Diamond trades under the loupe

NICO Josea’s diamond dealings with public funds has once again come under the spotlight during the High Court inquiry’s search for the N$30 million the Social Security Commission invested with Avid Investment Corporation.

Yesterday, however, Josea’s brother Benedictus was also drawn into the fray. This followed testimony given in Cape Town last week by the man Josea bought diamonds from, that his brother was allegedly also involved.Josea, who through his company Namangol Investments acquired N$29,5 million of the SSC investment, yesterday stuck to earlier testimony that he had paid N$2,6 million for diamonds from Fask Trading.He said he had paid the money in instalments between February and April.SSC legal counsel told the court yesterday that Fask Trading’s Serge Kabeya’mwana had claimed last week that Josea had bought another batch of diamonds from him in February.But Josea flatly denied the allegation that he or his brother had received a package of 815 carats of diamonds valued at US$366 930.Corbett said he understood that Kabeya’mwana had laid charges against Josea for not paying for these diamonds.”Maybe I’ve knocked him if he says so,” said Josea.”If I come out of here, I will have to face the consequences on the other side.”Josea’s past in diamond dealing first became public three weeks ago, during the inquiry.He became very annoyed when the court questioned him about his earlier employment with the then Consolidated Diamond Mines and when he was asked whether he had been convicted for illegal diamond dealing.Corbett said from Kabeya’mwana’s testimony the impression had been created that Josea’s brother Benedictus was more involved in diamond deals than Josea.According to Kabeya’mwana, Benedictus had received the first parcel and promised to transfer the money to a bank account in the DRC.Kabeya’mwana had told the South African inquiry that he was introduced to Nico by his brother Benedictus at a church gathering in Namibia in 1999.Josea said he could not remember the exact details of their first meeting, but recalled that it was at a church service, either in Windhoek or Okahandja, at which his brother was also present.Kabeya’mwana testified that he had come to Namibia as part of an official government trip with the late former DRC President Laurent Kabila.He said he and Josea had met in Johannesburg in February, where Josea expressed his wish to buy diamonds from the DRC.Josea acknowledged that this was true and told the court yesterday that he had both e-mailed and phoned Kabeya’mwana to discuss this, but that no transaction to this effect was ever made.Josea maintained that he only received one package of diamonds from Kabeya’mwana but could not recall if the package might have contained two parcels packed together.According to a trade invoice issued by Fask Trading to Namangol Investments on April 19, 4 954 carats of diamonds valued at US$864 943 were sold to Josea.Josea again told the court that these were the diamonds for which he paid N$2,6 million and tried to sell in Zurich, Switzerland.He added that 60 per cent of these stones were industrial quality and that the portion that were gem quality were not of the right ratio to attract buyers.Earlier in the day, Corbett said a protection order had been obtained and that the South African special police unit the Scorpions would try to get these diamonds from a courier company at the Johannesburg International Airport, where Josea said they had been left after his return from Zurich in June.Kabeya’mwana is believed to have tried to get his hands on these diamonds this week.Asked by the court what the value of these diamonds were, Josea suggested that liquidators should have them valued and put them out to tender to get “the best money”.Corbett also wanted to know from Josea whether he had ever been involved in any oil deals, to which Josea replied that he had planned to get a quota from Russia and to then sell it to any buyer who needed the product.But he said this had not happened.”Are you sure you haven’t got oil stored somewhere?” asked Acting Judge Raymond Heathcote, to which Josea laughed and said “no”.This followed testimony given in Cape Town last week by the man Josea bought diamonds from, that his brother was allegedly also involved.Josea, who through his company Namangol Investments acquired N$29,5 million of the SSC investment, yesterday stuck to earlier testimony that he had paid N$2,6 million for diamonds from Fask Trading.He said he had paid the money in instalments between February and April.SSC legal counsel told the court yesterday that Fask Trading’s Serge Kabeya’mwana had claimed last week that Josea had bought another batch of diamonds from him in February.But Josea flatly denied the allegation that he or his brother had received a package of 815 carats of diamonds valued at US$366 930.Corbett said he understood that Kabeya’mwana had laid charges against Josea for not paying for these diamonds.”Maybe I’ve knocked him if he says so,” said Josea.”If I come out of here, I will have to face the consequences on the other side.”Josea’s past in diamond dealing first became public three weeks ago, during the inquiry.He became very annoyed when the court questioned him about his earlier employment with the then Consolidated Diamond Mines and when he was asked whether he had been convicted for illegal diamond dealing.Corbett said from Kabeya’mwana’s testimony the impression had been created that Josea’s brother Benedictus was more involved in diamond deals than Josea.According to Kabeya’mwana, Benedictus had received the first parcel and promised to transfer the money to a bank account in the DRC.Kabeya’mwana had told the South African inquiry that he was introduced to Nico by his brother Benedictus at a church gathering in Namibia in 1999.Josea said he could not remember the exact details of their first meeting, but recalled that it was at a church service, either in Windhoek or Okahandja, at which his brother was also present.Kabeya’mwana testified that he had come to Namibia as part of an official government trip with the late former DRC President Laurent Kabila.He said he and Josea had met in Johannesburg in February, where Josea expressed his wish to buy diamonds from the DRC.Josea acknowledged that this was true and told the court yesterday that he had both e-mailed and phoned Kabeya’mwana to discuss this, but that no transaction to this effect was ever made.Josea maintained that he only received one package of diamonds from Kabeya’mwana but could not recall if the package might have contained two parcels packed together.According to a trade invoice issued by Fask Trading to Namangol Investments on April 19, 4 954 carats of diamonds valued at US$864 943 were sold to Josea.Josea again told the court that these were the diamonds for which he paid N$2,6 million and tried to sell in Zurich, Switzerland.He added that 60 per cent of these stones were industrial quality and that the portion that were gem quality were not of the right ratio to attract buyers.Earlier in the day, Corbett said a protection order had been obtained and that the South African special police unit the Scorpions would try to get these diamonds from a courier company at the Johannesburg International Airport, where Josea said they had been left after his return from Zurich in June.Kabeya’mwana is believed to have tried to get his hands on these diamonds this week.Asked by the court what the value of these diamonds were, Josea suggested that liquidators should have them valued and put them out to tender to get “the best money”.Corbett also wanted to know from Josea whether he had ever been involved in any oil deals, to which Josea replied that he had planned to get a quota from Russia and to then sell it to any buyer who needed the product.But he said this had not happened.”Are you sure you haven’t got oil stored somewhere?” asked Acting Judge Raymond Heathcote, to which Josea laughed and said “no”.