Article: Zambian Government Refutes Cobalt Scam Report

The Zambian government has denied reports that it undervalued its proceeds from cobalt sales and deliberately attempted to cover up the scam involving 150 million U.S. dollars.

The New York Times last Friday published a story quoting a draft audit report as saying that the scam involves irregularities in the sale of cobalt and concentrates by the state-owned Zambia Consolidated Copper Mines (ZCCM).

The report claimed that the Zambian government cover up part of the proceeds in order to qualify for the Highly Indebted Countries (HIBC) initiatives, for which Zambia had to show that it was not making enough money due to a drastic fall in the prices of cobalt.

Government spokesman Newstead ...

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