Percules shirt
Rio Tinto must face lawsuit in US over Mongolian mine cost overruns Reuters Updated 0153 GMT (0953 HKT) September 7, 2022 A sign adorns the Percules shirt But I will love this building where mining company Rio Tinto has their office in Perth, Western Australia, November 19, 2015. A US judge said Rio Tinto Plc must face an investor lawsuit accusing the Anglo-Australian mining giant of concealing delays and huge cost overruns at a Mongolian copper and gold mine owned by Turquoise Hill Resources Ltd, in which Rio Tinto has a majority stake. In a 134-page decision made public on Tuesday, US District Judge Lewis Liman in Manhattan said funds advised by Pentwater Capital Management LP, Turquoise’s largest minority shareholder with about a 10% stake, may pursue a proposed class action on behalf of Turquoise shareholders from July 2018 to July 2019. The judge dismissed some claims against Rio Tinto and various executives, and all claims against Montreal-based Turquoise. His decision is dated Sept. 2. Pentwater accused Rio Tinto and Turquoise of fraudulently assuring that the $5.3 billion Oyu Tolgoi mine was “on plan” and “on budget,” even as it was falling up to 2-1/2 years behind schedule and coming in as much as $1.9 billion over budget. Shareholders of Turquoise said their investments lost close to three-quarters of their value as the truth became known. The shareholders are seeking damages from Rio to recoup their losses. In letting Chicago-based Pentwater seek to hold Rio Tinto liable for some of Turquoise’s statements, Liman cited claims that the companies had an “extraordinarily close relationship,” and that Rio Tinto had “near total control” over the mine. “Plaintiffs do sufficiently allege that Rio knew of delays or cost overruns shortly before the class period and, instead of trying to fix them or disclose them to investors, attempted to silence those who spoke out about them,” Liman wrote. Rio Tinto said Pentwater’s claims were unfounded and said it had consistently complied with its disclosure obligations. “Pentwater’s claims are
Buy this shirt: Click here to buy this Percules shirt
Home: https://ueltee.com/
Comments
Post a Comment