Motsepe-linked firms deny ‘court shopping’ claim in graphite lawsuit

Pula Graphite Partners is suing companies associated with Patrice Motsepe, including African Rainbow Capital (ARC), African Rainbow Minerals (ARM), and ARCH Sustainable Resources, alleging a breach of a non-disclosure and non-compete agreement related to a graphite project in Tanzania. Pula claims ARC, ARCH, and ARM improperly shared confidential information, enabling them to invest in a competitor, Evolution Energy. The Motsepe-linked firms deny the allegations, asserting they never possessed Pula’s confidential information and that the NDA only applies between Pula and ARM, not ARC. They maintain that South African courts have jurisdiction due to South African law governing the NDA and the defendants’ location.

Pula Graphite has raised concerns that ARC is attempting “court shopping” by seeking a favorable ruling in South Africa, arguing it is illogical for South African courts to have jurisdiction over a dispute involving a Tanzanian entity and resources. ARC responded by stating they sought declaratory orders via an ex parte application due to Pula being a foreign entity without a South African office.

Further complicating the matter, Pula alleges a potential conflict of interest with the Tanzanian judge assigned to the case, citing her involvement with a law firm specializing in mining and a mining investment company. ARC dismisses this as irrelevant, stating the application before the judge was procedural and did not involve mining-related issues.

(Source：Timeslive)