A fresh gold-smuggling scandal has erupted in Kwekwe, President Emmerson Mnangagwa’s hometown, with evidence pointing to a sophisticated network that allegedly siphoned gold worth over US$10 million from Zimbabwe’s gold belt under the guise of legitimate mining operations.
Documents and insider accounts reveal that at least 120 kilograms of gold vanished from the Midlands Province over the past two years through a web of companies linked to Chinese and Australian nationals, echoing patterns seen in the notorious Gold Mafia exposé.
The smuggling scheme reportedly operated through Podhill (Pvt) Ltd, a mining company jointly owned by Chinese businessman Zuo Wenzhong and Australian partner Moham Karim.
Official figures obtained from mining authorities show that Podhill declared less than 4kg of gold for 2024 — yet internal mine records indicate the company processed more than 3,000kg of ore every month.
Investigators say much of the gold was smelted off the books and sold directly to private buyers abroad.
In December 2024, Podhill’s carbon-in-pulp (CIP) processing plant produced around 1.5kg per batch, with cash payments of up to US$16,000 made per transaction, often handled by a middleman identified only as Talib. However, only 300 grams of that production reached Fidelity Printers and Refiners, the country’s official gold-buying entity.
The mine’s heap leaching plant also ran massive unrecorded operations — processing thousands of kilograms of ore in May and June 2024, generating roughly US$117,000 per smelt run, none of which was declared to the Reserve Bank of Zimbabwe (RBZ) or the Zimbabwe Revenue Authority (ZIMRA).
Sources close to the investigation describe a “ghost refinery network” run from Kwekwe and Silobela, where gold was secretly smelted and couriered out of the country through private air cargo and cross-border couriers.
At the heart of the network is Mr. Zuo Wenzhong, who allegedly controls 95% of Podhill’s shares through Generous Resources (Pvt) Ltd. Working with Mohamad Taleb, He Huayang (Podhill general manager), and Duan Yuanbin (director), Zuo is accused of masterminding a smuggling chain that exported smelted gold to Dubai and China.
An internal report seen by ZiMetro News details how Zuo instructed employees to “smelt quietly” and move gold “without record.” Attached ledgers show 16,854 grams of gold sold privately between December 2023 and May 2024, followed by another 34kg by year’s end.
By early 2025, the syndicate’s undeclared sales had surpassed 120kg, worth more than US$10 million at global market prices.
Investigators have zeroed in on Podhill’s Ourstrike Mine, where industrial-scale smelting and elution plants allegedly served as the base for the illicit operation.
Financial spreadsheets, photographs, and transaction records now form part of an ongoing Zimbabwe Republic Police (ZRP) probe, led by the Minerals and Border Control Unit. The investigation focuses on financial flows through Generous Resources, Milhub, and Podhill — all companies under Zuo’s control.
A source close to the probe described the operation as “a corporate-level criminal enterprise disguised as formal mining.”
“This wasn’t a small backyard operation. It was a coordinated export network using company paperwork, local intermediaries, and off-record smelting,” the source said.
Government Yet to Respond
Authorities have yet to issue an official statement regarding the revelations. However, sources within the mining sector say the Ministry of Mines and Mining Development has been briefed and is expected to take action once the police finalize their findings.
This latest scandal threatens to reignite questions about Zimbabwe’s gold sector oversight and the government’s ability to curb industrial-scale corruption that drains millions from national coffers annually.
The revelations mirror last year’s Gold Mafia scandal, which exposed how politically connected syndicates moved millions of dollars’ worth of gold through international laundering networks.
Analysts warn that unless authorities act decisively, Zimbabwe risks entrenching a parallel gold economy—one that benefits a few powerful insiders at the expense of national development.
“This is not just theft,” said a Harare-based mining analyst. “It’s a systemic bleed that robs the country of revenue, weakens institutions, and deepens the shadow economy.”