– Is there an international mafia behind the corrupt politicians who intend to continue ruling Mongolia, the country rich with natural resources?
WILL MONGOLIA BE THE LAST COUNTRY TO SUFFER THE CURSE OF WEALTH?
Exactly 10 years ago, at the World Economic Forum held in Davos, Switzerland, a special discussion on Mongolia’s economic development, was held and the research report ” Development Strategy Options for Mongolia” was presented.
It was considered that there are three options for Mongolia’s future path: good, moderate, and bad. The bad one was the “curse of wealth” which is a “nightmare” for a country with natural resources and geopolitical conflicts and tensions will pull backward the development of the region. When politicians use natural resources as a means to achieve their goals, it causes a nationwide struggle.
Christed van der Elst, head of the World Economic Forum’s Strategic Planning Department, who participated in the research and development of options was saying as: “Mongolia’s future development depends on not only the competitiveness of the mining industry, but also on how to spend the income from this sector. We are not forcing the Mongolian decision makers to follow one of these options, but we aim to help them to see the future more realistically, to make important strategic decisions, and to help them to choose the right way.”
After 10 years, it is obvious that “Mongolia was running along with the worst option and now facing with the choice of whether to be affected by the “wealth curse” or to avoid it.””
DETECTED THEFT SCHEMES OR “TURNING POINTS”
Countries that have failed to properly utilize their natural resources have suffered the curse of wealth because of their submissive people who was unaware of their crimes, or who aware of it and knowingly failed to stop them, rather than greedy politicians.
In other words, it is up to the people to decide whether to suffer the curse of wealth or to achieve development. Mongolians also have this opportunity. The Mongolian government’s fight against corruption, and as a result of that fight revealed a case, which means Mongolians have a chance to make a choice.
This is a serious case of collusion of the “Borteeg” coking coal deposit, which was discovered by the Temporary Oversight Committee established by the Parliament and disclosed to the public in the “Open Hearing” held last December.
The Borteeg deposit is one of the eight deposits of Tavantolgoi, which’s resources have been explored and confirmed by Mongolian state budget. It was determined that it has 424 million tons of good quality of coal resources by the Feasibility study conducted by Government in 2021. The Government of Mongolia planned to issue an IPO in 2020 on the East Tsankhi deposit, one of the Tavantolgoi group of deposits, and use fund raised money for operation of Borteeg, but it was “failed”.
After the failure of the IPO issuance, the Borteeg was taken by the consortium, which’s one firm is “Admineral” company owned by Ts. Lamjav, the elder brother of Ts. Chuluunzagd, secretary of ruling power Mongolian people’s party, by winning tender that has only one bidder. Ts. Chuluunzagd is the closest person of Dashzegviin Amarbayasgalan, the general secretary of the party, the head of the Cabinet Secretariat, the Minister of Mongolia.
The countries affected by the curse of wealth, have similarities like appointing obedient one for themselves to the public service, then creates political and business groups and buys the media to create an advantage for himself. Borteeg’s case has exactly this pattern.
Ts. Lamjav the sibling of Ts.Chuluunzagd, established “Monovant” LLC together with Khasbaatar, a citizen of China, on March 26, 2021.
“Admineral” LLC, which will carry out coal processing 100% and 60% of sale of Borteeg was established on July 2, 2021, by investment of “Monovant” LLC 45% (Mongolian side), Hong Kong Ruishen Global Group” LLC 34% (Hong Kong) and – “Quzhou Longyuan Trading” Co., Ltd. 21% (China) of shares respectively.
“Admineral” LLC intended to build a dry concentrator plant at Borteeg deposit, and it obtained the right of drilling, blasting, mining, and processing jointly with MTAS partnership, withing only 2 months. Besides that, D. Uujimsaikhan, an official of Erdenes Tavantolgoi LLC, high-handedly granted MTAS partnership the right of sell, which was not existing in the tender.
Two companies that have a share in “Admineral” LLC, after connecting with “Erdenes Tavantolgoi” state-owned joint-stock company through “Admineral”, delt with sale: 26,448 tons by “Hong Kong Ruishen Global Group” and 20,291tons of coal by “Quzhou Longyuan Trading” Co.,Ltd exported and sold mysteriously to China.
Ts. Chuluunzag strongly opposed that this serious case is non-relevant with him, nor D. Amarbayasglan, the General Secretary of the MPP and Head of the Government Secretariat, however, there are too many connections.
B. Gursoronzon, the head of the National Transportation Center, which issues the right to transport coal, is said to be right hand of D. Amarbayasgalan.
B. Gankhuyag, who was convicted by the court, used to work as the executive director of “Erdenes Tavantolgoi” LLC, said to the court: “Why are you not taking a statement from the party’s steering Committee?” He was a person who declared, “I have completed the task” and did what the authorities told him to do.
A. Bayarmaa, chief accountant of “Admineral” LLC, is the wife of Ts. Chuluunzagd. Not just a paid employee, but a board member.
D. Uujimsanaa, the official of Erdenes Tavantolgoi LLC, who granted the right to sell 424 million tons of coal valued at 404 billion MNT to the consortium of Adminerals and MTAS, is the husband of B. Hajidmaa, press and media agent of Mongolian People’s Party (MPP).
The scenario of Borteeg taking and decision-making is directly connected with D. Amarbayasgalan, general secretary of MPP.
D. Chuluunzagd and Khasbaatar, officials of “Admineral” LLC, or D. Amarbayasgalang’s friends are being investigated by Mongolian law enforcement agencies in connection with several criminal cases, but due to the influence and power of D. Amarbayasgalang, the investigation has come to a standstill.
D. “Admineral” LLC, which belongs to Amarbayasgalan, has been directly obtaining all the permits, including winning tenders, since its establishment, which shows his power.
He appoints his people to government positions and fulfills his goals without difficulty.
The most serious thing is mentioned below.
“Admineral” LLC could not explain why it received 30 million US dollars in cash, that is taken under the name of investment for concentrate plant.
$30 million sent from Chinese company called “Hongkong Ruishing Global Group” to “Admineral” LLC and it is “absorbed” in Mongolia without certain purpose in 2023.
According to the principles of international criminal investigation, the origin of this money must be determined. Origin of human trafficking? Are the benefits of drugs? origin of the arms trade? It must be determined in cooperation with the Chinese side and the International Criminal Organization. There is a suspicion that money of illegal origin may have been laundered. Also, the purpose of this money entering to Mongolia and spending for what should be controlled.
There is a possibility that someone from the Chinese side or a group with political goals may establish their influence on Mongolian politics through D. Amarbayasgalan and support him financially.
Regardless of any of the above, Mongolian law enforcement agencies must conduct internal and international investigations.
Internationally, large amounts of cash are considered corrupt. In addition, international investigative journalism investigates such cases even there is no direct connection, even a small hint of connection.
There are too many clues to connect Borteeg’s case with D. Amarbayasgalan. However, the fact that the Oversight Committee established by the Parliament only mentioned the direct relationship when announcing the theft fraud in the coal sector to the public and did not investigate it in detail, may be because D. Amarbayasgalan has too much power internally. Therefore, the government of Mongolia has asked Interpol to investigate “Quzhou Longyuan Trading” Co., Ltd. and “Hong Kong Ruishen Global Group” Ltd., which delivered 30 million USD in cash to “Admineral” LLC under the name of concentrate plant investment. It would be good to cooperate with the organization and work in the field of checking the source of money.
Because, D. Amarbayasgalan is preparing to compete in the upcoming parliamentary elections, and it cannot be disapproved that the said 30 million US dollars was taken for the illegal acquisition of state rights. If this is proven, it can be assumed that Mongolia is not controlled by Mongolians, but by an international mafia connected to the authorities with the same interest.
Finally, every country has a greedy politician. Whether being affected by curse of wealth or enjoyed with rapid development depends only on if the people can fight and get rid of dirty politicians. From this point of view, the time has come for Mongolians to get rid of its dirty politicians or avoid the curse of wealth, and the case of Borteeg and D. Amarbayasgalan is the “turning point”.
