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Government hires US law firm to deal with Noranda claim

Published:Friday | May 6, 2016 | 1:21 PM
Noranda reportedly owes the government more than $3.5 billion under the bauxite levy.

The Government has retained legal counsel in the United States to help secure its interest in the bankruptcy case involving Noranda Aluminum Holding Corporation.

In February, Noranda filed for Chapter 11 bankruptcy in a US court.

The company’s creditors have been advised that they must file a proof of claim on or before June 3 or August 30, in the case of government creditors.

Noranda reportedly owes the government more than $3.5 billion under the bauxite levy.

Speaking during this week’s meeting of the Standing Finance Committee of Parliament, Mining Minister Mike Henry said a US law firm has been engaged to advise the administration on the filing of a claim in that aspect of the matter.

Meanwhile, Henry says a Government team is monitoring the situation involving Noranda Aluminum Holding Corporation.

He says the team comprises representatives of his ministry; the Ministry of Finance and the Public Service; the Attorney General’s Office; Jamaica Bauxite Mining Limited; and the Jamaica Bauxite Institute.

Noranda Aluminum Holding Corporation is the parent company of St Ann-based Noranda Bauxite Limited, which is part owned by the Government.