RAPAPORT... Zimbabwe's First Lady Grace Mugabe, who is on the U.S. sanctions list, is alleged to be a major shareholder in Mbada Diamonds, according to the Zimbabwean.

The newspaper claimed government insiders had found that Mugabe held a substantial interest in Mbada, along with shareholders Grandwell Holdings of South Africa and the Zimbabwe Mining Development Corporation (ZMDC).

Without naming its source, the Zimbabwean reported that Mugabe was "constantly meeting" with  Robert Mhlanga, Mbada Diamonds' chairperson.

LH