"Over the past few years, The Times has devoted significant resources to covering the social, political and environmental impact of large-scale mining by Newmont and other companies around the world," it said in a statement sent to AFP.

"We think this is an important global story for our readers, and our coverage of Newmont has been fair and accurate. We plan to defend the suit vigorously," it said.

Executive Richard Ness lodged the action for more than 64 million dollars in damages on Tuesday, saying the newspaper's articles were inaccurate, unfair and had contributed to criminal charges being brought against him and Newmont.

Ness and the Indonesian unit of Newmont that he heads were cleared by Indonesian judges of charges last month that they polluted Buyat Bay with arsenic and mercury from the mine on Sulawesi island.

Prosecutors had wanted to jail Ness for three years in a drawn-out case closely watched by foreign investors and environmentalists.

The charges were laid after the 2004 stories -- including one of the newspaper's front page -- about Buyat Bay villagers reporting illnesses from the pollution and complaining the waste was killing marine life.

Ness said the allegations and subsequent court case had taken their toll on his personal life and he needed to continue fighting to clear his name.

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