Mining Firm Fined US$100k for Under-Declaring Work...

Mining Firm Fined US$100k for Under-Declaring Workers

By Nyashadzashe Ndoro - Chief Reporter

Jiangxi Risheng Private Limited, a Chinese-owned mining company has been convicted and fined for under-declaring its employee numbers to the National Social Security Authority (NSSA), resulting in a prejudice to the state of nearly US$100,000.

Meng Quangyuan, representing Jiangxi Risheng Pvt Ltd, located at Detroop Mine in Chikuti, Mashonaland West, appeared at the Chinhoyi Magistrate Court. The company faced charges of violating provisions of the NSSA Act [Chapter 17:04].

The case originated from a tip-off received by the Zimbabwe Anti-Corruption Commission (ZACC), alleging that the mining company was declaring only 61 employees to NSSA despite a significantly higher actual workforce.

Joint investigations conducted by ZACC and NSSA revealed that Jiangxi Risheng Pvt Limited employed a total of 273 workers, comprising 190 permanent employees and 83 contract workers. This discrepancy led to Meng’s arrest.

Further investigations established that the company had failed to remit mandatory contributions for both the Pension and Other Benefits Scheme and the Accident Prevention and Workers Compensation Scheme. The outstanding amount totaled US$96,914.42.

Meng pleaded guilty to the charge. The court imposed a fine of US$200.00 on the company and ordered the payment of the outstanding contributions and premiums, amounting to US$96,919.42, within 30 days.