On 3 May 2012, the High Court of Australia has found the 7 directors of James Hardie breached their duties by approving the James Hardie stock exchange release of a misleading statement.
Just over 10 years ago, James Hardie moved its asbestos liabilities into an asbestos foundation and in the statement they said this foundation was “fully funded” to meet future asbestos compensation claims, including claims for those suffering mesothelioma.
The Australian Securities and Investment Commission (ASIC) commenced legal proceedings against the 7 James Hardie directors.
The matter now goes back to the Court of Appeal who will determine a number of matters, including penalties.
