The Independent reports that Frank Timis owes Renaissance Capital bank, his former advisors the sum of £25 million. Renaissance has asked a court to put up a writ against African Minerals and Timis for defaulting to “honor a fee arrangement in 2008 and 2010”.
The bank claims that it was instrumental in securing funds from Shandong/China Materials Commercial Corporation (CRM) for Timis’s Tonkolili Project in Sierra Leone. China’s National Development and Reform Committee (NDRC) has just approved Shandong’s $1.5 billion investment in Tonkolili. They own 25% of African Minerals and the ore deposits originally valued between $5-$10 billion. Frank Timis’s Tonkolili project is said to have the third largest iron ore deposit in the world.
This recent claim from Renaissance Bank comes at a time when Timis has been active in securing more funds for African Minerals. Frank Timis is no stranger to controversy. Along with a rogue financial past in Europe, he also has two convictions for cocaine possession in Australia in the 90s. In 2005, he was fined for misleading shareholders about oil prospects in Greece. He promised there was oil when there was none.
In Sierra Leone Timis’s Tonkolili project has been welcomed by the government. The country’s economy is projected to grow by 50% in 2012 because of iron ore investments.