Treasurer sues foreign investor after Northern Minerals selloff order
Make us a preferred source
Make us a preferred source on Google
The news: Treasurer Jim Chalmers is taking action in the Federal Court of Australia against Indian Ocean International Shipping and Service Company and its former associate after it was ordered to sell off shares in rare earths mining company Northern Minerals.
The context: The Treasurer is seeking penalties, declarations and costs. Chalmers said in a statement he is taking action to “protect the national interest and integrity of our foreign investment framework”.
Chalmers instructed five foreign investors on 2 June 2024 “to dispose of shares in Northern Minerals Limited to persons who were not their associates” by 2 September 2024.
The initial order was made against Yuxiao Fund and four associates, including Indian Ocean, on the advice of the Foreign Investment Review Board (FIRB).
The order was made following a FIRB investigation into accusations Northern Minerals investor Yuxiao Fund tried to covertly gain control of the company and remove then-executive chair Nick Curtis.
Chalmers said this is the first case brought by a Commonwealth government Treasurer before the federal court for an alleged breach of the foreign investment laws.
The source: Treasurer Jim Chalmers media release
