Johannesburg - A mine manager at the Blyvooruitzicht mine has been arrested after he was allegedly found in possession of 1,3 kilograms of gold at his home near Carletonville, the Sunday Times reported.

Hawks spokesman Captain Paul Ramaloko told the newspaper that the manager - who was arrested on Friday - would face charges of theft, illegal possession of gold nuggets, fraud and defeating the ends of justice.

Along with the 1.3kg of gold - believed to have been 80 percent pure and worth about R500 000 - the man's laptop, cellphones and documents were also seized.

The manager of Blyvooruitzicht's smelter plant was also arrested.

They are due to appear in court on Monday.

The mine was previously under investigation for a break-in, in January this year, after 380kgs of gold-bearing material were stolen. The ore was subsequently found on a farm in De Deur, 80 kilometres away - along with gold processing and sorting equipment, a handgun and R40,000 cash.

The newspaper also reported that Blyvooruitzicht mine went into liquidation last year but that the liquidator recently accepted a R70 million bid by a company, Goldrich - run by directors from the failed Aurora mining company. - Sapa