An explosive report by the Alternative Information & Development Centre (AIDC) reveals that Lonmin has for years been moving hundreds of millions out of South Africa through the use of tax havens; transfer pricing and profit shifting.
This was done by setting up ‘daughter companies’ which invoiced Lonmin’s various South African offices, despite the companies doing the invoicing not having sold any metal or running any operations since 1999 and even having no staff in some instances.
These damning revelations show that not only could Lonmin have afforded a R12 500 living wage for miners – a wage denied by an executive who earned twice the amount per day- but also that the company had the financial resources to provide decent work and living conditions to its employees.
Lonmin reportedly continues to deny the allegations contained in the recently launched report, despite the mounting evidence against them. That certain payments to…
View original post 690 more words