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Parent Company of Continental Carbon Implicated in Major Bribery Scandal in Taiwan as Trial Against Continental Carbon Proceeds in Alabama, Says PACE International Union

    NASHVILLE, Tenn., Aug. 17 /PRNewswire/ -- The Paper, Allied-Industrial,
Chemical and Energy Workers International Union (PACE) disclosed today that
Taiwan Cement, one of the parent companies of Continental Carbon, has been
implicated in a bribery scandal in Taiwan, according to newspaper accounts in
Taiwan.
    The Taiwan Confederation of Trade Unions provided PACE with newspaper
articles about the scandal, and the union translated them into English.
According to the articles, a subsidiary of Taiwan Cement may have used over $3
million to bribe public officials for favorable treatment of a contract to
build a huge incinerator in Linnei Township, Taiwan.
    Several company and public officials were detained and a full
investigation is under way.  Included among those being implicated in the
scandal is the general manager of Tajung Environmental Protection Company, a
subsidiary of Taiwan Cement and the main company involved in the incinerator's
construction.
    The scandal in Taiwan coincides with the start of a civil trial in Alabama
in which Continental Carbon and its two parent companies, Taiwan Cement and
China Synthetic Rubber Company, are being accused of violating pollution laws
and causing major damage to businesses, public buildings and residences.
Potential fines and damage awards could be in the millions according to the
Ledger-Enquirer, the local newspaper covering the Alabama trial.
    PACE supplied critical information to the attorneys for the Alabama
plaintiffs that Continental Carbon had placed into the trash.  A Texas state
court judge last month threw out a temporary restraining order that prevented
PACE from using the documents.  PACE currently has 28,000 documents in its
possession.
    The union continues to press regulatory agencies to crack down on
Continental Carbon's pollution in Ponca City, Oklahoma.  The union and the
Ponca Tribe have filed two lawsuits against the company.
    Last week, PACE held a public meeting for residents of Ponca City being
impacted by carbon black dust from Continental Carbon's Ponca City plant.
Carbon black has been designated a carcinogen in California.  Over 80
residents attended the meeting and discussed how the pollution had increased
since experienced union workers were locked out in May 2001.
    "The company replaced experienced workers with a largely itinerant work
force, and the community is organizing to make sure that Continental Carbon is
held accountable for its actions," said Todd Carlson, spokesperson for PACE
and one of the locked-out workers. "The company thought it could make money
through a cut-rate work force, but it is all coming back to haunt them."
    Attending the meeting was an attorney who discussed the possibility of a
civil lawsuit in Ponca City similar to the one currently being tried in
Alabama.
    For further information on Continental Carbon's labor and environmental
problems, see http://www.fightbackonline.org or http://www.paceunion.org .


SOURCE PACE International Union




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Related links:
  • http://www.paceunion.org
  • http://www.fightbackonline.org
    CONTACT:
    Joe Drexler, PACE Special Projects Director,
    (cell) +1-615-594-2074, or Todd Carlson, PACE Group Chair, Ponca
    City Workers, cell, +1-580-763-2160, both of PACE International
    Union