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October 12, 2010

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Police detain director over sludge flood

POLICE have detained the director of the aluminum company responsible for a flood of caustic red sludge that killed at least eight people when it burst from its reservoir last week, Hungary's prime minister said yesterday.

Police said they were questioning managing director Zoltan Bakonyi on suspicion of public endangerment and environmental damage.

Prime Minister Viktor Orban told parliament that the government wanted to take over MAL Rt, the Hungarian Aluminum Production and Trade Company, because the safe restart of production at the alumina plant was needed to save the jobs of thousands of workers.

Orban said his administration was also freezing the company's assets to ensure that funds were available to compensate for the damages caused by the disaster.

"Since this is not a natural catastrophe but the damage was brought about by people, the damages must be paid first and foremost not by taxpayers but by those who caused the damage," Orban told parliament.

He said damages must be paid to those affected by the spill, jobs at the plant must be saved, those responsible must be held accountable and further risks at the company's sites should be identified.

"Hungary's largest ecological disaster was caused by human negligence, by allowing a hazardous material to escape," Orban said.

"We need to bring the company responsible for the red sludge spill under state control, and its assets under state closure, until all of these four tasks are handled."

Orban said a state commissioner would be appointed to take over control of MAL.



 

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