Three months after President Emmerson Mnangagwa removed Winston Chitando as Minister of Mines and Mining Development, the ministry has come under investigation by the Zimbabwe Anti-Corruption Commission (ZACC) over the controversial cancellation of a coal mining concession linked to Sengwa Colliery.
The decision to cancel Special Grant No. 849 at Sengwa Colliery was formally issued in August 2024, during Chitando’s tenure with records indicating that, Rio-Zimbabwe, the grantee was officially notified of the cancellation on 15 August 2024
In a letter directed to the Mines Ministry Secretary Pfungwa Kunaka, dated 23 February 2026, ZACC requested extensive documentation from the Ministry of Mines regarding the cancellation of Special Grant No. 849, a coal concession associated with Sengwa Colliery.
According to the letter seen by Nehanda Radio, the anti-graft body said it was investigating the “circumstances surrounding the cancellation” of the mining title and ordered ministry officials to submit certified records within seven working days.
Among the documents demanded are the complete file relating to the grant, notices of intention to cancel issued to the grantee, cancellation letters and the legal authority under which they were issued.
ZACC also requested minutes and resolutions of the Mining Affairs Board relating to the concession, legal opinions on the legality of the cancellation, and records of any meetings between ministry officials and interested parties regarding the grant.
The commission further demanded documents relating to the subsequent allocation of the mining location to another entity.
Kunaka declined to comment on the matter, stating that any remarks could potentially jeopardize the ongoing investigation.
The development comes as the Sengwa concession has become central to a broader dispute involving mining group RioZim Limited, which has faced allegations of financial misconduct and asset irregularities raised by the Zimbabwe Diamond and Allied Minerals Workers’ Union (ZDAMWU).
In a criminal complaint filed with ZACC in September 2025, ZDAMWU accused RioZim of fraud, tax evasion and misrepresentation of key financial matters, including the handling of the Sengwa Colliery grant.
The union alleged that the Ministry of Mines notified RioZim on 15 August 2024 that Special Grant No. 849 had been cancelled. However, it claimed that three months later, on 11 November 2024, coal claims under the same grant were disposed of despite the cancellation.
ZDAMWU argued that the disposal could have misled contracting parties and that the proceeds were not reflected in the company’s financial records.
The complaint also raised allegations that RioZim diverted trading proceeds through accounts belonging to Rio Gold (Private) Limited after the Zimbabwe Revenue Authority garnished the company’s bank accounts.
Union leaders claimed this arrangement may have concealed funds from tax authorities.
The Sengwa issue was one of several matters cited by the union in its submissions to ZACC, which also referenced the disposal of RioZim’s One Step Mine and the alleged use of proxy entities to move funds through loan agreements not fully disclosed in company records.
Governance concerns within the company deepened after the death of former chairman Harpal Randhawa in 2023, which analysts say left a leadership vacuum amid ongoing disputes over asset disposals and financial transparency.
The investigation into the Sengwa grant now places fresh focus on the Mines Ministry itself.
In December 2025, Mnangagwa removed Chitando from cabinet and appointed Polite Kambamura as the new Minister of Mines and Mining Development.
However, the ministry’s permanent secretary, Pfungwa Kunaka, has remained in office.
ZACC has not yet indicated whether any officials or companies are suspects in the probe.
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