Chinese Mining Giant Jinchuan Uncovers $145 Million Fraud at DR Congo Operation
Chinese mining company Jinchuan Group has uncovered a suspected $145 million fraud scheme at one of its operations in the Democratic Republic of Congo, raising fresh concerns over governance and oversight in the country’s lucrative mining sector.
The company said the irregularities were detected at its local subsidiary managing a copper and cobalt mine, where internal audits revealed financial discrepancies linked to procurement and contract payments.
According to preliminary findings, the scheme allegedly involved inflated contracts, falsified invoices, and unauthorized transactions carried out over an extended period. Several employees and contractors are under investigation.
Jinchuan said it has reported the matter to Congolese authorities and is cooperating with ongoing probes, while also initiating internal disciplinary measures and tightening financial controls.
The Democratic Republic of Congo is the world’s leading producer of cobalt, a key component in electric vehicle batteries, making transparency in the sector critical to global supply chains.
Analysts say the case highlights persistent risks in mining operations across parts of Africa, including weak regulatory enforcement, corruption, and complex local partnerships that can expose firms to financial misconduct.
