As a broad coalition of civil society organisations, we call on the Federal Government of Nigeria to publish its $50 million settlement with Glencore International A.G. and ensure these funds are used transparently to benefit communities harmed by corruption.
Glencore’s agreement to pay $50 million as “penalty and compensation” is a welcome recognition of the company’s obligation to repair the harms caused by its corruption of public officials in Nigeria. This settlement comes two years after Glencore’s global coordinated resolution with US, UK and Brazilian authorities for its vast bribery scheme which spanned more than a decade and affected more than seven countries on two continents. In Nigeria alone, Glencore and its subsidiaries paid more than $52 million to intermediaries for the purpose of bribing officials to secure special oil deals.
While Glencore has paid over $1.1 billion in financial penalties globally, justice is not complete without reparations for the corrosive harms of corruption. To date, none of the authorities in the UK, US or Brazil who have issued major fines against Glencore have offered compensation to affected countries like Nigeria, and should urgently take steps to do so.
Meanwhile, to ensure the credibility of Nigeria’s $50 million compensation deal with Glencore, there must be full transparency about the terms of the agreement announced by the Attorney General, Prince Lateef Fagbemi SAN. It is also essential that robust safeguards are put in place to ensure these funds are used to benefit communities affected by corruption.
We therefore urge the Federal Government to engage with a wide range of stakeholders, including civil society and affected communities, to develop mechanisms for the transparent and accountable disbursement of funds to redress the harms of Glencore’s corruption.
