Zambian Tax Authority Clears Gemfields

RAPAPORT... The Zambian Revenue Authority (ZRA) has cleared Gemfields' subsidiary Kagem Mining of all tax-evasion allegations following an investigation at itsemerald mine earlier this year. The ZRA has advised Kagem that all matters under scrutinyhave been "suitably addressed," Gemfields said last week. The tax authorityfound no instances of wrongdoing or late payment by either party, the minernoted. During an unannounced visit in August, the ZRA raided theminer's Zambian asset, and served two search warrants on Kagem Mining andLimpopo Polygraphs, a South African company that does periodic testing at theKagem emerald mine. During the visit, the ZRA confiscated documents and filesKagem allegedly used to evade tax payments. The ZRA has closed the investigation without levying anypenalties against either Kagem or Limpopo, Gemfields added. Image: The Kagem emerald mine. (Gemfields)