Management at state-owned West Coast diamond miner Alexkor has failed to take effective steps to prevent irregular and wasteful spending over the past year and has taken no disciplinary action against officials involved, audit firm Nexia SAB&T says in its latest annual report. The firm referred to an amount of R6.9m in irregular spending and R199,937 in wasteful spending the state-owned miner had permitted in contravention of the Public Finance Management Act. Alexkor is frequently criticised as an example of the pitfalls inherent in state involvement in mining. Acting CEO Vimal Bansi, who took over on March 1, is its fourth CEO in 10 years. Chief financial officer Ntombizodwa Mbele recently left after five months in the position. Apart from continuous management changes, Alexkor’s finances are strained and it needs to repair R244m of legacy environmental damage. Alexkor remains in a standoff with its local community partners over disbursement of funds. Alexkor has a 51% stake in a ...
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