Get your house in order, major investor orders Rio

Scandal-struck Rio Tinto needs to “strengthen internal processes and controls”, one of its biggest investors warned today.

The mining giant’s governance has been thrust into the spotlight after twoof its most senior former executives, Alan Davies and Debra Valentine were sacked over an alleged $10.5 million (£8.3 million) African bribery scandal.

Now Jason Kururangi of Aberdeen Asset Management — the eighth-largest holder of Rio’s shares — has publicly warned the miner to “strengthen internal processes and controls around things such as bidding,” and to ensure “people are held accountable.”

His comments follow concerns, raised anonymously by other major shareholders, over Rio’s handling of the Guinea bribery claims. One warned Rio could miss out on other major mine deals and said “the message [the sacking of Davies] sends is that you’re expendable.”

Rio wouldn’t comment on Kururangi’s warning.