Zimbabwe mining agency head denies bypassing treasury in revenue move

Zimbabwe Mining Development Corporation Chairman Godwills Masimirembwa has responded to critmanganese ore beneficiation plantics who say his state agency bypassed Treasury channels in paying out diamond revenues to allow for an increase in civil service salaries.

In remarks published Monday in the state-controlled Herald newspaper, Masimirembwa said he did not circumvent rules in remitting funds to the state as has been charged by some in the Morgan Tsvangirai wing of the Movement for Democratic Change. Such critics accused Masimirembwa's agency of transferring funds directly to the Salary Services Bureau rather than to the Treasury for eventual remittance to public workers. Treasury sources said they had no knowledge of the US$40 million in proceeds from Marange diamond sales made available to fund increased civil service salaries. Sources said it was unlikely the funds would not have been detected by the Treasury. Neither Finance Minister Tendai Biti nor Masimirembwa was available for comment. Political and economic commentators said the ZMDC should follow proper channels and procedures in the handling of revenues from the controversial Marange diamond field...