First Report of the Standing Committee
on Public Accounts on the Investigation
Relating to the Export and Sale of Diamonds in terms of the Diamonds Act, 1986,
dated 29 January 2008:
The Standing Commi
a)
the Report of the Auditor-General on the financial
statements of the South African Diamond Board for the year ended
b)
progress reports on the validity and legality of the
exemption of diamond exports from export levies;
c)
information made available by De Beers Consolidated Mines
Pty (Ltd);
d)
legal inputs from certain state institutions, and
e)
responses from the
Auditor-General.
Reports as follows and recommends
that:
1. Legal opinion
National
Treasury obtain an independent, constitutional expert legal opinion from Senior
Counsel to determine:
a)
The intention of the legislature with regard to Section 59
of the Diamond Act, 1986.
b)
The legality of
2. Confirmation of actual stock
piling
a)
The Department of Minerals and Energy and the SA Reserve
Bank should compare data sets, made available to the Auditor-General, in order
to determine the exact quantities and values of exports with regard to the
export of diamonds for the period
b)
The Department of Minerals and Energy and National Treasury,
with the assistance of the Auditor-General, form a task team to interrogate the
De Beers London stockpile records in
c)
De Beers should, as agreed, make available to the Department
of Minerals and Energy its local export data for the period
d)
All parties commit to co-operate in finalising this
investigation.
The
Committee further requests that National Treasury and the Department of
Minerals and Energy each submit a progress report on the issues mentioned above
within 60 days of the adoption of this report by National Assembly.
Report to be considered.