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Chiquita Ordered to Pay $38.3 Million for Funding Colombian Paramilitaries

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A U.S. federal jury has ordered Chiquita Brands International to pay $38.3 million to families of victims murdered by the AUC in Colombia. This landmark ruling holds the company accountable for financing a paramilitary organization, marking a significant precedent for human rights cases.

Banana giant Chiquita Brands International has been ordered to pay $38.3 million to 16 relatives of individuals murdered by a violent right-wing paramilitary group in Colombia. The federal jury in West Palm Beach, Florida, found the company liable for financing the United Self-Defense Forces of Colombia (AUC), marking a landmark decision against an American company for human rights violations abroad.

This verdict, which followed a six-week trial and two days of jury deliberation, establishes Chiquita's role in aiding the AUC through substantial cash payments totaling $1.7 million between 1997 and 2004. These payments continued despite the AUC being designated a Foreign Terrorist Organization (FTO) by the U.S. government in 2001. Chiquita defended its actions, stating the payments were made to protect its employees and operations from harm.

The ruling is significant as it may set a precedent for several similar lawsuits pending in other U.S. courts. Attorney Marco Simons from EarthRights International, which has represented the plaintiffs, emphasized the verdict’s importance in holding companies accountable for human rights abuses. 'These families, victims of armed groups and companies, asserted their power and prevailed in the judicial process,' Simons stated.

Chiquita had previously pleaded guilty in 2007 to engaging in transactions with a foreign terrorist organization and was fined $25 million. Moreover, the company was mandated to implement a compliance and ethics program. However, this latest verdict brings further accountability and financial compensation to the affected families. Colombian President Gustavo Petro remarked on the jury’s decision, questioning why the Colombian judiciary could not reach the same conclusion.

The lawsuit is part of a broader effort by over 500 families to seek justice for the deaths of their relatives caused by the AUC’s violence. While this ruling provides some semblance of justice and financial compensation, the irreversible loss and trauma endured by the victims' families remain a stark reminder of the human cost of corporate actions.

  • Chiquita Brands International defines itself as one of the main banana companies in the world, with its roots tracing back to 1870. This company, previously known as United Fruit Company until 1990, has long been a significant player in the global banana trade.
  • The AUC, responsible for widespread violence during Colombia's civil conflict, was one of the principal groups perpetuating violence and terror in regions like Urabá and Magdalena. This context of armed conflict saw numerous civilians caught in the crossfire, leading to grievous human rights violations.
  • The verdict against Chiquita is not just a financial blow but a moral victory for human rights advocacy, signaling to multinational corporations that they can and will be held accountable for their actions in international jurisdictions. Legal advisor Marco Simons highlighted the broader implications, expressing hope that such rulings will deter future complicity in human rights abuses.
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