For Immediate Release: ACC: Foreign Corporate Failures Can Be Concealed
May 2, 2012
(Tucson, Ariz) – Although the Rosemont Copper Company has admitted that two of its key officials repeatedly concealed a corporate bankruptcy from Arizona regulators, the Arizona Corporation Commission (ACC) said today that that’s just fine with them. Both Donald Clark and Richard Warke were principals in a significant Canadian company that went bankrupt in 1995. When Rosemont submitted its initial application to do business in Arizona in 2005, and for seven subsequent years, they concealed the Canadian bankruptcy.
“Apparently, the ACC believes that what happens in Canada stays in Canada,” said Vince Rabago, the former state prosecutor who asked the ACC to investigate the matter on behalf of Save the Scenic Santa Ritas. “The Commission is now saying that anyone from a foreign country who wants to set up shop in Arizona, whether they are from Canada, China, Korea, or anywhere else, can conceal corporate misdeeds so long as they took place overseas. That just doesn’t make any sense and it’s bad for Arizona.”
“The bottom line is that the ACC has now created a loophole in Arizona law and Rosemont is exploiting it,” Rabago added. “But the ACC doesn’t have the final word. The Attorney General was also asked to investigate whether Rosemont violated Arizona law when it concealed the Canadian bankruptcy, and the AG may not agree with the ACC’s ‘what happens in Canada stays in Canada’ loophole.”
The letter from the ACC dated May 1, 2012 can be downloaded here.
The ACC complaint and supporting documents can be found at: http://www.scenicsantaritas.org/complaint.