Prosecutors claims to have strong case against Newmont<\/p>\n
Reuters, Manado<\/p>\n
Prosecutors told the court in Manado on Tuesday they had a strong
\npollution case against U.S.-based Newmont Mining Corp. and would
\nprove that its local unit and American chief had violated
\nenvironmental laws.<\/p>\n
At the last hearing on Aug. 19, lawyers representing Newmont,
\nthe world's biggest gold miner, urged the court to dismiss the
\ncase, saying the police investigation was flawed.<\/p>\n
The charges relate to PT Newmont Minahasa Raya's tailings
\ndisposal processes, which allegedly involved dumping mercury and
\narsenic into Buyat Bay near a now-defunct mine in eastern
\nSulawesi region, causing health problems for villagers.<\/p>\n
Newmont has denied the charges in a case that has drawn wide
\nattention, including from investors and environmentalists in
\nSoutheast Asia's biggest economy, home to some of the world's
\nlargest deposits of tin, nickel, copper and gold.<\/p>\n
Prosecutor Muthmainnah Umadji told a panel of five judges
\nduring the hearing in Manado that she would produce key witnesses
\nto prove the case.<\/p>\n
\"We reject the objection from the (Newmont) lawyers. The case
\nagainst PT Newmont Minahasa Raya and its president director is
\nclearly legal, based on the environmental law,\" Umadji said.<\/p>\n
The trial was adjourned until Sept. 20, when the court will
\ndecide if the trial should proceed or not, after hearing initial
\ntestimony from both sides but not witness statements.<\/p>\n
Newmont has said the police investigation failed to include
\nenvironmental experts and that evidence or testimonials favoring
\nthe firm were not included in the 72-page indictment.<\/p>\n
The company's lawyers have also said there was no provision in
\nIndonesian law that makes a local chief executive automatically
\nresponsible for corporate acts.<\/p>\n
President Director Richard Ness, a 55-year-old Minnesota
\nnative, could face a jail sentence of up to 10 years and be fined
\naround US$68,000 if convicted.<\/p>\n
Newmont also faces a $133 million civil case over the alleged
\npollution.<\/p>\n
The gold mine near Buyat Bay, 2,200 km northeast of Jakarta,
\nopened in 1996 and closed in August 2004 due to depleted
\nreserves.<\/p>\n
Legal uncertainty, graft and bureaucracy are often cited as
\nkey reasons for sluggish foreign investment in the country.<\/p>\n
Newmont's operations in Indonesia accounted for six percent of
\nits global sales in 2004.<\/p>\n
The company also operates Asia's second-largest copper mine,
\nBatu Hijau, on eastern Sumbawa island, which produced 718 million
\npounds of copper and 719,000 ounces of gold last year. It has a
\nmine life of 20 years.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/prosecutors-claims-to-have-strong-case-against-newmont-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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