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<div class="row"> <div class="col-12 col-md-12"> <div> <h1 class="articleTitle">Cement company to stand trial for alleged terrorist financing </h1> <div class="authorDate"><strong class="authorName">Alice Johnson, IBA Multimedia Journalist</strong>Monday 25 November 2024</div></div> <img src="/medias/concrete-1140X375.png?context=bWFzdGVyfGltYWdlc3w1MDc4NDJ8aW1hZ2UvcG5nfGFEbGlMMmcxTmk4NU1UYzVOelE0TWpNM016UXlMMk52Ym1OeVpYUmxYekV4TkRCWU16YzFMbkJ1Wnd8NWRhMmUwNThhMDlhM2Y3MjM1M2E1YjM3NjUyOGRiMzUyYmI2M2NiODhlMWIxMWVmMTkzZjU3ZjA5MzI1NGQ2YQ" class="custom-banner-img articleBanner"> </div> </div> <p>In October, investigating judges ordered French cement company Lafarge and four of its executives to face trial over allegations that the company paid terrorists between 2012 and 2014 to continue its operations in Syria. </p><p>The company is alleged to have breached terrorist financing laws and violated an embargo by paying several million dollars via intermediaries to the Islamic state and other terrorist groups to secure the transportation of goods and employees after a civil war broke out in the country in 2011. </p><p>The case was sparked by a criminal complaint against the company filed by non-governmental organisation Sherpa, the European Centre for Constitutional and Human Rights (ECCHR) and 11 former Syrian employees in 2016. The complaint led to the indictment of Lafarge, its Syrian subsidiary and some of its executives, two years later. The terrorist financing trial is due to take place in Paris at the end of 2025. </p><div class="row"><div class="col-md-7"><p>Lafarge also faces a separate complicity in crimes against humanity charge over the alleged payments. The company is the first in the world to face the charge and in January lost a bid at France’s Supreme Court to get it overturned. An investigation into the offence is still ongoing. </p><p>Allegations of terrorist financing have opened the door to legal action against Lafarge in US. In 2022, the US Justice Department fined Lafarge and its Syrian subsidiary $788 million after the businesses pleaded guilty to conspiring to provide material support to terrorist groups, including the Islamic State of Iraq and al-Sham (ISIS), in Syria, between 2013 and 2014. The company is also facing a class action lawsuit brought by over 400 people who are victims of the Yazidi genocide by the Islamic State which began in Iraq in 2014. </p> </div> <div class="col-md-5"> <h3> Related links</h3> <ul class="include-chevron"> <li> <a href="https://www.ibanet.org/Podcasts/6813051">Podcast: Syria - an international crisis </a></li> <li><a href="https://www.ibanet.org/Syria-devastating-decade-of-civil-war">Feature: Syria's devastating decade of civil war </a></li> <li><a href="https://www.ibanet.org/UK-government-consults-on-access-to-trust-data">News analysis: UK government consults on access to trust data amid allegations </a></li> </ul> </div> </div> <div class="blockquote my-4"> <h3 class="text-dark"> There are numerous ongoing delicate situations, including Gaza, in which allegations of crimes against humanity are on the table. This could open a big Pandora’s box</h3> <p class="mt-2"> <strong>Nicola Bonucci </strong><br /> <em>Member of IBA Anti-Corruption Committee Advisory Board </em></p> </div> <p>Lafarge did not respond to requests from <em>Global Insight </em>for comment. The company has reportedly said that the allegations ‘relate to a legacy issue from a decade ago that Lafarge SA is addressing through the legal process in France and the United States’. </p><p>Anna Kiefer, an advocacy and litigation officer at Sherpa, says while she welcomes the terrorist financing trial, she hopes it won’t overshadow efforts to prosecute the company for complicity in crimes against humanity. ‘It should not divert attention away from the long wait for justice of former Syrian employees who will not obtain reparation during that trial,’ she says. ‘We continue to work for access to justice for them and towards a trial on the more important charge of complicity in crimes against humanity’. </p><p>Sherpa and other activist groups involved in the case had wanted Lafarge to additionally be charged with endangering the lives of former Syrian employees. They groups argued that the workers faced many threats while working at its Syrian cement plant, including risks of injury, kidnapping and death. The Supreme Court didn’t grant the request, however, and ruled in January that the safety protections provided by French labour law do not apply to Syrian employees. </p><p>Nicola Bonucci, the former director of legal affairs at the Organisation for Economic Cooperation and Development and a member of the IBA’s anti-corruption committee advisory board, suspects that the investigating judges are taking longer to send the complicity in crimes against humanity charge to trial because it is unprecedented and will most likely involve challenges around gathering evidence that the terrorist groups committed the crimes. ‘I think the issue is not so much the complicity but the need to establish that there is a crime against humanity based on the criminal threshold of beyond a reasonable doubt,’ he says. </p><p>Bonucci says that the international business and legal community will be watching the outcome of the complicity in crimes against humanity charge closely to see whether companies could be exposed to increased risk. ‘I presume that a number of courts in other countries will also look at this and when you think about the fact that there are numerous ongoing situations, very delicate situations, including Gaza, in which allegations of crimes against humanity are on the table […] this could really open a big Pandora’s box for a number of companies,’ he says. </p><p>Jonathan Mattout, the head of Herbert Smith Freehills’s corporate crime and investigations practice in Paris, says the question of whether a business should continue operating in a high-risk environment is complex and requires careful consideration by executives. ‘It is essential for the CEOs and board members of multinationals to have these issues at the top of their mind as a priority because they are very difficult to tackle,’ he says. ‘When things are changing slowly or sometimes very abruptly, they need to be able to respond so that people, as well as organisations, remain safe’. </p><p>Mattout, who is also the co-chair of the IBA’s business crime committee, says that in the current political climate companies are becoming increasingly alert to legal risks. ‘They are becoming more aware of the risks operating as a multinational globally with the rise of conflicts, sanctions regimes and enforcement actions,’ he says. </p> <p><span style="font-size:12px;"><em>StockMediaProduction/AdobeStock.com</em></span></p> <div class="row"> <div class="col-md-12"> </div> </div> </div> <ul class="share"> <li> <a data-href="https://twitter.com/intent/tweet?url=https://www.ibanet.org/cement-company-stand-trial" target="_blank" class="fab fa-twitter"></a> </li> <li> <a href="https://www.facebook.com/sharer/sharer.php?u=https://www.ibanet.org/cement-company-stand-trial" target="_blank" class="fab fa-facebook-f"></a> </li> <li> <a href="https://www.linkedin.com/shareArticle?mini=true&url=https://www.ibanet.org/cement-company-stand-trial" target="_blank" class="fab fa-linkedin-in"></a> </li> </ul> </div></div></div> <div class="container"> <div class="yCmsContentSlot row"> </div></div> <div class="container"> <div class="yCmsContentSlot row"> </div></div> <div class="container"> <div class="yCmsContentSlot row"> </div></div> <div class="container"> <div class="yCmsContentSlot row"> </div></div> <div class="container"> <div class="yCmsContentSlot row"> </div></div> </div> <div class="bg-light border-top printOff"> <footer class="py-5"> <div class="container"> <div class="row"> <div class="yCmsContentSlot"> <div class="yCmsComponent w-100"> <div class="content"><style type="text/css">footer, .footer-bottom {background: #01277a !important;} .footer-bottom p, footer p, footer address ,footer li, footer a, .footer-bottom a {color: #FFFFFF!important; 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