Fed: ASIC move on Hardie sends right signal - Labor

AAP General News (Australia)
02-15-2007
Fed: ASIC move on Hardie sends right signal - Labor

CANBERRA, Feb 15 AAP - Civil proceedings initiated by the Australian Securities and
Investments Commission (ASIC) against James Hardie Industries is an opportunity to reinforce
good corporate standards, Labor says.

ASIC is suing the building products company plus 10 current and former executives and
directors for allegedly misleading investors over its compensation payouts for asbestos
victims.

The legal action comes after James Hardie shareholders last week voted in favour of
a $4.5 billion compensation payout to a fund for asbestos sufferers, ending six years
of wrangling.

"Victims for James Hardie finally got certainty on their compensation last week, but
it has been a long time coming," Labor's spokeswoman on corporate governance and responsibility
Senator Penny Wong said in a statement.

"The company and its executives should now be held to account for their initial actions,
which could have left victims without proper compensation."

Senator Wong said Labor particularly welcomed ASIC's indication its proceedings would
not impact on the compensation deal.

"Labor's top priority has always been - and remains - justice and fair compensation
for asbestos victims," she said.

AAP dep/sb/it/nf

KEYWORD: JAMES HARDIE LABOR

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