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Published on
29.01.2019 at 16:54
by
AFP
British mining group Gemfields said Tuesday it will pay 5.8 million pounds in compensation for nearly 300 miners over accusations of torture in Mozambique, but denied liability.
In a clbad action suit, Gemfields was accused of hiring police and private security officials to torture and kill residents of the company 's concession area, and to destroy their property, to force them to leave.
The London-based firm is worth 6.7 million euros ($ 7.6 million), plus the claimants' legal expenses.
"Gemfields … has agreed, we have no-admission-of-liability basis, the settlement of all claims brought forward by English law firm Leigh Day on behalf of individuals living in the vicinity of Montepuez Ruby Mining Limitada's (MRM) mining concession in northern Mozambique , "The company said in a statement sent to AFP.
Gemfields denied any wrongdoing but said it "recognizable that, in the past, instances of violence have occurred on the MRM license area, both before and after Gemfields' arrival in Montepuez."
Gemfields is a majority shareholder of MRM, which won the mining rights to 36,000 hectares (89,000 acres) of ruby-rich land in Mozambique in 2011.
The agreement also provides for an agricultural development and training project, and a mechanism for resolving conflicts between MRM and local residents.
The plaintiffs' law firm Leigh Day, which prides itself on waging "David and Goliath" legal battles pitting individuals against corporations and governments, hailed the settlement, saying it would "provide significant recovery to our customers".
"These incidents should never have happened. However, we are interested in Gemfields for engaging an independent grievance mechanism, "Daniel Partner Leigh Day said in a statement sent to AFP.
Mozambique, which accounts for 80 percent of global ruby production.
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