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15 injured, eight arrested after E China riot

(Xinhua)
Updated: 2008-10-27 17:18

The Luhai company leased more than 100,000 mu (6,700 hectares) of forest in 2004, paying the peasants 80 yuan for each mu.

Shuanghong was a mountainous village where most of the population of 2,000 rely on forestry for a living, a county government official said.

The villagers became unhappy with the contracted rents and began felling trees after reforms of forest property rights and looser tax policies increased land values, the official said.

After government mediation, the company paid a further 6 yuan (76 US cents) per mu, the official said.

On Monday, the area appeared quiet and the damage had all been cleared up. Part of the plant was preparing to resume production. More than 100 pieces of lost facilities had been returned to the company by villagers.

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