Investors in gold should be a cheerful bunch, with the rand bullion price more than doubling over five years. But more than a few members of the Xodus Gold Co-operative, which suggests on its website that it is able to purchase stock at “wholesale prices”, are anything but ebullient.
Since early 2024, the members have not been able to withdraw their savings from Xodus, which must be both frustrating and quite frankly frightening. Tensions have naturally boiled over, even prompting a liquidation application. Xodus is not exactly enamoured with developments — which an impartial observer might not find surprising, considering assets and savings have been locked up for a prolonged period. In a recent circular, Xodus indicated that members intending or supporting any vexatious action that could harm the co-operative, or acts violating conditions of membership, should resign or face expulsion.
So, Xodus gave its members until Monday September 29 to remain a member of the co-operative “subject to the conditions of membership, the provisions of the constitution and applicable legislative provisions”. To be honest, members don’t have any choice but to remain on board, and to continue to press for answers.
A recent circular from Xodus to members indicates a net combined value of a merged super precious metal pool of about R130m. More importantly though, there is reference to the co-operative’s February 2025 financials being finalised and approved by the board on September 18.
Members would surely not be causing harm to Xodus or violating membership conditions by demanding sight of audited financial statements ASAP. Maybe these statements should have been in their hands before they were asked to conform or ship out.
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