Cement maker Holcim’s Lafarge, is set to face trial in a French court on charges of financing terrorism and breaching European sanctions through operations by its Syria subsidiary, according to France’s anti-terrorism prosecutor.
The company has been under investigation since 2016, one of the most high-profile corporate criminal cases in France in recent years.
Lafarge, which became part of Swiss-listed Holcim in 2015, received the order by investigative judges in Paris to face trial on Wednesday. In a statement on Thursday, Lafarge said it acknowledged the decision of the investigating judges.
The company’s shares fell nearly 2% following the news but later recovered slightly.
Investigations are ongoing into further allegations that Lafarge may have been complicit in crimes against humanity, part of the wider probe into how the group kept its factory running in Syria after war broke out in 2011, said the anti-corruption group Sherpa, which brought the criminal complaint against Lafarge.
In January, France’s highest court dismissed Lafarge’s request to drop charges related to complicity in such crimes. The sanctions breach charges relate to a European ban on financial or commercial links to Islamist militant groups Islamic State and Al-Nusra, Sherpa said.
In a seperate U.S. investigation, Lafarge admitted in 2022 that its Syrian subsidiary made payments to terrorist groups, including Islamic State, to protect staff at the plant amid the country’s ongoing civil war. The trial marks a significant development in efforts to hold corporations accountable for their activities in conflict zones.
Melissa Enoch
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