Prime Minister Juha Sipilä visited Terrafame's nickel and zinc mine in Sotkamo, Kainuu, on 14 November, 2016.
Prime Minister Juha Sipilä visited Terrafame's nickel and zinc mine in Sotkamo, Kainuu, on 14 November, 2016.

The Parliamentary Ombudsman, Petri Jääskeläinen, has ruled in favour of Prime Minister Juha Sipilä (Centre) in a case related to a decision to capitalise Terrafame Group, a state-owned nickel and zinc miner.

Jääskeläinen had received almost two dozen complaints suggesting that Sipilä should have disqualified himself from the decision-making process.

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The complaints were lodged after it emerged that the state-owned miner had awarded a half-a-million euro contract to Katera Steel, an engineering company owned by the children and uncles of Sipilä, shortly after receiving the cash injection.

Katera Steel's business operations and their continuation, however, were not dependent on receiving the contract, according to the ruling.

Five per cent of shares in the engineering company were at the time owned by the children and the remaining 95 per cent by the uncles of Sipilä. His children divested their stake in the Katera Steel in January, reports YLE.

Jääskeläinen also determined that there was no interrelation between the decision to capitalise Terrafame and the decision to award the contract to Katera Steel. The order, he explained, would have had to be placed also in the event that the central administration had decided to pull the plug on the mining operation.

“The Parliamentary Ombudsman has for the aforementioned reasons concluded that the decision to capitalise Terrafame Group provided no ‘expected’ or ‘special’ benefit to the children of Sipilä,” he stated.

The Prime Minister consequently was under no obligation, as defined in the Administrative Procedure Act, to disqualify himself from the decision-making process related to the capitalisation of Terrafame Group.

Aleksi Teivainen – HT
Photo: Kimmo Rauatmaa – Lehtikuva
Source: Uusi Suomi