A local newspaper reported that the State Specialized Inspection Agency filed a lawsuit against Oyu Tolgoi LLC late last week.

The State Specialized Inspection Agency had imposed a fine worth 457 million MNT to Oyu Tolgoi LLC on the basis that the company exploited sand and gravel without permission when it built a road over 100 km long from Gashuunsukhait to the Oyu Tolgoi mine.

However Oyu Tolgoi’s official stance is that the fine imposed by the State Specialized Inspection Agency is baseless.  Now the matter that has caused a disagreement between the State Specialized Inspection Agency and Oyu Tolgoi LLC has been taken to Court.

Previously, when the two parties had a minor disagreement they solved the issues calmly.

This time officials of the State Specialized Inspection Agency commented that the Agency noticed the company`s illegal acts and therefore delivered demands to the company. However, officials say the Oyutolgoi LLC did not accept the demands.

Oyutolgoi LLC denies the claims. Now the matter is being taken to Chingeltei District Court to be solved. The hearing will be scheduled next week.

Senior official of the State Specialized Agency J.Altanbagana refused to comment on the issue until the Court has reached a decision.