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February 18, 2011

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Lawsuits hit Zijin

ZIJIN Mining Group, China's largest gold miner, is being sued for 170 million yuan (US$26 million) for damages after water from its tailing pond burst a dam and flooded residential areas, killing 22 people, a court official said yesterday.

Xinyi People's Court has accepted about 800 lawsuits filed against the miner by residents of Xinyi City, Guangdong Province and the number will continue to grow, said a spokesman for the court.

The spokesman said claims against the miner would amount to 300 million yuan when all the suits are received.

Twenty-two people were killed, and 523 houses destroyed in Xinyi, after Xinyi Zijin Yinyan Tin Mine's tailing pond overflowed and collapsed a dam amid Typhoon Fanapi on September 21.

A provincial government-led investigation found that the dam was poorly built and the tailings pond was also poorly built and operated.

The investigation concluded that Zijin was responsible for the accident.



 

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