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Date: April 29, 2024 Mon
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Results for mining industry
14 results foundAuthor: Pole Institute Title: Blood Minerals: The Criminalization of the Mining Industry in Eastern DRC Summary: The socio-economic consequences of persistent conflict and state failure in Eastern Congo and the search for ways in which the Congolese can reappropriate their own destiny have always been at the heart of the work of Pole Institute. Partly triggered by Pole Institute's research on the mineral trade, much international discussion has arisen in recent years about reordering the Eastern Congolese economy in order to make it less conflict-prone. While recognising the good intentions behind these efforts, we are convinced that sustainable and sensible solutions can only be found by those directly concerned. For this, local actors and stakeholders need to come together in an atmosphere of trust and mutual respect in order to arrive at a common understading of the problem with a view to working out solutions. To this end, in 2010 Pole Institute has set up a Round Table around the mineral economy of Eastern Congo, uniting public and private decision makers, state reprensentatives, enterprises, mining cooperatives and civil society organisations. The first meeting of this Round Table in March 2010 gave rise to a series of written papers which are collected in this volume. They will serve as the basis for further discussion. 1. The Minerals of North Kivu: A Blessing or a Curse? In this first article Onesphore SEMATUMBA (Director of information at Pole Institute) describes the decline and deterioration of the mining sector in Eastern DRC and the way that a blessing (in terms of mineral abundance) has turned into a curse (the blood minerals over which many wars have been fought and countless civilian lives lost and societal life and structures destroyed). A sick mining industry has replaced a previously healthy and thriving agricultural and pastoral way of life. Sematumba asks: is it possible to decriminalize the mining industry and return to it some measure of national and international respectability, accountability and dignity? 2. A Congo without the Congolese. This is the illustrative phrase that Aloys TEGERA (Director of research at Pole Institute) uses in the second article in this dossier to highlight the flaws in what would otherwise be laudable efforts by the international community (e.g. Germany, the United Kingdom, Europe, Asia, the World Bank) to render the minerals of the DRC ‘clean’ and conflict-free. These efforts, Tegera argues, are largely ineffectual in a bankrupt Congo in which the State has ceased to exist in many parts of the country. In order to rehabilitate and decriminalize the mining industry which, according to Tegera, generates more than two-thirds of the revenue of North Kivu, it is necessary to, in the first place, work towards the re-establishment of the Congolese state. Any efforts by the international community to re-organize and legislate for the Congolese mining industry without taking this fundamental step into account risk failure, “unless, of course, the various lobbies have in mind a Congo without the Congolese, which would clearly be absurd”. 3. A state within a state. “Bisie is a state within a state. There is no authority, either at the territorial level, or that of the province, and much less on the national level, that is able to control what goes on in this region”. Primo Pascal RUDAHIGWA journalist and vice-president of Pole Institute, gives an account of life in Bisie, a mining settlement in the deep jungle of Walikale Territory in eastern DRC in which cassiterite is produced under extremely primitive and inhuman conditions. Rudahigwa’s description of this source of cassiterite paints a vivid picture of heavy military involvement (both government army and rebel groups) and of human misery. Those who benefit from the mineral produced in Bisie (which resembles “an immense refugee camp”) are not the local inhabitants but the military and mining companies and traders based outside the region, with no interest in investing in local communities. This, for Rudahigwa, is “one more example of bad governance: those in power do nothing for the people who produce the minerals”. 4. Absence of proportion. In this forth article of the dossier Emmanuel NDIMUBANZI NGOROBA (member of Pole Institute and the Manager of the Provincial Division of Mines, North Kivu) considers the legislative instruments in place to regulate the mining industry in the DRC, and he finds that this legislation riddled with internal contradictions and incoherence. Ndimubanzi paints a picture of a largely ineffectual body of legislation as legal texts are both in outright contradiction with each other as well as with the reality of the situation on the ground. Having highlighted the problems created by contradictory legislation governing the mining sector, he proposes that similar types of legislation governing other industries be critically reviewed, especially legislation governing the agricultural industry, the environment, land and forests. 5. Bringing the Congolese people back in. This pregnant phrase by Dominic JOHNSON (a journalist and researcher, member of Pole Institute) is at the heart of the fifth and last article in this dossier: “Bringing local people back in is therefore the key to the success of reform programmes for the mineral trade in Eastern Congo”. Johnson analyses the efforts of foreign governments, NGOs, the United Nations and international regulatory frameworks (American, British, German and others) to sanitize the mining industry of the DRC. A glaring lacuna in all these efforts is the lack of involvement of the Congolese people in seeking solutions to problems that face them in their own country, and Johnson argues that unless the Congolese people are brought “back in”, all these international efforts will remain, for their originators, an exercise in creating the DRC after their own image. Johnson argues that because of this failure to include the Congolese people in crucial debate on ‘their’ issues, the international community has made a serious error of judgment in not recognizing that the situation in the east of the DRC goes beyond just a presumed squabble over minerals and raises fundamental questions of the structuring of state power which have to be taken into account by anyone hoping to work with the Congolese state in order to reform the Congolese mining sector. Details: Goma, Democratic Republic of the Congo: Pole Institute, 2010. 46p. Source: Internet Resource: Accessed November 7, 2011 at: http://www.pole-institute.org/documents/Blood_Minerals.pdf Year: 2010 Country: Congo, Democratic Republic URL: http://www.pole-institute.org/documents/Blood_Minerals.pdf Shelf Number: 123248 Keywords: Conflict MineralsMining IndustryNatural Resources |
Author: KidsRights Title: Minors Not Miners. Hazardous Child Labour, with a focus on gold mining in Burkina Faso Summary: An estimated 115 million children from 5 to 17 years old work in hazardous conditions across the world. Hazardous child labour is classed by the International Labour Organization (ILO) as one of the worst forms of child labour. The ILO describes it as "work in dangerous or unhealthy conditions that could result in a child being killed, or injured and/or made ill as a consequence of poor safety and health standards and working arrangements". The ILO estimates that some 22,000 children are killed at work every year. Those who survive can develop health problems later in life due to poor working conditions while their bodies and minds are still growing and developing. They also suffer from the lack of an education, as few manage to attend school when working long hours in harsh conditions. The ILO has set the minimum age for hazardous work at 18, a convention which has been ratified by 166 member countries including Burkina Faso. Poverty is one of the main drivers of hazardous child labour. Families are left with no other choice but to send their children to work. Burkina Faso is one of the poorest countries in the world, suffering from recurring droughts. It was drought which first forced families into gold mining in 1980, and the gold rush spread quickly. Gold has now become Burkina Faso's number one export commodity, and small-scale mining sites are to be found throughout the country, employing children as young as six years old. Small-scale artisanal mining is difficult to monitor or regulate. Small groups or families find a remote site and start digging; it's low-tech and illegal. The smaller the operation, the more likely it is to involve children. Because of their size and agility, they are useful in the narrow tunnels and shafts underground. They're cheap to employ, and don't ask questions or stand up for their rights. Working in hot, cramped goldmines leaves children with serious respiratory conditions, hearing and sight problems, and joint disorders. Exposure to mercury can lead to serious physical and neurological disorders. Temporary mining sites lack sanitation, health services and regular access to clean water. Schools, if accessible at all, are often kilometers away. Malnutrition is common among child miners, along with a host of diseases. Some 3 million children in Burkina Faso remain unregistered from birth, and invisible to the authorities. The country's legal minimum age for hazardous work is 18, and there is a special government directorate for child labour. However, small-scale gold-mining remains prolific and difficult to regulate. UNICEF estimated in 2012 that 20,000 children were working in mines in five of Burkina Faso's 13 regions. Due to the illegitimate feature of small scale mining it is expected to be far more widespread in Burkina Faso society. Immediate action and enhancing the monitoring of children working under hazardous conditions in the gold mines is desperately needed. School education is one of the most powerful tools in the fight against child labour in the mines. Children can learn the skills to lift them out of poverty, while they grow and develop in a safe environment. Globally, the effort needs to be continued to ensure that all children attend school until the minimum age for work. In order to stop children working in hazardous conditions in gold mines, the government of Burkina Faso must increase the number of labour inspectors and ensure continuous support for programmes offering alternatives to children withdrawn from the mines. Economic opportunities for families need to be enhanced, and awareness raised in mining communities about the safety risks and health consequences for children working in gold mines. Details: Amsterdam: KidsRights Foundation, 2014. 26p. Source: Internet Resource: Accessed August 13, 2014 at: http://www.kidsrights.org/Portals/1/About%20us/KidsRights%20Report-Minors%20Not%20Miners%20digitaal%20def.pdf Year: 2014 Country: Africa URL: http://www.kidsrights.org/Portals/1/About%20us/KidsRights%20Report-Minors%20Not%20Miners%20digitaal%20def.pdf Shelf Number: 133035 Keywords: Child Labor (Burkina Faso)Child ProtectionMining Industry |
Author: Dougherty, Michael L. Title: By the Gun or by the Bribe: Firm Size, Environmental Governance and Corruption Among Mining Companies in Guatemala Summary: This U4 Issue discusses the corruption risks faced by mining companies in Guatemala, with a particular focus on the risks faced by small, "junior" mining companies primarily engaged in exploration. Several factors make such companies highly prone to engaging in corrupt behavior, especially when operating in weak institutional contexts: the highly competitive nature of the mining industry, the risky dynamics of the exploration stage, and the specific characteristics of junior companies - their short operational timelines, low reputational risks, highly mobile and flexible nature, and reliance on fickle venture capital. Additionally, public environmental governance, and in particularly the approval of the environmental impact assessment, represents a moment of acute vulnerability to corruption, particularly for junior companies. In order to mitigate corruption risks among junior mining companies, donor agencies should help to build community capacity to monitor mining operations, build central state government capacity for environmental governance, work with countries to improve the rigor for environmental impact assessment processes, increase the visibility and reputational risks for junior companies, and build cultures of compliance in junior companies' countries of origin as well as within companies. Details: Bergen, Norway: Chr. Michelsen Institute, 2015. 30p. Source: Internet Resource: Chr. Michelsen Institute, U4 Issue Paper 2015:17 : Accessed December 3, 2015 at: http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2668030 Year: 2015 Country: Guatemala URL: http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2668030 Shelf Number: 137438 Keywords: BribesCorruptionMining IndustryOffenses Against the Environment |
Author: Day, Christopher Title: The Bangui Carousel: How the recycling of political elites reinforces instability and violence in the Central African Republic Summary: The successful February 2016 election of President Faustin Archange Touadera marks a new beginning for the Central African Republic (CAR) and provides hope that the country is now stabilizing after three years of violence and political transition. Touadera has been endorsed by many of his political opponents, and the country remained largely peaceful in the weeks following the elections. But CAR is still a long way from political stability. If policymakers fail to address the structural issues that led to the crisis in CAR, the country is likely to repeat its violent past. Sworn in on March 30, Touadera, a former math teacher and prime minister, faces massive challenges. Armed groups and criminal gangs continue to destabilize the countryside, controlling valuable mining areas and commercial towns where they extort illicit taxes and trade diamonds and gold. More than 2 million people, or half of the country's population, are experiencing hunger; close to 415,000 people remain internally displaced, and 467,000 refugees are only slowly trickling back. Thousands of people have been killed since the March 2013 military coup by the Seleka alliance and the violence that followed. CAR has endured persistent violence and instability for decades. Institutional weakness, poverty, and exclusion do much to explain the country's history of disorder. But by significant measure, it is also the deliberate maintenance of such weakness by a small political elite that is at the root of CAR's endemic kleptocracy, a source of political instability, and a driver of violence in the country. Whether ushered in by coup or popular election, successive governments have proved unable to bring about meaningful change in CAR, in part because of the pattern of appointing many of the same people - often relatives and personal friends - to senior government offices. In sum, successive rulers in CAR have maintained authority largely by centralizing control where possible, and extended personal rule by dispensing patronage in return for political support, in particular by personally appointing to senior posts those who served in previous governments or trusted family members. This system has fostered division between the capital and the countryside, incubated the grievances of armed groups, and above all, created significant incentives to hijack the state through violence. This occurs as groups have competed for control of the state to access resources and privileges, instead of to benefit Central Africans. This elite recycling is a key component of what we present here as the "Bangui Carousel" to reflect the many people who rotate through the country's regimes, time and again. This pattern of elite recycling, which is not per se unique to CAR, is more critical in this country than elsewhere because it is interwoven with a near-complete lack of governance. There are few effective state or local government institutions, making the role and impact of the recycled individual leaders that much more potent. Unfortunately, it has been the complete dismantling of institutional checks and balances, the weakening of political parties and civil society organizations, and the use of violence to suppress opposition that have been the hallmark of many of these leaders. This combination of elite recycling on top of a governmental and civic system with little to no capacity and that often reinforces its hold on power through violence defines the Bangui Carousel. It is at the heart of what passes for Central African governance. The recycling and maintenance of a small group of elites - regardless of leadership at the top - combined with the absence of effective state institutions is a fundamental feature of government in CAR. Understanding this matters most to address the structural roots of the country's persistent instability and eventually stop the Bangui Carousel from spinning, so that government can bring about the change the country desperately needs. The recycling of elites is present throughout much of CAR's modern history. To illustrate patterns of elite recycling, the report focuses on appointments to government ministries since early 2013. To gather information and supplement field research, the authors analyzed hundreds of presidential decrees, 15 of which provided information about government reorganizations ordered by former Presidents Francois Bozize, Michel Djotodia, and Catherine Samba-Panza. This was then used to develop an overview of the members in each government and their inter-connections. The report then focuses on some of the individuals who have participated in or benefited from the Bangui Carousel. Those in the report were selected for different reasons: their affiliations with different armed groups, their mere affiliation with past regimes, potential connections to corruption, or their family ties, each of which tends to undermine the possibility of good governance. The analysis has been done with the objective to understand how groups and individuals get access to the Bangui Carousel and how they often benefit from their political appointments at the expense of CAR's citizens or simply forfeit the government's ability to earn the public's trust. Reference to any particular individual in this report does not, in and of itself, mean the individual is responsible for the violence or corruption that typically flows from the Bangui Carousel system. Rather, we highlight these individuals simply to demonstrate how the elite recycling element of the Bangui Carousel has worked. Subsequent reports will examine the governance elements in more detail, as well as the role of foreign powers, such as France and Chad, in perpetuating the system. To disrupt, and eventually, stop the entirety of the Carousel, accountability and effective governance must exist in CAR. And in place of the Carousel, a system of principled governance and greater merit-based criteria for appointments responsive to the needs of ordinary Central Africans must be established. A way forward to accomplish this in part is addressed in a series of recommendations. Details: Washington, DC: Enough Project, 2016. 21p. Source: Internet Resource: Accessed September 3, 2016 at: http://www.enoughproject.org/reports/bangui-carousel-how-recycling-political-elites-reinforces-instability-and-violence-central-a Year: 2016 Country: Central African Republic URL: http://www.enoughproject.org/reports/bangui-carousel-how-recycling-political-elites-reinforces-instability-and-violence-central-a Shelf Number: 140150 Keywords: Gang ViolenceIllegal TradeMining IndustryPolitical CorruptionViolenceViolent Crime |
Author: International Peace Information Service (IPIS) Title: Third Party Review of the Bisie Security Report Summary: The so-called 'Bisie Mineral Stock' encompasses about 1,000 tons of cassiterite, extracted by artisanal miners at Bisie mines between November 2010 and June 2015. A number of bans on mining and mineral trade in this region, as well as some hesitance further down the supply chain to buy untagged minerals, meant that mineral production was not marketed, but stored in warehouses. From 2014 onwards, national and international stakeholders developed a stock clearance strategy for the sale of these minerals. As a reference for potential purchasers to contribute towards their decision-making process on reasonable due diligence and risk mitigation measures, Pact developed a Bisie Security Report that documents the security situation. Considering the complexity of the situation, the Conflict Free Sourcing Initiative (CFSI) contracted IPIS to review the report. IPIS agrees with the Bisie Security Report on the limited rebel involvement in Bisie mining since the start of the stock accumulation in 2012. However, Global Witness and IPIS reports from 2012 and 2013 present clear and detailed accounts of indirect illegal taxation by FARDC at the mines, which complement the Security Report's observations. Furthermore, IPIS' report discusses i.a. allegations of overestimation of the stock's registered volumes, a lack of transparency regarding financing, potential risks of creating a precedent for future stock evacuations, and local tensions in and around Bisie between Bisie's titleholder Alphamin Bisie Mining SA and artisanal miners' cooperatives. Details: Antwerpen: IPIS, 2016. 38p. Source: Internet Resource: Accessed October 15, 2016 at: http://ipisresearch.be/wp-content/uploads/2016/07/20160718_Bisie.pdf Year: 2016 Country: Congo, Democratic Republic URL: http://ipisresearch.be/wp-content/uploads/2016/07/20160718_Bisie.pdf Shelf Number: 140754 Keywords: Conflict MineralsIllegal MiningMining IndustryNatural Resources |
Author: Ewing, Jonathan Title: A Lot of Gold, A Lot of Trouble: A study of humanitarian impacts of the gold industry in DR Congo Summary: The Democratic Republic of the Congo (Congo-Kinshasa or DR Congo) is a country still recovering from a ruinous eight-year civil war that killed more than 5.4 million people. The value of untapped deposits of raw minerals is equivalent to the combined gross domestic product of Europe and the United States. Cobalt, diamonds, copper and, of course, gold is on the list along with highly sought after casserite, wolframite and coltan, which are used in consumer electronic products. Much of the extraction, or mining, is done in small operations known as artisanal, or small-scale mining, where the regulations that govern the activities are rarely enforced. Recently, more money is being invested into the extraction and refining of some of the ores found in the DR Congo, primarily copper, cobalt, and very recently, gold in Orientale Province. Mineral Invest International MII AB is a Swedish junior gold mining company surrounded by some of the largest international players in the extractive sector. Despite its diminutive size and its limited financial resources, the local community is waiting for Mineral Invest to increase its operation. The artisanal miners hope for jobs and the local community is waiting for development in the form of schools, hospitals and improved roads. According to Mineral Invest's website, the company has laudable plans for development projects in the area where it operates. Swedwatchs' and Diakonia's study shows that investment in post-conflict countries like DR Congo should require proper due diligence and a social licence to operate. So far, this has not been carried out. The DR Congo's Cadastre Minier has issued the licenses to SOKIMO, which is a partner in the joint venture with Mineral Invest. This joint venture features significant payments to the Democratic Republic of the Congo without specifying the recipient authority or entity within the state, which is a problem of transparency. The contractual agreement between Mineral Invest and the Congolese state-run mining company, SOKIMO, implies conflicts of interest and a lack of clarity. SOKIMO being both provider of mining licenses and at the same time having a financial interest implies a concentration of power that can create conflicts of interest and invite corruption. The allocation of payments to the state raises concerns as well as the agreements regarding development projects or, for example, accountability for environmental destruction. Finansinspektionen, the Swedish financial regulator, and Aktietorget, the Swedish market where Mineral Invest is publicly traded, have insufficient regulation and guidance for companies operating in difficult or post-conflict countries. Mineral Invest has not worked out an agreement, often called a social license to operate, with members of the local community where it operates. The company has contracted a unit of the Congolese military to provide security. This unit has been implicated in the ethnic slaughter of pygmies and cannibalism. The soldiers have also been accused of extorting gold from miners. Details: Stockholm: Diakonia; SwedWatch, 2012. 55p. Source: Internet Resource: Accessed October 17, 2016 at: http://www.diakonia.se/globalassets/documents/diakonia/publications/reports/2012-a-lot-of-gold-a-lot-of-trouble.pdf?_t_id=1B2M2Y8AsgTpgAmY7PhCfg%3d%3d&_t_q=a+lot+of+gold&_t_tags=language%3aen%2csiteid%3adfed4c1a-bbd8-450f-954a-02cff1abcc09&_t_ip=165.230.70.227&_t_hit.id=Diakonia_Web_Models_Media_GenericMedia/_4baca66d-47cc-4b18-83eb-3ca74a73271b&_t_hit.pos=1 Year: 2012 Country: Congo, Democratic Republic URL: http://www.diakonia.se/globalassets/documents/diakonia/publications/reports/2012-a-lot-of-gold-a-lot-of-trouble.pdf?_t_id=1B2M2Y8AsgTpgAmY7PhCfg%3d%3d&_t_q=a+lot+of+gold&_t_tags=language%3aen%2csiteid%3adfed4c1a-bbd8-450f-954 Shelf Number: 145097 Keywords: Conflict MineralsConflict MiningGold MiningIllegal MiningMining IndustryNatural Resources |
Author: Awazi, Alain Title: Trafficking of Gold and and Coltan in the Democratic Republic of Congo Summary: Following a dictatorship that lasted for 30 years, in May 1997, the late MOBUTU SESE SEKO was pushed out of power by Laurent Desire KABILA, with the support of The Alliance of Democratic Forces for the Liberation of Congo-Zaire ("AFDL") rebels and neighboring countries following a war that caused several hundred thousand deaths. Zaire became the "Democratic Republic of the Congo" (DRC), beginning a long period of instability dominated by armed conflicts from various rival groups, which profoundly affected the economy. It is unanimously agreed that economic motives, directly related to exploitation and traffic of mineral in East of the country, have been a substantial cause of those conflicts. The purpose of this short descriptive document is to present relevant background information about the Democratic Republic of the Congo ("DRC" or "DR Congo") and the criminal or illegal exploitation of coltan and gold. The document consists of eight parts: The introductory first part is followed by a second part that includes a background on the DR Congo; the third part is a description of the socio-political and economic situation of the country; the fourth part includes relevant information regarding crimes and human rights violations in DRC; the fifth part is a description of trafficking in Kivu; the sixth part describes the situation of law enforcement around the exploitation; the seventh covers current and active mechanism for regulating the extraction and production of minerals and the eighth section presents some conclusions. Details: Bogotá, Colombia: Vortex Foundation, 2016. 17p. Source: Internet Resource: The Global Observatory of Transnational Criminal Networks: Research Paper No. 3. VORTEX Working Papers No. 14: Accessed January 26, 2017 at: http://globalinitiative.net/wp-content/uploads/2016/12/522e46_f2a86e46cc1040b78d9867291bd87bca.pdf Year: 2016 Country: Congo, Democratic Republic URL: http://globalinitiative.net/wp-content/uploads/2016/12/522e46_f2a86e46cc1040b78d9867291bd87bca.pdf Shelf Number: 145434 Keywords: Conflict MineralsIllegal MiningMining IndustryNatural ResourcesTrafficking in Natural Resources |
Author: Lopez Guevara, Estefania Title: Illegal Mining and Trafficking of Coltan in the Amazon Border Region Summary: The illegal mining of coltan takes place not only in Colombia, but also in the border region between Colombia, Venezuela and Brazil. Unlicensed miners, supported by guerrillas and hidden by authorities from Colombia, Venezuela and Brazil, exploit the mines and coerce indigenous peoples into mining labors in the Amazonas where it is presumed that there are deposits of columbite and tantalite inside native's reserves or natural parks. Bearing this in mind, the purpose of this document is to describe the illegal mining and trafficking of coltan in the Amazon border region. The information is structured around the following topics and sections: (i) Key criminal agents relevant in trafficking of coltan, (ii) key criminal hotspots related to trafficking of coltan, (iii) and a description of recent relevant cases. Details: Bogota, Colombia: Vortex Foundation, 2016. 14p. Source: Internet Resource: Internet Resource: The Global Observatory of Transnational Criminal Networks: Research Paper No. 2. VORTEX Working Papers: Accessed January 26, 2017: http://globalinitiative.net/wp-content/uploads/2016/12/522e46_bdea3889f6994097adeb2cab13f92ab9.pdf Year: 2016 Country: South America URL: http://globalinitiative.net/wp-content/uploads/2016/12/522e46_bdea3889f6994097adeb2cab13f92ab9.pdf Shelf Number: 144868 Keywords: Conflict Minerals Illegal Mining Mining Industry Natural Resources Trafficking in Natural Resources |
Author: Lopez Guevara, Estefania Title: Coltan Trafficking Network in the Democratic Republic of Congo Summary: Trafficking of Coltan is the main economic, social and political source of instability in The Democratic Republic of Congo (DRC) and surrounding countries, including Rwanda and Burundi. The illegal market of the ore has roots in transnational and domestic corruption, financial support to armed groups, violation of workers' rights, multinationals collusion, instability of international prices minerals and lack of diversification. Armed groups earn hundreds of millions of dollars every year by trading coltan that is smuggled out of Congo throughout neighboring countries and then shipped to smelters for refinement. Once the coltan is processed, it is difficult to trace its origin, so it easily makes its way all over the world, mainly, in electronic products. The sophisticated trafficking system of coltan is based on elite networks that operate mainly in DRC, linked to transnational organized crime and also to transnational lawful agents, such as corporations. Several lawful and unlawful agents conform each network. In fact, it has been reported that there is - competition between corrupt generals and rebels. In the case of the militia groups profits go on buying arms on the black market. With the generals, some [profits] go on arms, but lots of it goes on luxury things like villas. The profits are funding the war for everyone - both sides. It's a self-supporting war. (France 24, 2008) This document is the analysis of a criminal network traffics coltan, diamonds, arms, gold, and other minerals and commodities across the DRC and surrounding countries. The document has five parts: The first part is an introduction; the second part is a description of the methodology and the concepts related to Social Network Analysis, which is the methodological approach herein applied; the third part is a presentation of a criminal network defined as a "coltan trafficking and elite network in DRC", as well as the sources gathered and processed in this analysis; the fourth part is a presentation of the characteristics of the criminal structure, which includes a description of the types of nodes/agents, the interactions established, and the nodes/agents concentrating direct interactions and the capacity to arbitrate resources. The fifth part includes conclusions related to the characteristics the analyzed network. Details: Bogotá, Colombia: Vortex Foundation, 2016. 39p. Source: Internet Resource: The Global Observatory of Transnational Criminal Networks: Research Paper No. 19. VORTEX Working Papers no. 14: Accessed January 27, 2017 at: http://globalinitiative.net/wp-content/uploads/2016/12/522e46_f0896eb2340e4941bdd0de3f52e3bc65.pdf Year: 2016 Country: Congo, Democratic Republic URL: http://globalinitiative.net/wp-content/uploads/2016/12/522e46_f0896eb2340e4941bdd0de3f52e3bc65.pdf Shelf Number: 145815 Keywords: Conflict MineralsCriminal NetworksIllegal MiningMining IndustryNatural ResourcesOrganized CrimeTrafficking in Natural Resources |
Author: Lopez Guevara, Estefania Title: Trafficking of Coltan in the Democratic Republic of Congo Summary: The subjects analyzed in the document are the commerce, fraud, and contraband, as well as mechanisms and agents at internal and external levels intervening in the trafficking of coltan. This document also examines the (i) key criminal agents and other activities relating to the traffic of the ore, (ii) hotspots and (iii) recent cases covered by media. Details: Bogota, Colombia: Vortex, 2016. 27p. Source: Internet Resource: Research Paper No. 4.: Accessed February 24, 2017 at: http://globalinitiative.net/wp-content/uploads/2016/12/522e46_bee14894ac2a4354a2ae49710c88bdd0.pdf Year: 2016 Country: Congo, Democratic Republic URL: http://globalinitiative.net/wp-content/uploads/2016/12/522e46_bee14894ac2a4354a2ae49710c88bdd0.pdf Shelf Number: 141218 Keywords: Conflict MineralsCriminal NetworksIllegal MiningMining IndustryNatural ResourcesOrganized CrimeTrafficking in Natural Resources |
Author: Byrd, William Title: Industrial-Scale Looting of Afghanistan's Mineral Resources Summary: Afghanistan has been plagued by large-scale, open looting of mineral resources, involving significant mining operations, bulk transport of minerals along main roads, and crossing the border at just a few, government-controlled points. This mineral looting, amounting to hundreds of millions of dollars per year, involves widespread corruption, entrenches warlords and their networks, and fuels both local conflicts and the wider insurgency in Afghanistan. The government needs to begin to get a better handle on resource exploitation and to collect more substantial royalties and taxes from ongoing mining activities. Summary Afghanistan is well endowed with underground resources, but hundreds of millions of dollars' worth of minerals are being extracted yearly, unaccompanied by payment of applicable royalties and taxes to the state. The bulk of this industrial-scale mineral looting - which has burgeoned over the past decade - has occurred not through surreptitious smuggling but openly, in significant mining operations, with visible transport of minerals on large trucks along major highways and across the Afghan border at a few government-controlled points. The prior political penetration of power holders and their networks in government, who became increasingly entrenched over time, explains this pattern of looting, which is engaged in with impunity owing to massive corruption of government agencies charged with overseeing the extractives sector, main highways, and borders. The current political and security climate favors continued and even further increased looting, which strengthens and further entrenches warlords, corrupts the government, partly funds the Taliban and reportedly ISIS, and fuels both local conflicts and the wider insurgency. Although the situation is dire and no answers are easy, near-term recommendations that could begin to make a dent in the problem include halting the issuance of new mining contracts, enforcing existing contracts to ensure taxes and royalties are paid, monitoring the transport of minerals on main roads and across borders, and imposing an emergency levy on mineral exports. The recent appointment of a new minister of mines is a good step forward, but a well-functioning, effective ministry management team will be key to success. Over the medium term, a political consensus is needed that part of the proceeds of mineral exploitation goes to the government budget and that ownership arrangements of mining companies are transparent. In addition, a system of monitoring flows of some Afghan minerals outside the country- as conflict minerals - should be considered. Details: Washington, DC: United States Institute of Peace, 2017. 20p. Source: Internet Resource: Accessed June 5, 2017 at: https://www.usip.org/sites/default/files/2017-05/sr404-industrial-scale-looting-of-afghanistan-s-mineral-resources.pdf Year: 2017 Country: Afghanistan URL: https://www.usip.org/sites/default/files/2017-05/sr404-industrial-scale-looting-of-afghanistan-s-mineral-resources.pdf Shelf Number: 145931 Keywords: LootingMineral ResourcesMineral TheftMining IndustryNational Heritage SitesNatural ResourcesProperty Theft |
Author: Partnership Africa Canada Title: Fugitives and Phantoms: The Diamond Exporters of Brazil Summary: Brazil's diamond sector is in crisis. Three of the country's largest diamond producers and exporters have been arrested and are now facing an array of criminal charges. A joint task force of Brazil's Federal Police, Federal Public Prosecutor's Office and Internal Revenue Service have alleged that the three are behind a mega scheme for smuggling diamonds using fraudulent Kimberley Certificates. According to police, the smuggled diamonds come partly from domestic garimpeiro production, partly from Indian reserves where diamond mining is outlawed, and partly from Africa. The head of Brazil's National Department of Mineral Production (DNPM) in Minas Gerais - responsible for issuing Kimberley Certificates - has also been arrested. He too, is facing charges, and has been fired from his post as Minas Gerais director. Diamond exports have been suspended while Brazil's Federal Police investigate the fraudulent export of nearly US$3 million dollars worth of diamonds by Hassan Ahmad, owner of a Belo Horizonte firm called Primeira Gema. This fraud, involving Brazil's Kimberley Certificate 64, was first uncovered by Partnership Africa Canada (PAC) in May 2005. Within the National Department of Mineral Production (DNPM), a special committee has been charged with examining the circumstances of Certificate 64 and making a report on the fraud by the middle of March 2006. The US$ 3 million Certificate 64 fraud, however, is but the tip of the iceberg. Further investigation by PAC has uncovered a wealth of evidence proving that for diamond exports from Brazil, fraud is not the exception, but the norm. In this report, PAC reveals that the same never-worked mining claims listed as the source of the diamonds in the US$3 million Certificate 64 scam are also given as the front for the diamonds in other fraudulent exports of nearly equal value. Furthermore, according to the DNPM's own statistics, the garimpeiro who owns these claims is Brazil's 6th largest diamond producer, responsible for 8.14% of Brazil's production in 2004. PAC's research reveals that this miner - who never once in his life touched a shovel - has been dead since 2001. In other words, Brazil's 6th largest diamond producer is a ghost. Brazil's fourth largest diamond producer, PAC also reveals in this report, is an indigent vagrant from Sao Paulo. In 2004, this phantom drifter produced nearly US$3.5 million worth of diamonds, 16.37% of Brazilian production, all of it exported with government issued Kimberley Certificates, none of them worth the paper they were printed on. Brazil's second largest diamond producer is a company named S.L. Mineradora, Ltda. Its owner, Paulo Traven of Juina, Mato Grosso, recently surrendered to Brazil's Federal Police, after spending a week as a fugitive on the run. After spending five days in jail, he was released, facing a variety of charges related to the illegal export of diamonds. On the production side, PAC reveals that some 25% of Brazil's diamond production by value came from fraudulent sources, and left the country with fraudulent Kimberley Certificates. Another 19% came from a source - Paulo Traven - who is now under criminal investigation. According to the production statistics, then, nearly 44% of Brazil's diamond production came from fraudulent or deeply suspect sources. The export statistics tell a similar tale. In this report, PAC reveals that some 53% of Brazil's exports by value in 2004 were the work of one man with a history in the African diamond trade, Hassan Ahmad. PAC demonstrates that Ahmad was almost certainly the perpetrator of the fraud involving Certificate 64. He, too, recently surrendered to Federal Police after spending a week on the run. He, too, is facing charges. Given this, there is good reason to suspect the legitimacy of Ahmad's other diamond exports. The production statistics, the export numbers, and PAC's research all point to one conclusion: 50% of Brazil's diamond production comes from fraudulent or highly suspect sources; one in two Brazilian Kimberley Certificates is probably false. Half the country's diamond exports are the work of fraudsters, fugitives and phantoms. In this report, PAC makes a number of recommendations for short, medium, and long-term reform of Brazil's system of internal diamond controls. Details: Ottawa: Partnership Africa Canada, 2006. 20p. Source: Internet Resource: Occasional Paper #3: Accessed August 5, 2017 at: http://www.shawnblore.com/Reports/FugitivesPhantoms.pdf Year: 2006 Country: Brazil URL: http://www.shawnblore.com/Reports/FugitivesPhantoms.pdf Shelf Number: 146745 Keywords: Conflict DiamondsIllegal TradeMining IndustrySmuggling |
Author: Global Witness Title: Under-Mined: How corruption, mismanagement and political influence is undermining investment in Uganda's mining sector and threatening people and environment Summary: Uganda is rich in natural resource wealth such as gold, tin and phosphate that could create jobs and support the country's developing economy by generating tax revenues. However, our 18 month long investigation has exposed endemic corruption and mismanagement in the country's fledgling mining sector that means crooked officials, and international investors are profiting at the expense of Uganda's people, environment and economy. Key findings of the investigation include: Miners are working in dangerous, largely unregulated conditions - with children exposed to toxic chemicals on a daily basis Almost half the world's remaining mountain gorillas are at risk as mining threatens Bwindi and Rwenzori national parks, part of the famous Virunga ecosystem, and also risks the economically critical tourism industry which depends on the country's natural beauty and wildlife The country is deprived of tax revenues that could be spent on schools, hospitals and roads Minerals from the Democratic Republic of Congo and South Sudan - that might be funding conflict and human rights abuses - pass through Uganda on their way to international markets Details: London: Global Witness, 2017. 87p. Source: Internet Resource: Accessed May 21, 2018 at: https://www.globalwitness.org/en/campaigns/oil-gas-and-mining/uganda-undermined/ Year: 2017 Country: Uganda URL: https://www.globalwitness.org/en/campaigns/oil-gas-and-mining/uganda-undermined/ Shelf Number: 150319 Keywords: Environmental CrimesMineralsMining IndustryNatural ResourcesOffenses Against the EnvironmentalPolitical Corruption |
Author: Hunter, Marcena Title: Pulling at golden webs: Combating criminal consortia in the African artisanal and small-scale gold mining and trade sector Summary: The development potential of the African artisanal and small-scale gold mining (ASGM) sector is undermined by criminal consortia across the continent who exploit it for economic and political ends at the expense of vulnerable populations. Yet, much of the discourse around ASGM in Africa has not directly addressed criminality, instead being framed within development or conflict frameworks. In an effort to fill this gap, this report seeks to unpack how criminal consortia manipulate ASGM and associated gold flows to secure illicit rents and capture the sector. The findings highlight the need for nuance, especially regarding the role of informal and traditional actors in the sector. Through a more holistic understanding of the challenge, policymakers will better be able to identify and combat criminal consortia in ASGM. Key points -- Criminal consortia - defined as the intersection of politics, business and crime, controlling and exploiting markets both legitimate and illicit for their own ends - are intimately involved in and exercise powerful influence over the African ASGM sector. - The factors and tactics that facilitate exploitation and criminal capture of the ASGM sector are multifaceted and complex, comprising both push and pull factors. - Informed, nuanced understandings of and responses to ASGM and criminal exploitation, which build on lessons learnt, are necessary to effectively navigate the tension between simultaneously combating criminal consortia and maximising the sector's development potential. Details: s.l.: ENACT, 2019. 44p. Source: Internet Resource: Research Paper: Accessed May 8, 2019 at: https://globalinitiative.net/wp-content/uploads/2019/04/ENACT-Research-Paper-008-Gold-Mining-24Apr1130-WEB.pdf Year: 2019 Country: Africa URL: https://globalinitiative.net/wp-content/uploads/2019/04/ENACT-Research-Paper-008-Gold-Mining-24Apr1130-WEB.pdf Shelf Number: 155691 Keywords: Artisanal Mines Criminal Networks Gold Mines Mining IndustryNatural Resources |