The junior miner says it will appeal the order granted by the Joburg High Court on Friday. From Moneyweb.
The Johannesburg High Court on Friday (21 November) ordered junior miner Mantengu and its CEO Mike Miller to cease publishing allegations that the Johannesburg Stock Exchange (JSE), its directors, or employees were involved in wrongdoing relating to the manipulation of its shares.
Mantengu first went public with its claims of share price manipulation in February 2024, accusing several individuals of trying to depress its share price and disrupt its business expansion plans. It also levelled accusations at senior individuals within the JSE, which has denied any involvement.
The JSE says Mantengu and Miller continued to repeat these allegations, forcing it to approach the court for relief.
On Friday, the matter was struck off the urgent roll and will now be heard on the normal roll, likely to be in 2026. The interdict applies until that hearing takes place.
Mantengu Mining said it would appeal the order, saying the judge erred in making an order on the merits of the case, even though the merits have not been heard, and that its constitutional rights had been infringed by not allowing it an opportunity to argue its case to the court.
Read: JSE wants Mantengu to show emails ‘proving’ share manipulation claims
Mantengu presented screenshots of emails purportedly sent from JSE directors, supposedly discussing insider information, share price manipulation and untraceable crypto payments.
“These [screenshots] do not contain inside information, they do not refer to cryptocurrency payments, and they do not refer to Mantengu, Mr [Zunaid] Moti, or JSE executives,” deposes Andries Visser, the JSE director for issuer regulation in a supplementary affidavit.
Visser argues that Miller and Mantengu have now provided six different versions of how these screenshots came into their possession.
JSE’s response
The JSE dismisses these as ‘deceptions’, noting that the authenticity of the screenshots cannot be verified without access to the source IT equipment. The JSE executives implicated have provided affidavits denying these emails were ever sent by them.
“This misrepresentation of the facts is yet another instance of Mantengu and Mr Miller attempting, through a convoluted game of join-the-dots and conspiratorial speculation, to arrive at a conclusion of share manipulation by the JSE and its directors,” argues Visser’s affidavit.
“Lacking credible evidence, they misrepresent facts, manipulate facts, and change facts, whenever doing so will further their cause.”
In its appeal, Mantengu argues that it offered an alternative interdictory relief whereby it would cease publishing allegations that the JSE, its agents, directors, or employees relating to the email screenshots, provided the JSE cooperate fully with the National Prosecuting Authority.
Read:
JSE issues cease and desist to Mantengu over share manipulation claims
Mantengu Mining overrides JSE by issuing public warning on share manipulation [Feb 2024]
This version was rejected by the JSE, which asked the court for an interdict preventing Mantengu and Miller from publishing allegations that the exchange, its directors, or staff were complicit in in unlawful activities relating to the manipulation of Mantengu’s shares.
Mantengu has applied to appeal the order to a full bench of the Joburg High Court or, alternatively, to the Supreme Court of Appeal.
Defamation proceedings
In a statement, the JSE says it will launch defamation proceedings against Mantengu, Miller and others involved in the dissemination and publication of the false accusations against the JSE, its directors and employees.
“The JSE is steadfast in its commitment to uphold the highest standards of market integrity and governance. We ensure that our exchange remains a fair, transparent and well-regulated environment where companies can raise capital and investors can trade with confidence. This responsibility is central to our role in safeguarding the credibility of South Africa’s financial markets and driving sustainable economic growth,” says the JSE statement.
The JSE says it has provided a comprehensive answer to Mantengu and Miller’s allegations in its court papers.
“This explanation and the objective evidence in support thereof makes it clear that their allegations are not true. The JSE has obtained expert forensic evidence that the alleged emails relied on by Mantengu and Mr Miller are either fake or they do not originate from the email addresses of the other individuals that were falsely accused.”
FSCA investigation
The Financial Sector Conduct Authority (FSCA), as the market regulator, investigated Mantengu’s claims and found no evidence of share price manipulation, nor any evidence of unlawful behaviour by JSE personnel.
Read: FSCA finds no evidence of naked shorting at Mantengu Mining
Mantengu has taken this report on review, arguing that to prove that a syndicate was operating to suppress its share price, the FSCA needed to conduct an examination of the IT equipment, showing common IP (internet protocol) addresses, WhatsApp groups, emails and other forms of communication.
