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Australia watchdog takes Rio Tinto, former executives to court over Mozambique losses

Staff Writer |
Australia’s corporate watchdog said it has launched court action against global miner Rio Tinto and two former executives for misleading and deceiving investors about the coal reserves it reported in a $4 billion acquisition in Mozambique.

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The Australian Securities and Investments Commission (ASIC) said the company and its former Chief Executive Tom Albanese and former Chief Financial Officer Guy Elliott had made misleading statements in their 2011 annual report, published in 2012.

“ASIC alleges that RTL (Rio Tinto Ltd) engaged in misleading or deceptive conduct by publishing statements in the 2011 annual report, signed by Mr Albanese and Mr Elliott, misrepresenting the reserves and resources of RTCM (Rio Tinto Coal Mozambique),” the commission said in a statement.

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