Shares in gold miner Acacia Mining tumbled once again after the government of Tanzania accused it of tax evasion stretching back years. The FTSE 250 company noted the “disappointing findings” of a second committee commissioned by the government, which alleged that Acacia “has under-declared revenues and tax payments over a number of years by tens of billions of US dollars”. The committee has recommended that Tanzania demand the repayment of outstanding taxes, review the possibility of increasing government ownership of mines, and continue with an export ban on gold concentrate that was imposed on the company at the start of March. Concentrate is a powdered form of gold and other minerals that Acacia ships abroad to be smelted down into gold bars. Acacia shares tumbled 10pc in lunchtime trade, despite the company “strongly” refuting “these new unfounded accusations”. The stock has fallen 50pc since the ban began.
Acacia Mining, the London-headquartered FTSE 250 gold mining firm, has been accused of tax evasion by Tanzania. A government commission has alleged that the company “has under-declared revenues and tax payments over a number of years by tens of billions of US dollars”. The commission has recommended repayment of taxes, increased government ownership of mines and a prolongation of the ban on gold concentrate placed on Acacia in March. Shares in the company, which have dropped 50% since the introduction of the ban, fell 10% on Monday.