Glencore to pay DR Congo $180mn to cowl corruption claims

Glencore has agreed to pay $180mn to the Democratic Republic of Congo to cowl claims arising from alleged acts of corruption over 11 years, the most recent settlement that the mining firm has reached with authorities over its conduct.

Together with the brand new settlement, Glencore has this yr agreed to pay greater than $1.66bn to authorities world wide following investigations into its enterprise practices. Glencore, one of many largest mining firms on this planet by income, says it has undertaken a compliance overhaul in order that the practices recognized by the investigations now not happen.

The Swiss-based group pleaded responsible in Might to bribery and market manipulation following a co-ordinated investigation by US, UK and Brazilian authorities. It agreed a settlement with US authorities of greater than $1.1bn, and accepted a US authorized monitor who is anticipated to start work shortly.

The US investigation discovered proof of bribery by Glencore within the DRC. “Within the DRC, Glencore admitted that it conspired to and did corruptly provide and pay roughly $27.5mn to 3rd events, whereas intending for a portion of the funds for use as bribes to DRC officers, as a way to safe improper enterprise benefits,” the US Division of Justice wrote in a press release in Might.

Monday’s cope with the DRC covers any previous and future claims arising from Glencore and its associates’ alleged misconduct within the DRC between 2007 and 2018.

In a press release, Kalidas Madhavpeddi, chair of Glencore stated: “Glencore is a longstanding investor within the DRC and is happy to have reached this settlement to deal with the results of its previous conduct.”

Glencore’s property within the DRC embody its 75 per cent stake in KCC, a big copper-cobalt undertaking, and possession of the Mutanda copper-cobalt mine.