Kuantan MP, Fuziah Salleh lodged a complaint to the Australian Securities and Investments Commission (ASIC) on 27 September 2011 accusing Lynas Corporation of fraud for failing to publicly release a waste disposal plan.
The Lynas Corp plant will process ore from Western Australia in Malaysia, extracting rare earth minerals for hi-tech manufacturing.
The ore contains low levels of radiation, but the Australian company says its plant will be safe.
But Malaysian MP Fuziah Salleh has lodged an official complaint with the Australian Securities and Investments Commission (ASIC).
In a letter to ASIC, she says the company promised the International Atomic Energy Agency it would intensify consultation.
She says the company’s failure to publicly release a waste disposal plan amounts to corporate fraud.
Lynas says it has met with more than 3,000 residents in Malaysia since it was told to intensify communications.
The company says it is fulfilling its obligations.
The plant is expected to be complete by the end of the year.