License of an export company cancelled

Thimphu, February 17, 2009: Intervention by the Anti Corruption Commission forced the Department of Geology and Mines to cancel the license issued to an export company – Hungla Exporter – which was permitted to talc from the road at Bazobari, Buka-Tading in Samtse district. 

The company, which was permitted only collecting talc left on the surface during the construction of the Samtse-Phuentsholing highway, was found engaged in illegally extracting minerals outside the permitted areas. The company is learnt to have begun excavation from areas where talc residues were found in abundance.

The department said minerals collected from outside the prescribed areas would be seized but has not furnish details how it would distinguish talc collected from the road surface from the excavation site. 

The company had already faced a corruption charges while trying to get contract for mining in the same district. It was only after ACC intervened that department took action against the company this time.