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Corporate Crime or Not? The Kolontar Disaster in Hungary. A Case Study.

Thu, Nov 17, 12:30 to 1:50pm, Hilton, Grand Salon 22, 1st Level

Abstract

In 4th October 2010, the strongly alkaline red sludge spilled out when a dam at the reservoir of the alumina plant, owned by MAL Ltd. broke. Four people were killed and more than 200 were injured in the village Kolontar and its surroundings as well as 400 residents had to be evacuated from the region. The Hungarian government has suspended the production. MAL Ltd. declared that, according to EU standards, the red sludge was not considered a toxic waste, and added: “Management neither could foresee the signs of the natural catastrophe nor could do anything to prevent it”. After the disaster several examinations (criminal case, civil, administrative, environmental, labor) have started. Most of them have already been completed, however, there were no clear statements on civil or criminal liability including corporate criminal liability. In my paper I intend to analyze the context of the case, i.e., the status/position of the offenders, the primary victims, the form of harm and the legal classification. I also examine the judgements of different state enforcement agencies and their explanations especially concerning corporate criminal responsibility.

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