Aussie lawyer questioned over Mongolian corruption

The Federal Government is providing consular assistance to an Australian woman who is facing a corruption investigation in Mongolia.

Lawyer Sarah Armstrong, 32, is working in Mongolia for a company controlled by Rio Tinto.

She was detained at the airport in the Mongolian capital Ulaanbaatar.

As chief legal counsel to SouthGobi Resources, she has been asked about any knowledge she has of bribery and tax evasion.

But some in her company say Ms Armstrong is being harassed in the form of payback for corruption allegations she made earlier regarding Mongolian officials.

Ms Armstrong is not in custody, but is not being allowed to leave Mongolia.

Foreign Affairs Minister Bob Carr denied earlier reports that Ms Armstrong's passport had been confiscated.

Mr Carr was in Mongolia earlier this month and says Australia's relations with the country are "very good".

"The authorities in Ulan Baatar are seeking to interview her further - not, I'm advised, about any allegations against her - but about a complex matter between the company she works for, the resources authority of Mongolia and the Mongolia anti-corruption authority," he said.
Consul support

He says Ms Armstong is being supported by the Australian consul, who is likely to accompany her when she is interviewed by Mongolian authorities.

"In Ulan Baatar our consul-general David Lawson, who's met with the Australian woman on several occasions, is ready to accompany her to any meetings she has with the authorities and has made contact with the Mongolian Ministry of Foreign Affairs about the case," he said.

Mr Carr would not go into specific details about the case.

"I don't think it's wise to canvas this early in a case like this, a consular case like this, the speculation about how the set of circumstances came about," he said.

"The thing to underline is that like any Australian facing something like this, she's receiving strong consular support."

Mr Carr says Australia is the biggest mining investor in Mongolia.

"Our relationship with Mongolia is very good and I think we'll have good access in seeking to resolve this case," he said.

"Because of a unique Australian-Mongolia scholarship plan, you've got a significant number of people in the government in the administration of Mongolia who've been educated in Australia.

"They call themselves Maussies and they're a very active group.

"And that's created an atmosphere where I think we can resolve a problem like this as speedily as we could anywhere else in the world."

SouthGobi Resources explores for and mines coal in Mongolia, mostly for export to neighbouring China.

In a statement on its website, SouthGobi said neither the company or any of its employees had been charged with any wrongdoing.

"SouthGobi continues to cooperate with the Mongolian government agencies including the Independent Authority Against Corruption in their ongoing investigations," it said.

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