Chiquita Brands Ordered to Pay $38.3 Million in Damages for Funding Colombian Paramilitary Group
ICARO Media Group
3 Million in Damages for Funding Colombian Paramilitary Group
In a groundbreaking decision, a Florida jury has ordered Chiquita Brands to pay $38.3 million in damages to the families of eight victims who were killed by a right-wing paramilitary group in Colombia. Chiquita, a banana grower, had previously admitted to funding the group, known as the Autodefensas Unidas de Colombia (AUC), during the country's violent civil war.
The case represents the first instance where an American jury has held a large U.S. corporation accountable for a significant human rights violation committed in another country. EarthRights International, a human rights firm representing one of the families, stated that this landmark decision could lead to more cases being brought to trial or a potential "global settlement" for the numerous other claims faced by Chiquita from victims of the AUC.
Chiquita had made payments to the AUC between 1997 and 2004, which the company described as "security payments" during the internal conflict in Colombia. The U.S. Department of Justice had charged Chiquita with providing payments to the AUC, labeling them a "terrorist organization." Chiquita still faces thousands of claims from AUC victims.
During the trial, it was revealed that Chiquita had a deep understanding of the armed conflict in Colombia. However, the company insisted that its Colombia subsidiary, Banadex, made the payments out of fear for the safety of its employees and operations. Chiquita's executives testified that the payments were voluntary and that they were not threatened by the paramilitary group.
Reacting to the jury's verdict, Colombia President Gustavo Petro questioned the differing rulings between the U.S. justice system and the Colombian judiciary. He called for the establishment of a tribunal in Colombia to disclose judicial truths, as outlined in the 2016 peace deal that ended the civil conflict.
Chiquita has announced its intention to appeal the jury's verdict, stating that it believes there is no legal basis for the claims against them. The company expressed sympathy for the victims and their families but remains confident that their legal position will ultimately prevail.
The trial, which lasted six weeks, concluded with the jury's decision following two days of deliberations. The AUC was designated as a "foreign terrorist organization" by the U.S. State Department in 2001, making support for the group a federal crime. Chiquita provided the AUC with approximately $2 million in funding through 100 payments.
Chiquita's expansion of operations in Colombia several decades ago, driven by lower land prices in the banana-growing regions due to the conflict, made them a target for rebel groups like the Revolutionary Armed Forces of Colombia (FARC). As a result, the company turned to the AUC for protection, according to EarthRights.
The cases brought forth by survivors of AUC violence include a heartbreaking incident involving a young girl who witnessed the murder of her parents by the paramilitary group. Chiquita executives testified that they made the payments to save lives, but the jury rejected their argument.
This verdict serves as a significant development in holding multinational corporations accountable for their actions overseas and sets a precedent for future human rights cases.