News: Australia says probes asbestos in China firm's supplies, seizes evidence

SYDNEY, July 20 (Reuters) - Australian authorities said on Wednesday they are investigating whether building materials supplied by Hong Kong-listed Yuanda China <2789.HK> contain the banned mineral asbestos and have seized evidence related to the checks.

The Australian Border Force (ABF), the agency responsible for screening imports, said it conducted several searches on Tuesday, during which it seized "digital and physical evidence".

All imports from Yuanda and its affiliates will be held at the border until the tests can be conducted to confirm no asbestos contamination is present, it said.

Yuanda was not immediately available to comment at both its Australia and China offices.

The move comes after Australian property group LendLease (LLC) said on Friday it was investigating the presence of asbestos in materials supplied by Yuanda.

That followed confirmation earlier by Western Australia of the presence of white asbestos in one of the 150 roof panels supplied by the Chinese construction company in the soon-to-be-opened A$1.2 billion ($896.76 million) Perth Children's Hospital.

The discovery of asbestos could have ramifications for other major government projects that source their products from China, including the Perth Stadium, local media reports have said.

Asbestos has not been used in building materials in Australia since the 1980s but it was not until December 2003 that asbestos and all products containing asbestos were banned in the country. It is illegal to import, store, supply, sell, install, use or re-use these materials.

Prolonged inhalation of asbestos fibers can cause serious and fatal illnesses such as lung cancer and asbestosis, according to the World Health Organisation.

In Australia, offences related to asbestos can attract fines of up A$180,000 or three times the value of the goods, whichever is greater, the ABF said. Companies can face fines of up to A$900,000, it said. ($1 = 1.3382 Australian dollars)