Case „Illegal Trade of Mercury“
Core Business • 2 CEO‘s : Mr. B. and K. merged their business • Treatment of contaminated items & recycling • Extraction of Hg from contaminated soil, batteries and from light bulbs for recycling • Creation of an „environmental friendly “ treatment of mercury to neutralise (stabilise) into low hazardous waste „ vermilion “ • EU- wide delivieries of mercury to GER for neutralisation/deposition • Problems: Vulnerable extraction process, High investments, Hg- Mixer (with sulfur) too small/slowly
Rotating Tube Furnance
(EC) No 1102/2008 on the banning of mercury exports and the safe storage of metallic mercury • The export from the Union of mercury and of several mercury compounds is prohibited (since March 2011 ) • Mercury that is no longer used in the Union in the chlor- alkali industry or that is gained from the cleaning of natural gas or from non-ferrous mining and smelting operations or that is extracted from cinnabar ore qualifies as waste to be disposed of in accordance with the law of the Union on waste… • Mercury as waste can be temporarily or permanently stored in underground and/or above-ground storage facilities, in accordance, inter alia , with the requirements set out in Directive 1999/31/EC on the landfill of waste, as amended by Council Directive 2011/97/EU.
Suisse Business Model • Metal Trader T. established contacts to Suiss Businessmen B. and F. • B. also run a Rotating Tube Furnance to extract Hg and was able to trade Hg from Switzerland • F. proposed a „ Suiss Business Model“ including the use of front „ dummy “ companies and accounts on Cayman island • Illegal exports of Hg to B. in Switzerland and Hg- trade from Switzerland through B. and F.
Scope of the criminal activities • 1,000 tons of Hg exported to Switzerland • Hg sold to other Metall Traders worldwide • Profit ~ 40 M € in app. 3 ys (2011-2014) • Involving the employees • Storage of Hg on the companies name in Netherlands, Greece and Singapour • EU Com advised GER to repatriate Hg
Criminal procedure/trial • Both CEO‘s arrested at an airport und taken into custody • Seizures of more than 20 M Euros & real estate • Insolvency of the company • Trial against the CEO‘s led to 3,9 & 3,6 ys imprisonment for the CEO‘s and 3 ys for the metal trader T. • Suiss metal trader B. faces seperate charges • Suiss business model holder F. passed away
Environmental admin. measures • Repatriation and neutralisation of Hg from NL & Greece – back to the successor company • Singapour ongoing, Problems: - Hg trade from Singapour legal - Storage company wanted reimbursement and impunity - Banks & Liquidator wanted ownership of Hg - Amount of Hg in Singapour all from DELA? - Who is responsible for the repatriation? - Who should be informed and involved?
Success factors • Criminal investigations and prosecution conducted by specialised dept. for economic and organised crime • Full confessions of the charged CEO‘s • Meeting with involved parties • Negotioations with the storage owner in Singapour through insolvency lawyer • Cooperation with the environmental administration in Singapour • Compensation of 1,3 M € for repatration of Hg
Recommend
More recommend
