Swiss Criminal Court Convicts Trafigura in Landmark Bribery Case
Trafigura, a prominent multinational commodities trader, has been convicted for bribery by Switzerland's top criminal court. The landmark decision marks the first time a multinational has been found guilty of such charges in the country.
The charges stem from a scheme involving lucrative oil industry contracts in Angola. Trafigura allegedly made payments totaling nearly $5 million to a foreign public official to secure these contracts.
The federal court in Bellinzona found Trafigura liable for the offense and imposed a fine of 3 million Swiss francs ($3.3 million). The maximum penalty of $5 million was not invoked due to the company's compliance measures at the time of the offense.
Additionally, the court ordered Trafigura to reserve $145 million for potential compensation claims. Prosecutors estimate that Trafigura gained approximately $144 million in profits from the corrupt contracts.
A Trafigura spokesperson expressed disappointment with the verdict and indicated that the company is reviewing its options. The firm is headquartered in Singapore and has significant operations in key sectors such as oil, metals, mining, and energy.
Three individuals were also convicted for their involvement in the scheme: a former Trafigura executive, an ex-official from Angola's state oil company Sonangol, and an intermediary. The heaviest sentence was 14 months imprisonment.
The verdict is subject to appeal, and the defendants maintain the presumption of innocence until a final judgment is issued.
During the trial, which commenced in December, prosecutors argued that Trafigura's former parent company lacked adequate compliance measures to prevent unlawful payments to the Sonangol employee.
Trafigura claims to have made significant investments in strengthening their compliance program, including mandatory staff training and controls, and prohibiting the use of third parties in business origination.