Hu, Rio Tinto workers face China trial

11 Feb 2010, 7:12 pm   -   Source: AAP
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Stern Hu and his associates were detained in July. (The Australian)

Stern Hu and his associates were detained in July. (The Australian)

Australian businessman Stern Hu and three other detained employees of mining giant Rio Tinto could face trial within weeks, a Foreign Affairs official says.

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Australian businessman Stern Hu and three other detained employees of mining giant Rio Tinto could face trial within weeks, a Department of Foreign Affairs and Trade (DFAT) official says.

The federal government has confirmed the detainees will face trial on charges of bribery and stealing commercial secrets, disclosed by China on Wednesday, but a trial date has not been set.

Graham Fletcher, DFAT's north Asia division first assistant secretary, told a Senate estimates committee hearing the department assumed, based on precedent, that the trial would be held "within several weeks or a couple of months".

"Based on advice from people who have been dealing with cases across China, my personal feeling is that it is likely to be weeks rather than longer," Mr Fletcher said.

He said China had stuck closely to the time limits set out in its procedural laws and had not sought extensions.

An Australian consular official would attend the trial, Mr Fletcher said.

Chinese law provides for a maximum penalty of seven years' jail and a fine for stealing commercial secrets, and more than five years' jail for bribery.

Greg Moriarty, first assistant secretary in the DFAT consular division, declined to speculate on possible penalties that Hu and his co-defendants could face.

Australian officials had stressed to Chinese authorities the need for the case to be handled transparently and expeditiously, he said.

Sam Walsh, chief executive of Rio Tinto's iron ore division, said in a statement on Thursday the company was "very concerned" about the nature of the charges, but it was inappropriate to comment further.

China insists the accused men's rights will be "fully guaranteed".

"China will handle the case according to China-Australia consular agreements and relevant international conventions and the rights of the defendants will be fully guaranteed," foreign ministry spokesman Ma Zhaoxu said in Beijing on Thursday.

The four Rio Tinto employees were detained on July 5 during contentious iron ore price talks with China's steel industry group.

The case has strained relations between Beijing and Australia, a key supplier of the bulk commodity to China's steel mills.

Hu remains in the Shanghai Detention Centre.

Mr Moriarty said the priority was to ensure Hu's health and welfare were safeguarded.

Australian consular officials have visited once a month, meeting Hu for up to an hour, albeit in the presence of Chinese officials.

The last visit was on January 29, with another due later this month.

Chinese law had barred direct contact between Hu and his family up to this point, Mr Moriarty said.

"He has been able to see his legal representative and to meet with consular officials, but I don't think he has met with his family," he said.

Hu is likely to be able to meet family members now that he has been charged.

Curtin University of Technology Professor of International Management Samir Ranjan Chatterjee said the case raised interesting questions about China's definition of bribery, given its strong culture of giving and receiving gifts.

"It is a difficult thing because they are accusing Stern Hu and his associates for doing something that is a really normal practice in China ... gift giving," Professor Chatterjee told AAP.

"Where does this gift giving and gift receiving become corruption?"

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