Reuters was first to report that federal prosecutors in Brazil’s Minas Gerais state are seeking a court order for miner Vale to replace executives they accuse of disregarding safety procedures following two deadly mining disasters. The prosecutors have sought tough remedies against the iron ore mining giant, including a potential suspension of all dividend payments that would effectively bar Vale from resuming such payouts as it had hoped to do. The suspension would take effect in the event the company declined to cooperate with an “interventor” the court wants to take care of the miner’s safety program.
Reuters first to report Brazil prosecutors ask court to remove Vale managers over safety concerns
Vale shares fell more than 3% the morning after the report was published.