FUZIAH SALLEH: “The investing public has the right to access correct information to facilitate their decision making.”
In a brief statement to Malaysiakini, the company said claims to the contrary are “factually wrong” and asserted that it has been in compliance with the disclosure obligations issued it by the International Atomic Energy Agency panel members as part of the conditions to allow the Lamp refinery to operate.
“Lynas has met with more than 3,000 local residents in Malaysia since it received the International Atomic Energy Agency recommendations to intensify its communications activities, and will continue to do so Lynas is fulfilling its community consultation obligations and claims to the contrary are factually wrong.
“Lynas has every confidence it is in compliance with its disclosure obligations,” it said.
Lynas also said that one of the recommendations from the IAEA was for the Malaysian government, through the Atomic Energy Licensing Board (AELB), to make all related documents from Lynas publicly available.”
“In line with this, the company (Lynas) submits all documents directly to the government for review, who then make it available to the public.
“This makes no representation that Lynas will make those documents available to the public, nor should it.”
The company was responding to a letter written by PKR’s Kuantan MP Fuziah Salleh to the Australian Securities and Investments Commission (ASIC) earlier this week alleging Lynas had committed “corporate fraud” by misrepresenting its actions to the investing public.
The claim was contained in her letter dated Sept 27, addressed to the New South Wales branch of the ASIC, citing Lynas’ second quarter report for the year ending June 30, 2011.
In Lynas’ report, the company outlined its strategies towards satisfying the 11 IAEA recommendations that must be satisfied before an operational licence is issued to the company by the Malaysian government.
Fuziah said three key recommendations, in particular, were to be satisfied pertaining to the submission of documents on a permanent waste disposal plan, a plant decommissioning plan and the intensification of communication with affected parties to “demonstrate how it will ensure the radiological safety of the public and the environment”.
According to Fuziah, however, none of the documents claimed by Lynas to have been submitted as part of its fulfilment of those recommendations have been disclosed to the public, nor was the public consulted in the formulation of these plans.
Yet, Lynas claimed to have satisfied IAEA’s ‘Recommendation 10’ in intensifying communication with affected parties, said Fuziah in her letter.
“We regard this contradiction as an act of corporate fraud to mislead the investing public.
“By lying about its engagement with the public, Lynas understates the risk of revolt by the local residents when the Lamp is ready for production at the end of this year,” said Fuziah.
“The investing public has the right to access correct information to facilitate their decision making.
“Therefore, we urge the Australian Securities and Investments Commission to compel Lynas to issue a correction to its quarterly report, or to disclose all submitted documents to the public,” she added.