Smelter closed down by force in Bangka Island
Wednesday, September 27 2006 - 03:04 AM WIB
Head of Bangka Belitung police office Imam Sudjarwo said in Pangkal Pinang Tuesday that local police closed down the smelter owned by China?s PT BBIM forcefully because the company has built a plant with its facilities including warehouses, an office, a workers? housing complex on around 17 hectares of land in productive forest area in Bukit Sambung Giri, Merawang, Bangka.
The smelter owned by PT BBIM is deemed the second largest one in Bangka Island.
Imam said that PT BBIM only possessed a mining permit for exploration that ended in 2004.
The company failed to get a mining permit for exploitation because the Ministry of Forest refused to give the permit. Despite the absence of the permit, PT BBIM had built a plant complex on a productive forest area.
The smelter has been found accommodating the outlets of tin mining conducted unconventionally around the plant and other locations, leading the company to export tin without an obligation to pay a royalty.
According to data at the Bangka Belitung police office, PT BBIM exported 10,000 tons of tin or worth US$65 million from the period of October 2004 to September 2006.
The police office had named PT BBIM director and another one responsible for the company operation and who also represented investors? interest as suspects. (*)