Glencore buys its freedom: Congo gets 180 million from Swiss company Would Berset be a better foreign minister than Cassis? “Not at all!”

The cleaning devil is on the loose at Glencore. New CEO Gary Nagle is mucking things out. The legacy of the old management must be removed as soon as possible. The price for this: rather incidental. After being fined billions in the spring for corruption allegations, the commodities company has now reached a settlement with the Democratic Republic of Congo. Glencore announced this on Monday, a day before Investor Day.

With a payment of USD 180 million, the Baar-based company relieves itself of all current and future claims that could arise from “alleged acts of corruption” by the group in Congo between 2007 and 2018. This also includes investigations by, among others, the US Ministry of Justice and the Congolese authorities.

Bribes in seven countries

Glencore previously pleaded guilty to bribery in seven countries in South America and Africa, including Congo. After years of investigation, the company reached an out-of-court settlement with authorities in the US, UK and Brazil and was fined more than $1.5 billion. He also had to accept two inspectors selected by the US Department of Justice to examine the company’s compliance arrangements for three years.

The agreement now reached falls under Congolese law and only covers those crimes recognized in a previous resolution with the US Department of Justice, Glencore announced Monday. In Congo, the raw materials multinational mainly operates copper and cobalt mines. Part of the investigation included Glencore’s past connections to Israeli businessman and broker Dan Gertler, who is subject to US sanctions over suspected corrupt dealings.

The Israeli is said to be a friend of former Congolese president Joseph Kabila and to have served as the door opener for Glencore’s company in Congo, which produces more than 60 percent of the world’s available cobalt, among other things. However, the collaboration with Gertler has now ended, CEO Gary Nagle said in a conversation with this newspaper in the fall of 2021. The compliance processes have “improved significantly on this point”.

Soon to agree with the federal prosecutor’s office?

Last but not least, the investigation by the American inspectors will show whether this is the case. With his announcement that he would “get rid of Glencore’s legacy as soon as possible,” Nagle clearly means it. Proceedings are still pending in Switzerland and the Netherlands. The local federal prosecutor’s office started a trial against the group about two years ago on charges of corruption, which also concerns trade in Congo.

Neither Glencore nor the federal prosecutor’s office have any information on the status of the investigation. However, according to an insider, an agreement should be reached soon – the current agreement with the Congolese authorities should have accelerated the process. (aargauerzeitung.ch)