Reopening of controversial Spanish mine halted over corruption allegations

http://www.theguardian.com/environment/2015/may/15/reopening-of-controversial-spanish-mine-halted-over-corruption-allegations

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The reopening of a controversial Spanish mine has been halted amid allegations of corruption during the bidding process.

Los Frailes mine in Aznalcóllar, near Seville, which has an estimated 80m tonnes of extractable ore, containing copper, zinc and lead, was due to resume operations later this year for the first time since 1998. But the plan has been put on hold after a judicial investigation found evidence of serious irregularities.

Announcing the decision, Andalucía president Susana Díaz, said: “When a judge has serious suspicions about the procedure for awarding a contract, it must be halted and clarified.”

The contract was awarded to the Grupo México-Minorbis consortium in February following a three-way contest. But a probe was launched in March after a rival bidder filed a complaint in the courts accusing Grupo México of conducting illegal negotiations.

Related: Controversial Spanish mine to reopen

The denouncement by Emerita Resources also included allegations of bribery, peddling of influence and perversion of justice.

The judge heading the investigation, Patricia Fernández Franco, stressed in a decree that there was evidence to support all of the allegations. Fernández criticised the regional authorities for awarding the contract “without the slightest rigour, despite the mine having previously caused one of Spain’s worst ecological disasters.”

She also demanded to know why the conglomerate had not been disqualified from the selection process after failing to comply with basic environmental requirements.

As part of the investigation, the magistrate has ordered officials involved in the awarding of the contract to be interviewed by police. Among those set to speak with anti-fraud officers is the ministry of economics’ director general, María José Asencio.

The regional government defended those involved in the decision to award the contract to Grupo México and insisted the process had been transparent.“The public officials acted with absolute honesty, full independence of judgement away from external influences and made their decision in accordance with the law,” read a statement.

Fernández is also investigating the links between Grupo México and its Spanish partner Minorbis.

She described the relationship as ‘questionable’, claiming that the agreement between the two parties was nothing more than a declaration of good intentions.A statement released on behalf of the consortium by partners Magtel, read: “During the selection process, both parties have complied with all the administrative requirements.”

The Aznalcóllar mine closed 17 years ago after a tailings dam burst, leading to a €240m (£178m) cleanup operation. Green groups have criticised the plan to reopen the mine, claiming that environmental considerations have been ignored.

A petition calling for the concession to remain closed has attracted 66,000 signatures since February.