Weeks ago, the Competition and Consumer Authority (CCA) approved the transaction, despite the union’s attempts to block the deal on the grounds that it was contrary to public interest.
“We are filing our appeal with the Competition Tribunal next week,” BMWU executive secretary, Kitso Phiri told BusinessWeek. “We have written to the Minister of Trade and Industry requesting his direction to confirm whether the authority was acting under his instruction. He has not responded. “We are awaiting his response before filing.”
Phiri said that it is clear from the law that where a matter pertaining to huge transactions such as the sale of a mine is brought before the CCA and its issues are complex such as those presented in the Mupane case, direction must be sought from the minister. He explained that under the law, the minister is required to consider the merits of public interest objection and give direction to the authority to inform its decisions.
“Where a merger raises paramount issues of public interest, the minister may upon being notified of the merger by the authority, provide comments in writing to the authority within a reasonable period and the authority shall consider such comments in making the decision. “That is what we want to ascertain before launching our appeal,” Phiri said.
The union does not want the sale of the mine to go through because it accuses Galane Gold of corporate violations in relation to the health of its employees. Additionally, the BMWU wants to know who (between the parties in the transaction) would be held liable for the cost implications of employees who will in future be deemed to have contracted silicosis as a result of being exposed to dust at the mine.
The union previously complained that Mupane did not adhere to the required safety standards.
