This archive report was first published on 25 September 2019.
Published on September 25, 2019, a government crackdown on illegal gold mining and processing in Migori County has led to the closure of two gold processing plants owned by Migori Governor Okoth Obado. The plants were among 35 gold processing and 8 mining companies declared guilty of contravening the Mining Regulation Act, 2016, and ordered to close.
The government has established a multi-agency team to monitor the mining industry and bring order to the sector, which has posed various challenges in Migori County, including environmental protection, illegal mineral harvesting, and abuse of employees. The team comprises officials from mining, public health, interior, national land commission, national police, national environment management authority, Kenya revenue authority, immigration, and labour departments.
During a visit to the multi-agency team's chairman, Joseph Rotich, Mining and Petroleum Cabinet Secretary John Munyes emphasized the need for enforcement to ensure all players in the sector benefit. Governor Obado defended his plants, stating that their operation licenses had been renewed, but the CS expressed his dilemma in achieving total order in the industry, citing some owners had obtained licenses but not permits for public health, environmental protection, or land ownership.
Some affected business people were also accused of violating labour laws, evading taxes, and encroaching public lands. County Commissioner Rotich had ordered the closure of all irregular or illegal companies, stating, 'We want to fully correct the mess caused by the disorder in the sector and ensure our environment is secure, the government collects 100 per cent tax from the operators, and the cartels running the sector are cleaned up.'
A report by a task force on mining issues in Migori County revealed that there are approximately 60 leaching plants and six elution factories in the region, with only two having mineral dealers' processing licenses by April 2019. Most leaching plants lacked proper mechanisms for handling and disposing cyanide waste, leading to animal deaths due to contaminated water and grass.
The report also stated that a significant amount of gold produced in the region remains undeclared, resulting in millions of shillings uncollected by the government. Many gold dealers do not register their businesses under their names but use proxies to avoid paying taxes. One of the closed companies was owned by former County Secretary Christopher Rusana.