du Plessis, Deputy General Secretary of Solidarity, significant progress has been made in the insolvency inquiry relating to the activities of the Aurora directors and their business consultants. "The liquidators and the Master of the High Court deserve a pat on the back for the inquiry. The fight will, however, only be over when a new buyer can re-employ the former Aurora employees and a court application in terms of section 424 of the Companies Act is brought against the Aurora directors," said Du Plessis. In terms of section 424, directors can be held personally responsible for mismanagement of a company.
Meanwhile, the trade union has affirmed the Pamodzi liquidators' concerns over illegal mining activities. However, following high-level discussions between Solidarity, the liquidators and the DMR regarding the issue, it is clear that the Department regards the fight against illegal mining as a high priority and combats illegal mining activities under difficult circumstances on an ongoing basis. This comes after at least 20 illegal mineworkers died in a rock fall in an abandoned mine tunnel at the Gravelotte mine on the East Rand. Solidarity appreciates the challenging role the DMR's inspectors fulfil in combating opportunities for illegal mining due to the large number of abundant mines spread out over the country.
"The reality is that the problem cannot be solved by one party alone. The DMR needs the close cooperation and support of trade unions, the Department of Home Affairs and the South African Police Service to tackle this national problem."
The trade union has also called on the task team dealing with illegal mining to take concerted action to put an end to the problem.
Statement issued by Gideon du Plessis, Deputy General Secretary: Solidarity, March 14 2012
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