Displaying items by tag: Legal

Portugal: Cimpor has appealed a judgement by the Supreme Administrative Court cancelling permits to burn alternative fuels at its Souselas cement plant. The North Central Administrative Court cancelled the environmental licences, originally granted by the former Environment Minister Nunes Correia, in March 2016.

US: Kosmos Cement, a subsidiary of Cemex, has pleaded guilty to violating workplace safety standards. It is liable to be fined to up to US$400,000 towards the death of a worker at its Louisville cement plant in Kentucky in 2014. Michael Egan, Cemex's executive vice president and general counsel, entered the guilty plea for the company. Contract employee Felipe Mata Vizcaya fell to his death after opening an elevator door when the elevator car wasn't there, according to the Courier-Journal.

Cemex is required to pay US$200,000 immediately and the balance if it doesn't make required repairs within three years. It has also pledged to design, operate and test all elevators at the site to meet national safety standards and to install additional safety features.

In a statement, US Attorney John Kuhn called the matter "one of the worst cases of negligence on the part of a company." The company was accused of violating the Mine Safety and Health Act, and the case was investigated by the US Labor Department's Mine Safety & Health Administration.

US: A legal challenge to the cancelled Titan American Castle Hayne cement plant has ended following the termination of a challenged air pollution permit by the North Carolina Division of Air Quality. Titan rescinded the permit, following its announcement in March 2016 to cancel its cement plant project. It was originally issued in 2012.

"For years, Titan and the Department of Environmental Quality (DEQ) tried to keep citizen groups from getting a hearing on significant and avoidable air pollution from this proposed plant," said Geoff Gisler, senior attorney at the Southern Environmental Law Center who represented the North Carolina Coastal Federation, Cape Fear River Watch, PenderWatch & Conservancy, and Sierra Club. "We have achieved the goal of this lawsuit - protecting citizens of New Hanover and Pender counties from Titan’s pollution when DEQ failed to do so."

Titan will continue to operate a cement terminal at the site. On 12 April 2016, the North Carolina Court of Appeals granted citizen groups’ request to dismiss the appeal because the approval of the plant had been withdrawn, according to the Southern Environmental Law Center.

China: Courts have ordered Shandong Shanshui Cement Group to pay back its creditors US$372m, the company said in a statement reported by Reuters. Shandong Shanshui Cement said it was unlikely to be able to make the required payments due to financial troubles. The courts will now start to auction off the company’s assets.

Bond defaults by a subsidiary of Shanshui Cement Group had led creditors to seek legal redress. Shandong Shanshui Cement's statement to the Shanghai Clearing House described almost 100 lawsuits against the company. The total amount sought is around US$764m.

China: Yang Luyu, the mayor of Jinan in Shangdong province, is being investigated for corruption by the Communist Party of China Central Commission for Discipline Inspection (CCDI). Yang has been accused of ‘serious disciplinary violations’ according to Xinhua news agency. He is also the city's Communist Party deputy secretary.

Yang was named in a writ filed with a Hong Kong court in March 2016 according to the South China Morning Post. Two companies, China Pioneer Cement (Hong Kong) and Shandong Shanshui Cement Group, allege that Yang and his deputy mayor, Su Shuwei, conspired with former company directors to take control of the Jinan plant on 7 December 2016. The ex-directors were named as Zhang Caikui and his son Zhang Bin.

China Pioneer Cement (Hong Kong) and Shandong Shanshui Cement Group are subsidiaries of China Shanshui Cement Group. Shanshui Cement has faced financial troubles since a battle for control of the company that took place in late 2015 between Tianrui Cement, its biggest shareholder, and the Zhang family, its second-largest shareholder and former owners.

Ireland: Justice Max Barrett of the High Court has ruled that the Competition and Consumer Protection Commission (CCPC) breached the terms of a search warrant by seizing the email account of a CRH executive in 2014. The court also determined that the competition body had breached the Data Protection Acts, the Irish constitution and the European Convention on Human Rights. The court added that the seized emails contained material outside the scope of the investigation.

The CCPC responded by saying it was ‘considering carefully’ the implications of the judgment and the next steps that it would take. However, its investigation into alleged anti-competitive practices by Irish Cement in the supply of bagged cement continues.

The CCPC carried out an unannounced search at the premises of Irish Cement on 14 May 2015 as part of an on-going investigation into alleged anti-competitive practices in the supply of bagged cement. During the search, the CCPC seized a number of electronic documents including the mailboxes of a number of current and former employees of Irish Cement. CRH argued that certain emails in the mailbox of one such employee, Seamus Lynch, were unrelated to the business of Irish Cement and were therefore not entitled to be seized. Accordingly, in November 2015, CRH brought a High Court action against the CCPC seeking an injunction to prevent the CCPC from examining these emails.

Ireland: CRH has been named in a Euro34bn lawsuit file in Washington DC launched by Palestinian activists against a group of businesses operating in Israel. The activists who are trying to sue various groups with connections to Israel for allegedly ‘profiteering’ from the building of Jewish settlements in the West Bank, according to the Irish Times.

The Irish building materials company sold its 25% stake in Mashav, which owned the Israeli cement producer Nesher, in December 2015. However, the lawsuit is targeting CRH over its past co-ownership. The lawsuit accuses Nesher of supplying concrete for the foundations of Jewish settlements and for building barriers in the West Bank and for allegedly extracting minerals from Palestinian territory.

Pakistan: The All Pakistan Cement Manufacturers Association (APCMA) has led demands that the government abolish the gas infrastructure development cess (tax) (GIDC) because it has made Pakistan-produced cement uncompetitive for export. APCMA chairman Mohammad Ali Tabba said that declining fuel prices, including liquefied natural gas in the international markets, had added to the situation, according to local press.

The Pakistan government enacted the Gas Infrastructural Development Act of 2011 thereby charging a cess or levy on all non-domestic gas consumers. However, the tax has been resisted legally since that time with tussles over whether back taxes should be collected or not.

Tabba also added that a recent increase on the import duty from 1% to 6% on coal should be reduced to zero.

Europe: The European Court of Justice has annulled a request for information by the European Commission into several cement producers in a cartel probe. The judgement could restrict the competition watchdog's investigative powers, according to reporting by the Wall Street Journal.

The commission opened an antitrust investigation in late 2010 looking at the activities of Cemex, Holcim, Lafarge, HeidelbergCement and others. Originally the cement companies were suspected by the commission of colluding with rivals to fix prices and share markets in Austria, Belgium, the Czech Republic, France, Germany, Italy, Luxembourg, the Netherlands, Spain and the UK. However, the investigation was closed in mid-2015 due to insufficient evidence. Since then the cement producers have challenged the commission’s right to ask for the level of detail they requested. The ruling overturns a 2014 decision by the EU's General Court, which said the commission questionnaires were justified.

Ireland: CRH has taken the Competition and Consumer Protection Commission (CCPC) to the Irish High Court over the seizure of the emails of one of its executives during a competition investigation in 2014. The CCPC was not entitled to ‘essentially run riot’ whilst searching the premises of Irish Cement, a subsidiary of CRH, at Platin, County Meath said CRH’s legal representatives, according to the Irish Times.

Irish Cement has accused the CCPC of seizing and retaining the emails of Seamus Lynch relating to his role with CRH. The CCPC was investigating Irish Cement at this time. Lynch left Irish Cement in June 2011 to join CRH and, when the search was carried was the managing director of CRH Europe (Ireland and Spain). In its challenge, CRH is claiming that the CCPC was not entitled to seize and retain any electronic files relating to a crh.com email account assigned to Lynch because this was not related to the business and activity of Irish Cement.

The CCPC denies all claims. It previously agreed not to use the material pending the outcome of the case.