KINROSS Gold Corporation said it had settled with the US Securities and Exchange Commission (SEC) regarding an investigation into alleged improper payments and internal controls deficiencies involving its West African operations.
The Canadian gold miner agreed to pay $950,000 to the SEC in a ‘civil penalty’ – a move that neither acknowledged or denied the allegations, the company said. Kinross also agreed to file two semi-annual reports on the status of its West African compliance measures. The SEC as subsequently closed its investigation.
A second investigation by the US Department of Justice was also closed. In both instances, no charges were levelled at the company. Kinross said it first learned of the issues in 2013 and immediately launched an internal investigation, it said.
The SEC’s order settling the case said Kinross acquired African subsidiaries in 2010 knowing they lacked anti-corruption compliance programs and internal accounting controls. It took three years to implement adequate controls and Kinross failed to maintain them after that, the SEC alleged.
