Jean-Paul Turcaud
2005-05-18 19:07:17 UTC
INDONESIA WILL SEEK OUT OF COURT SETTLEMENT IN NEWMONT POLLUTION CASE
May 17, 2005 - By Michael Casey, Associated Press
JAKARTA, Indonesia - Indonesia will press ahead with plans to charge six
executives from U.S gold producer Newmont Mining Corp. over alleged
pollution, but is willing to negotiate an out-of-court settlement in its
$133.6 million lawsuit stemming from the case, the economics minister said
Monday.
Chief Economic Minister Aburizal Bakrie dismissed criticism that the coming
criminal trial involving six executives from the Colorado-based company --
including two Americans and an Australian -- would hurt Indonesia's chances
to attract foreign investment.
"On the civil case, we are ready to make an out-of-court settlement and we
have made a team to work toward that," Bakrie told reporters. "But we will
not interfere in the criminal case. If they are proven to be doing something
against the law, they have to face criminal action."
Both cases stem from allegations that the company's Buyat Bay gold mine in
central Indonesia caused pollution that sickened villagers.
The executives have been accused of corporate crimes involving the alleged
pollution, and are expected to face trial soon. If convicted, they could
face up to 15 years in jail.
Bakrie said it was too early to discuss a strategy to settle the civil
lawsuit, but he said that any agreement may include the cost of moving
dozens of families that live near a polluted bay.
He also said the government has dropped a travel ban against the six Newmont
executives in exchange for the company putting up 10 billion rupiah ($1.05
million) bail. The government also promised they would not be detained ahead
of the criminal trial, he said.
Robert Gallagher, the vice president of the company's Indonesian operations,
said he has heard nothing about an out-of-court settlement and denied any
wrongdoing.
"We didn't pollute," he said.
He said the company would consider helping to move villages, boost its
financial support to the area around the mine and monitor pollution levels
in the bay for as much 20 years beyond the current three-year commitment.
Gallagher said the company would also keep pushing the government to reopen
its criminal investigation and have the company, rather than the six
executives, indicted should there be a trial.
"We think there are legal grounds to reopen the investigation" that should
include recent health studies and testimony from Newmont employees, said
Gallagher. "Once that is done, the prosecutors will be able to see that it
is crazy these guys are suspects."
Newmont has admitted releasing 17 tons of waste mercury into the air and 16
tons into the water over five years but says the totals were within
Indonesian government standards.
The World Health Organization and an initial Environment Ministry report
found that the water in the bay was unpolluted, but a subsequent ministry
study found arsenic levels in the seabed were 100 times higher at the
waste-dumping site than in other parts of the bay.
However, the latest government study released last week found heavy metal
traces in villagers living close to the mine are within normal levels,
though slightly higher than those living far from the facility.
Newmont claimed that the survey proved that it did not cause the health
problems suffered by residents and said it hoped it would help in its legal
battles.
Shares of Newmont fell 21 cents to close at $35.10 in Monday trading on the
New York Stock Exchange, near the low end of a 52-week range of $34.70 to
$49.98.
Source: Associated Press
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May 17, 2005 - By Michael Casey, Associated Press
JAKARTA, Indonesia - Indonesia will press ahead with plans to charge six
executives from U.S gold producer Newmont Mining Corp. over alleged
pollution, but is willing to negotiate an out-of-court settlement in its
$133.6 million lawsuit stemming from the case, the economics minister said
Monday.
Chief Economic Minister Aburizal Bakrie dismissed criticism that the coming
criminal trial involving six executives from the Colorado-based company --
including two Americans and an Australian -- would hurt Indonesia's chances
to attract foreign investment.
"On the civil case, we are ready to make an out-of-court settlement and we
have made a team to work toward that," Bakrie told reporters. "But we will
not interfere in the criminal case. If they are proven to be doing something
against the law, they have to face criminal action."
Both cases stem from allegations that the company's Buyat Bay gold mine in
central Indonesia caused pollution that sickened villagers.
The executives have been accused of corporate crimes involving the alleged
pollution, and are expected to face trial soon. If convicted, they could
face up to 15 years in jail.
Bakrie said it was too early to discuss a strategy to settle the civil
lawsuit, but he said that any agreement may include the cost of moving
dozens of families that live near a polluted bay.
He also said the government has dropped a travel ban against the six Newmont
executives in exchange for the company putting up 10 billion rupiah ($1.05
million) bail. The government also promised they would not be detained ahead
of the criminal trial, he said.
Robert Gallagher, the vice president of the company's Indonesian operations,
said he has heard nothing about an out-of-court settlement and denied any
wrongdoing.
"We didn't pollute," he said.
He said the company would consider helping to move villages, boost its
financial support to the area around the mine and monitor pollution levels
in the bay for as much 20 years beyond the current three-year commitment.
Gallagher said the company would also keep pushing the government to reopen
its criminal investigation and have the company, rather than the six
executives, indicted should there be a trial.
"We think there are legal grounds to reopen the investigation" that should
include recent health studies and testimony from Newmont employees, said
Gallagher. "Once that is done, the prosecutors will be able to see that it
is crazy these guys are suspects."
Newmont has admitted releasing 17 tons of waste mercury into the air and 16
tons into the water over five years but says the totals were within
Indonesian government standards.
The World Health Organization and an initial Environment Ministry report
found that the water in the bay was unpolluted, but a subsequent ministry
study found arsenic levels in the seabed were 100 times higher at the
waste-dumping site than in other parts of the bay.
However, the latest government study released last week found heavy metal
traces in villagers living close to the mine are within normal levels,
though slightly higher than those living far from the facility.
Newmont claimed that the survey proved that it did not cause the health
problems suffered by residents and said it hoped it would help in its legal
battles.
Shares of Newmont fell 21 cents to close at $35.10 in Monday trading on the
New York Stock Exchange, near the low end of a 52-week range of $34.70 to
$49.98.
Source: Associated Press
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Brought to you courtesiy of :
--
Sir Jean-Paul Turcaud
Australia Mining Pioneer
Discoverer and Legal Owner of Telfer, Nifty & Kintyre Mines
The Great Sandy Desert of Australia
Founder of the True Geology
~~Ignorance Is The Cosmic Sin, The One Never Forgiven ! ~~
Sir Jean-Paul Turcaud
Australia Mining Pioneer
Discoverer and Legal Owner of Telfer, Nifty & Kintyre Mines
The Great Sandy Desert of Australia
Founder of the True Geology
~~Ignorance Is The Cosmic Sin, The One Never Forgiven ! ~~