S.Africa court to decide on silicosis class action against gold sector

DrdGOLD

12/10/2015 14:54

* Dust from gold-bearing rocks linked to debilitating 
disease 
    * Court to decide if case will be class action 
    * Billions of rand in damages sought 
 
    By Ed Stoddard 
    JOHANNESBURG, Oct 12 (Reuters) - A South African court on 
Monday began two weeks of hearings to determine if gold miners 
suffering from debilitating lung diseases they say they 
contracted at work can proceed with a class action lawsuit 
against the industry. 
    The stakes are high with miners seeking damages that could 
amount to billions of rand at a time when South Africa's gold 
industry is in a state of steep decline in the face of depressed 
prices and soaring costs. 
    The industry is opposed to the lawsuit proceeding as a class 
action, which would enable plaintiffs to join forces as a 
"class" as opposed to thousands of individual cases.  
    Plaintiffs, many from neighbouring countries such as 
Lesotho, are suing for compensation on the grounds that they 
contracted silicosis and tuberculosis through neglect. 
    Working deep underground for years without proper 
protection, countless South African miners inhaled silica dust 
from gold-bearing rocks and later contracted silicosis.  
    A disease which causes shortness of breath, a persistent 
cough and chest pains, it makes people highly susceptible to 
tuberculosis, which kills. 
    "If the court certifies the class, the lawsuit will 
proceed as the largest ever class action lawsuit in the 
country and on the continent," the Legal Resources Centre, a 
human rights group which has joined the case, said in a 
statement on Monday. 
    The planned suit, which has little precedent in South 
African law, has its roots in a landmark ruling by the 
Constitutional Court in 2011 that for the first time allowed 
lung-diseased miners to sue their employers for damages. 
    Attorney Richard Spoor, whose legal battle against a South 
African asbestos-mining company led to a $100 million settlement 
in 2003, told Reuters he had signed up more than 30,000 former 
miners and their dependants for the lawsuit. 
    Spoor would not be drawn on the specific amount he expects 
his clients to extract from the industry but said "we are 
certainly talking billions of rand." 
    Another law firm, Abrahams Kiewitz, has also joined the 
suit, which targets AngloGold Ashanti  ANGJ.J , Harmony Gold 
 HARJ.J , Sibanye Gold  SGLJ.J , Gold Fields  GFIJ.J ,  Anglo 
American  AAL.L , DRDGold  DRDJ.J , and African Rainbow Minerals 
 ARIJ.J . 
    Industry officials would not comment on the case and the 
ruling on whether it can proceed as a class action may not be 
made until next year. 
 
 (Editing by James Macharia) 
 ((Edward.Stoddard@thomsonreuters.com; +27 11 775 3160; Reuters 
Messaging: edward.stoddard.thomsonreuters.com@reuters.net)) 
 
Keywords: SAFRICA GOLD/LAWSUIT