The Bribery Scandal: Tip of the Responsible Mining Iceberg
Gary Roskin
Roskin Gem News Report
It is a common conversation amongst those in the gem mining field, that working with governments, when it comes to acquiring gemstone mining licenses, leases, etc., is necessary, frustrating, and costly. Even for those trying to make sure they are following the governmental rules and regulations, there are no guarantees that the people you are working with inside the government are being helpful, honest, or in this case, ethical.
We hear this conversation often enough because we are a news outlet. We do not report on these conversations, because we have no way of knowing if these conversations can be fact checked.
But now here is an actual account, leading to the arrest and conviction of a government official, requiring bribes in order for miners to acquire a legal claim and mine for gems.
Gemfields and the Challenges of Mining in Madagascar
As reported in the Epoch Times here, an undercover NCA officer, known only as Charles, was sent to the next meeting with Andrianarisoa and Tabuteau and it was agreed he would be a “firewall” for the illicit payments, which were to be paid in cash, gold, or gems.
Charles covertly recorded every meeting and eventually, on Aug. 10, 2023, NCA officers swooped in on a hotel near Victoria Station in London as he handed over £10,000 “goodwill payments” to Andrianarisoa and Tabuteau.
President’s Chief of Staff Convicted
The president of Madagascar’s former chief of staff has been convicted of bribery offences and faces a prison sentence after she demanded money and shares in exchange for securing a lucrative emerald mining deal for a British company, Gemfields.
Romy Andrianarisoa, 47, was arrested along with a French national, Philippe Tabuteau, 54, in August 2023 after attending a meeting in London set up by an undercover National Crime Agency (NCA) officer.
The following month Tabuteau pleaded guilty to requesting, agreeing to receive, or accepting a bribe, but Andrianarisoa denied the charge but was convicted on Tuesday after a trial at Southwark Crown Court.
After her arrest she was suspended by her boss, Andry Rajoelina, and replaced as chief of staff, and at a hearing last year—where Andrianarisoa was refused bail—the court heard Mr. Rajoelina had “hung her out to dry.”
Her barrister, Graham Blower, told that hearing, “The Madagascar government has ‘washed its hands’ of her and the president has made a statement saying everybody needs to follow the values of the republic and he supports the UK authorities.”
Reuters Reports the Connection
According to the report, Andrianarisoa was accused of seeking substantial payments from Gemfields between 2021 and 2023.
She came into contact with Gemfields CEO Sean Gilbertson in 2021 and offered to help the company expand its business into Madagascar.
Gemfields, which owns the Faberge jewellery brand, became suspicious and approached Britain’s National Crime Agency (NCA), which deployed an undercover officer posing as a consultant negotiating on Gemfields’ behalf.
During conversations with the purported consultant, known as “Charles” to protect his identity, Andrianarisoa and her associate, Philippe Tabuteau, sought around 270,000 Swiss francs ($310,000) between them.
The pair also wanted a 5% stake in a Gemfields company mining in Madagascar which, based on valuations of similar operations in Mozambique and Zambia, would be worth around $4 million.
In her first meeting with “Charles”, Andrianarisoa spoke about her desire to support Madagascar’s development while also “earning my life”.
Prosecutors said Andrianarisoa and Tabuteau were both offered payments by “Charles” in rubies, to make it easier to hide the corrupt payments.
They were arrested in a London hotel last year and each charged with one count of bribery, after which Rajoelina sacked Andrianarisoa with immediate effect.
Tabuteau pleaded guilty last year, but Andrianarisoa pleaded not guilty and stood trial this month at Southwark Crown Court.
Andrianarisoa, who had worked for energy giant BP (BP.L), opens new tab and Chinese state oil major CNOOC (0883.HK), opens new tab before becoming an adviser to Rajoelina, said in evidence that she wanted Gemfields to get a mining license for the benefit of Madagascar.
Making the Effort to do Everything Right
We reached out to Sean Gilbertson, CEO of Gemfields for comment. Unfortunately, it is just a bit too soon for them to be able to make any comments on this case.
But we can tell from our conversation with Gilbertson and others, as we have been told many times over, it ain’t easy being a “do it by the book” mining company in the gem industry.
To read more on this bribery scandal, here is the link to the Epoch Times, the Sputnik News / Africa, and Reuters.
