AN in-depth investigation has uncovered a complex network of fraud, corruption, and manipulation at Fools Mine, a gold mine situated in the Hope Fountain area, about 18 kilometres from Bulawayo along the Matopos highway. At the heart of this scandal is the self-appointed director, Mohamed Daka.
Between June 21 and 23, 2024, this publication conducted a due diligence exercise focusing on the mine’s operations, ownership, and the controversial actions of Daka. Information was gathered through interviews with officials from the Ministry of Mines and Mining Development, the Environmental Management Agency (EMA), ZANU PF, former Fools Mine employees, neighbours, and independent artisan miners.
Fools Mine is known for its rich fine gold deposits, primarily extracted through the elution process. This method is capital-intensive, requiring significant investment in proper plant and equipment to maximise ore extraction and tonnage output.
Originally owned by the late former Chinese Ambassador to Zimbabwe, Shuixing Xu, and prominent Harare-based businessman, Mr Wang, the mine’s ownership became contentious following the ambassador’s death. His son, Xiaofei Xu, took over operations but faced manipulation and threats from Daka, who was part of the mine’s management. Daka allegedly coerced Xiaofei into making unexplained payments and claimed to be affiliated with the CIO. Disputes escalated, leading to Xiaofei’s deportation from Zimbabwe.
Daka is strongly believed to have been behind the deportation of Xiaofei.
Upon Xiaofei Xu’s departure, his lawyer, Mr Marshall Rubvuwe, was given power of attorney to manage the mine. However, Daka began claiming full ownership, citing debts owed to him by the mine. He lied that he was a shareholder with his shareholding at 52%. Using his fake shareholding power, he went on to grab and sell functional machinery, including an excavator valued at USD 281 750, a VW Amarok, and two Honda Fits.
Daka was arrested and taken to court on July 17, 2024, for these actions.
Daka’s fraudulent activities extended to manipulating the Indigenous law to produce fake documents to claim ownership, resulting in a court battle with Rubvuwe. Despite hiring prominent lawyers and attempting to bribe court officials, Daka’s efforts were unsuccessful. Rubvuwe’s departure to Namibia before the case’s conclusion gave Daka a temporary advantage.
Daka has been accused of bribing government officials and misrepresenting his connections to influential figures within ZANU PF and the government. He recently posted a picture with controversial businessman Wicknell Chivhyo, further fuelling suspicions.
In a desperate bid to seize control of the mine, Daka partnered with Paul Chakangaesu, who reportedly operates under multiple aliases.
Chakangaesu’s other names are Paul Gono, Paul Samson and/or Paul Chisvino.
Together, they forged a fake power of attorney, purportedly signed by Xiaofei Xu in April 2024. The document was presented to the Chinese Embassy for verification, prompting an investigation into its authenticity.
Authorities are now investigating the fraudulent activities and ownership claims at Fools Mine.
