7 forum postsBISHKEK (Reuters) — A Kyrgyz court on Saturday fined Kumtor Gold, which operates the country’s largest gold mine, $3.1 bln after ruling that the Canadian company had violated environmental laws.
The district court’s decision came a day after the Kyrgyz parliament passed a law allowing the state to temporarily take control of a company if its activities endanger human life or the environment. The court found that Kumtor, which is owned by the Canadian company Centerra Gold, had violated environmental legislation by depositing waste rock on glaciers.
The company, which called the charges “totally unfounded”, was fined 261.7 bln som, equivalent to $3.1 bln.
Centerra Gold’s shares plunged on Friday after parliament passed the takeover law, with the mining company warning that the legislation could affect its ownership of the Kumtor mine.
Kyrgyzstan has a long history of disputes with Centerra Gold over how to share profits from the former Soviet republic’s largest industrial enterprise. The latest dispute began shortly after Sadyr Japarov came to power in Bishkek, following violent riots last October.
Hermanus Steyn (9 May 2021, 17:11)
This is a most outrageous way to expropriate the Canadian company without paying a penny. Indeed, they hardly hide their true motivation.
Richard from Dubai (9 May 2021, 19:17)
Exactly the same method Putin used to put his hands on Yukos. Khodorkovsky was accused of fraud, tax evasion and other economic crimes. The alleged violations were criminalised after they were committed.
Юрий (10 May 2021, 14:02)
With the collapse of the Soviet Union, Western companies profited from the economic crisis of the newly created republics, including Rissia itself, to strip them of their industrial assets. Any means to recover what has been stolen is fair. Kyrgyzstan does not need a Canadian company to exploit its mines, it knows how to do it itself and has all the technical potential to do so.
Blue Whale (10 May 2021, 22:07)
I am not a fan of Putin, nor of Russia, but this guy Putin absolutely saved Russia in the period of 2000-2005. He broke the unrestricted power of the oligarchs.
So the Khodorkovsky case is a very bad example because, it’s true, this man coming from nowhere, overnight became the owner of one of the most profitable companies in Russia, without creating anything. This company, Yukos, belonged to the Russian people.
Charles Marteau (11 May 2021, 13:49)
Khodorkovsky a victim? Rather a criminal, and nothing else. He made a fortune on the backs of honest Russian people by stealing their oil. Here in France, I heard in the media that he was a Russian Dreyfus (Dreyfus affair in France in the 1905s). Why not a Russian Jesus Christ? The mafia has a lot of money and protects its own.
As for this Kyrgyz mine, to tell the truth I don’t know anything about it, but it seems to me that it is Putin who is stealing it. In the end, the Kyrgyz will always be the ones who get the short end of the stick.
Greg (11 May 2021, 21:44)
Talking gold, gold and silver will help you get through the collapse of the dollar.
Юрий (13 May 2021, 19:30)
Charles Marteau said: "it seems to me that it is Putin who is stealing it. In the end, the Kyrgyz will always be the ones who get the short end of the stick."
What makes you say that? What’s with all the anti-Russian hysteria on this site? The Kyrgyz Republic is taking control of its natural resources, you call it theft by Russia.