Lafarge's Compliance on Trial: Financing Terror in Syria?

On Monday, a Paris court handed down a guilty verdict to the Lafarge unit of cement manufacturer Holcim, finding it complicit in financing terrorism and breaching European sanctions. The charges stem from transactions conducted by Lafarge's Syrian subsidiary, which aimed to keep a plant operational amidst the country's devastating civil war.

The court concluded that Lafarge disbursed a total of 5.59 million euros, approximately $6.53 million, to jihadist groups recognized as terrorists by the European Union, including the Islamic State and the Nusra Front, from 2013 to September 2014. Presiding judge Isabelle Prevost-Desprez underscored that the company’s actions fortified the militant groups responsible for deadly acts both in Syria and abroad.

Judge Prevost-Desprez stated unequivocally, "The funding of a terrorist organization was undertaken solely to maintain operations at the Syrian plant for economic purposes, forming a commercial partnership with the Islamic State." As of publication, there has been no response from Lafarge or Holcim regarding the ruling.