Two months after the Brumadinho tragedy, Vale has R$ 13,65 billion blocked.
Exactly two months after the collapse of the Córrego do Feijão dam in Brumadinho (MG), the mining company Vale has R$13,65 billion blocked by the courts; the tragedy-crime left 212 people dead and another 93 missing; almost a thousand people who live near Vale's dams are out of their homes; the blocked amount is more than double what has been spent to date on repairing the damage caused by the Mariana (MG) tragedy, which occurred in November 2015.
Léo Rodrigues, reporter for Agência Brasil - Exactly two months after the collapse of the Córrego do Feijão dam in Brumadinho (MG), the mining company Vale has R$13,65 billion blocked by the courts. The amount aims to secure resources to repair not only the damage caused by the tragedy that occurred on January 25, but also the losses caused by the evacuations that took place in cities where other structures would be at risk of collapsing.
The Civil Defense of Minas Gerais has already confirmed the deaths of 212 people, and another 93 are missing. In addition, nearly a thousand people living near Vale's dams are displaced from their homes, not only in Brumadinho, but also in the Minas Gerais municipalities of Barão de Cocais, Nova Lima, Ouro Preto, and Rio Preto.
The first freeze on Vale's assets occurred on the evening of January 25th, the same Friday as the dam collapse. The Court of Justice of Minas Gerais (TJMG) froze R$1 billion as part of a lawsuit filed by the Minas Gerais government seeking compensation for damages. Subsequently, the mining company was authorized to secure R$500 million of this frozen total in the form of liquid assets, bank guarantees, or insurance. The remaining R$500 million remains unavailable from the company's accounts.
In the two days following the tragedy, the mining company was prevented from moving another R$ 10 billion, this time complying with requests made in a public civil action filed by the Public Prosecutor's Office of Minas Gerais (MPMG). On January 26, R$ 5 billion were frozen in Vale's accounts to secure resources for environmental recovery, and on Sunday, January 27, another R$ 5 billion were frozen to guarantee compensation for the damages caused to those affected.
The labor courts froze another R$1,6 billion in January, responding to a request from the Labor Public Prosecutor's Office (MPT). These funds are intended to guarantee labor compensation, given that a large part of the victims affected in Brumadinho are employees of Vale and outsourced companies that provide services to the mining company. According to the decision of the Regional Labor Court of Minas Gerais (TRT-MG), R$800 million of the total R$1,6 billion frozen is exclusively to guarantee compensation for collective moral damages.
Evacuations
The asset freezes of R$1 billion and R$10 billion ordered by the Minas Gerais Court of Justice (TJMG) in lawsuits filed by the Minas Gerais government and the Minas Gerais Public Prosecutor's Office (MPMG), respectively, and the R$1,6 billion determined within the scope of the Labor Court, total R$12,6 billion to ensure reparations for the damages caused by the Brumadinho tragedy. In addition to this amount, another R$1,05 billion was frozen from Vale's accounts due to evacuations in other cities in Minas Gerais.
To ensure compensation for damages suffered by residents who were removed from their homes in Barão de Cocais (MG), the TJMG (Court of Justice of Minas Gerais) agreed earlier this month to freeze R$0,05 billion. Subsequently, about two weeks ago, a new decision prevented the mining company from moving another R$1 billion in order to guarantee resources for repairing the damages suffered by the population affected by the evacuation in Macacos, a district of Nova Lima (MG). These two decisions responded to requests made by the MPMG (Public Prosecutor's Office of Minas Gerais) and the Public Defender's Office of Minas Gerais.
Other lawsuits are still pending in which the Minas Gerais Public Prosecutor's Office (MPMG) is requesting the freezing of funds, but no court decision has yet been reached. For example, the document filed on March 13th requests that the mining company be prevented from moving R$ 50 billion in order to guarantee the funding of environmental remediation actions in the region affected by the mudslide.
The total of R$ 13,65 billion blocked is more than double what has been spent to date on repairing the damage caused by the Mariana (MG) tragedy, which occurred in November 2015 when a dam belonging to Samarco, whose shareholders include Vale and the Anglo-Australian BHP Billiton, collapsed. Approximately R$ 5,26 billion had been spent by the end of last year, according to data from the Renova Foundation, which is funded by the three mining companies and is responsible for managing the necessary actions. For 2019, the budget released by the entity foresees the allocation of another R$ 2,94 billion for reparations, of which 36% is exclusively for compensation and monthly aid to those affected.