Not Closing Down Australian Mining Business, Lanco says despite Liquidation Proceedings

By IVCPOST Staff Reporter

Jul 04, 2013 09:23 PM EDT

Based on reports from the Australian Financial Review, Lanco has not yet filed for a defense against the tax office's appointment of a liquidator.

The company's spokesperson, Griffin Coal Mining claimed that the company has yet to receive a winding-up order before it will decide to close down the Australian mining business. However, the company remains positive that no such order will take place and that its tax problems will be resolved quickly. 

The Lanco unit has not been releasing pension payments on time to workers since reporting of losses, complained the CFMEU labor union. Moreover, it has also been postponing payments to its supplier, Dyno Nobel Pty Ltd, which as as result, stopped providing the company with explosives to be used in the mines. This led to the company's limited capability to produce goal, aggravating the cash flow situation.

© 2023 VCPOST, All rights reserved. Do not reproduce without permission.

Join the Conversation

Real Time Analytics