Dr Michael Smurfit has rejected criticism of Smurfit's Colombian operations at the group's annual general meeting, responding angrily to a range of shareholders' queries on the issue.
After what he termed a "horrible" six months following the collapse of the market for container board, the chairman was in no mood to entertain criticism of its South American operations.
A report which accuses the Jefferson Smurfit group of "disturbing" work practices and disregard for the environment was always going to be the main talking point at the meeting and it prompted terse exchanges between Dr Smurfit and his critics.
The report was drawn up by a group calling itself the "Smurfit Environmental and Human Rights Shareholders' Group", which includes Mr John Wann, Ms Christine Warner, Mr Gearoid O Loingsigh and Mr Stephen Coyne.
Its findings were "selective, unbalanced and an untrue reflection of the real situation", Dr Smurfit told shareholders yesterday. The Jefferson Smurfit group was "extremely disappointed" at its findings and "leaks" to the media, he said. "We are angry that the report suggests our management are not open and honest people. The delegation was given access but it would be naive of them to expect to be given access to competitive information. This does not indicate that we are a company with anything to hide or to be afraid of," Dr Smurfit said.
Mr Victor Giraldo, vice-president of Smurfit Carton de Colombia (SCC), delivered an "initial response" to shareholders, insisting the company did not dismiss workers without good reason. SCC enjoyed excellent labour relations with its staff, he said. It was also committed to preservation of the environment, in particular the rain forests and wetlands on Smurfit-owned property, he told the meeting.
Green Party MEP Ms Patricia McKenna, who was part of the delegation, was quick to take issue with Mr Giraldo's version of events and drew the chairman's wrath. The microphone was cut off twice during her contribution, with the chairman pressing her to get to the point.
"You are not allowed to make a speech. Ask your question," Dr Smurfit said. Ms McKenna insisted the group, which was brought to Colombia by Jefferson Smurfit, had photographs that showed the group had planted pine trees in preserved wetlands.
"Did you see us plant there?" the chairman inquired before closing the discussion. "I think we've had enough of wetlands". Another shareholder attempted to raise the matter once more but the chairman was having none of it. "I believe we have given sufficient time to this issue. If you have any further queries, please contact us after the meeting," he advised.
On a brighter note, Dr Smurfit was looking forward to price increases in container board to lift the group's spirits. The increases, which are due on July 1st, would be "very effective", he said.
