The Australian government is prosecuting a company with ties to China and a former associate, accusing them of suspected violations of foreign investment laws. This case is the first of its kind. One of the implicated companies is Indian Ocean International Shipping Services, which is one of five foreign investors with ties to China. In 2024, Treasurer Jim Chalmers ordered the company, citing national interest, to sell within three months its 10.37% stake in North Mining to an unrelated third party. North Mining, as a supplier, has become a focal point of competition due to its supply of rare earths to the refinery being constructed by Iluka Resources in Western Australia. The Australian government previously blocked Singapore-based Yuxiao Fund, controlled by Chinese businessman Wu Tao, from doubling its stake in the company to nearly 20% in 2023. Yuxiao Fund, along with four other entities, including Blackstone Resources in the British Virgin Islands and Indian Ocean International Shipping Services headquartered in the United Arab Emirates.