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Acacia Mining employees released from Tanzania jail

17th June 2020

By: Reuters

  

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DAR ES SALAAM – Three employees of Acacia Mining, a former Barrick Gold unit, were released from jail in Tanzania on Tuesday after agreeing a plea bargain deal, two sources with direct knowledge of the matter told Reuters on Wednesday.

Deodatus Mwanyika, Alex Lugendo, and Assa Mwaipopo had been imprisoned since October 2018 when Tanzanian authorities charged three of Acacia's local subsidiaries with dozens of offences including money laundering and tax evasion.

The three pleaded guilty to tax evasion, a source said.

They agreed a plea bargain deal under which they would each pay a fine of 1.5-million Tanzanian shillings ($649.35), having been found guilty of tax evasion, one source said.

Barrick, which bought out Acacia Mining last year, declined to comment when asked about the release.

In May, Barrick resumed exporting gold for the first time since a ban on shipments in 2017 and paid an initial $100-million to settle the dispute.

The tax dispute between Acacia and the government escalated three years ago when the miner was accused of overstating how much gold it was exporting and operating illegally in the country. It has denied all wrongdoing.

Edited by Reuters

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