Gemcanton Mining Services Limited has refuted media claims that it deported its executive of Russian origin saying it only terminated the contract.
Media reports indicate that a Manager at Gemcanton Mines, the second largest emerald mine located in Kitwe on the Copperbelt has been deported over the ongoing shareholding misunderstandings.
Sergey Kuznetsov who is the manager in charge of the strong room where the emeralds are kept was allegedly deported on Sunday morning.
But Gemcanton Spokesperson Davy Phiri in a statement obtained by Money FM News says the company terminated the contract for Mr. Kuznetsov and that correct procedure was followed in terminating his contract.
Mr. Phiri says among the reasons the company terminated his contract include the failure to account for the actioned emerald for last year.
Mr. Phiri narrates that during the last auction held in Lusaka on 15th December, 2018, Gemcanton lost 4, 869 grammes of Gemstone valued at US$317, 095 which Mr. Kuznetsov was responsible for.
“When questioned by the Chief Executive Officer in a management meeting on Monday 7th January 2019 how the loss occurred, they failed to account not only for the loss but also give a plausible explanation as to what transpired,” he said.
He adds that during the August 2018 auction, Mr. Kuznetsov underpriced a certain parcel that was sent to a customer and the company lost US$13, 485 as a result of that action.
Mr. Phiri says the action taken by the company to terminate the contract of Mr. Kuznetsov is in the best interest of the company whose very existence is threatened if such subversive elements are allowed to continue operating at the company.
“The company employs more than 1, 000 Zambians and it supports over 1, 000 Zambian suppliers. This is what the action was taken, it is in the best interest of the company,” said Mr. Phiri.
Meanwhile, the Emerald and Semi-Precious Stones Association of Zambia has called for responsible media reporting on emerald sector as this has potential to affect investment.
Association President Victor Kalesha says the executive in question was not deported but that the company terminated his contract and the normal procedure was followed.
“I want to appeal to the media to report facts as this can affect investment into the emerald sector. Such reports also have the potential to affect the relationship between Zambia and Russia,” he said.
Mr. Kalesha has told Money FM News that there is no need to create confusion in the sector due to the way some media houses are reporting on this matter.

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