Rio Tinto CEO's fate "in the balance" after blasting of Aboriginal site

Rio Tinto CEO Jean-Sébastien Jacques' fate is in the balance after shareholders call for the heads of executives following the company's destruction of a 46,000-year-old Aboriginal site at Juukan Gorge, Western Australia back in May.

The corporation admitted on Friday that it has hired dozens of lawyers for a potential injunction to stop it blowing up two more caves at the gorge ahead of investor pressure leading up the board's meeting on Thursday.

The pressure is said to be so high that directors are turning on each other, pointing the blame at whomever they feel was negligent in misreading the situation leading to the explosion.

Representatives from the Puutu Kunti Kurrama and Pinikura (PKKP) Aboriginal Corporation met with Jacques this week but declined to comment on the meeting when asked by journalists.

They added: “This includes private meetings and discussions with senior executives to share our feelings and attempt to establish a way forward to repair, rebuild and grow our relationship."

“In the interests of maintaining integrity in this process, and in line with our approach to date, the PKKPAC would prefer to not offer further comment publicly at this time.”

The company's board slashed $7 million from the bonuses of both Jacques and iron ore head Chris Salisbury, but investors have been demanding more, potentially spelling doom for their jobs.

Ian Silk, the chief executive of Australia's largest superannuation fund, AustralianSuper  - who are also  major shareholders in Rio Tinto - said: "The penalties fall significantly short of appropriate accountability for those responsible," while the Australian Council of Superannuation Investors chief executive Louise Davidson said executive accountability needed to go "further than just a financial penalty."

The internal investigation undertaken by the board who absolved everyone of any serious blame was widely criticised by shareholders, the traditional owners and the community at large.

The leaders were also reportedly not aware of the significance of Juukan Gorge to Australia's indigenous population.

Meanwhile, a Senate hearing into the incident and whether or not laws protecting indigenous sites are fit for purpose has further fanned the flames against Rio Tinto.

The Australian Centre for Corporate Responsibility condemned the corporation for their actions.

Its legal counsel, James Fitzgerald, said: “After blasting Juukan Gorge in May, Rio Tinto assured investors and journalists that the company would be seen in a better light once all the facts emerged.

“Precisely the opposite is proving to be true. The minutes show deliberate efforts to lawyer up and defend the destruction that hadn’t yet occurred. There is no record of surprise, shock, regret or remorse by Rio executives.”

PKKP spokesman Burchell Hayes has previously said: "The corporation only found out by default on 15 May when we sought access to the area for Naidoc Week in July”.

The PKKP people said the destruction of the site – which has triggered global condemnation of the company, a review of WA’s outdated Aboriginal heritage legislation and a federal parliamentary inquiry – was “soul-destroying”.

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