Colombia’s state council ordered multinational coal mining company
Drummond Limited to pay US$40 million for changing a contract to
minimize royalty payments.
Drummond, which earned US$1.77 billion
in 2006, altered the formulas used in its transportation contract with
rail company Ferrovias in 1997, thereby reducing royalty payments,
ruled the court, according to news agency CM&.
Lawyers for Drummond charged the court failed to properly examine
the evidence in the case, especially overlooking that similiar
adjustments in the past had been judged not increase or diminish
royalty payments by the state, Caracol Radio reported.