Glencore reaches agreement with the Democratic Republic of Congo over past conduct

Glencore has reached an agreement with the Democratic Republic of Congo (“DRC”) covering all present and future claims arising from any alleged acts of corruption by the Glencore Group in the DRC between 2007 and 2018 (“Agreement”). This includes activities in certain Group businesses that have been the subject of various investigations by, amongst others, the United States Department of Justice (“DOJ”) and the DRC’s National Financial Intelligence Unit and Ministry of Justice.

Under the Agreement, Glencore International AG, on behalf of its Congolese-associated companies, will pay the DRC US$180 million and will continue to implement in the DRC the Ethics and Compliance Programme the Company committed to continue to implement in its resolution with the DOJ. The Agreement is governed by Congolese law and the only admissions made are in respect of the conduct already acknowledged in Glencore’s resolution with the DOJ. 

In a statement, Mr Kalidas Madhavpeddi, Chairman of Glencore said:

“Glencore is a long-standing investor in the DRC and is pleased to have reached this Agreement to address the consequences of its past conduct. Glencore has actively promoted its Ethics and Compliance Programme in the DRC in recent years and looks forward to continuing to work with the DRC authorities and other stakeholders to facilitate good governance and ethical business practices in the country.”

As stated in its 24 May 2022 announcement of coordinated resolutions with US, UK and Brazilian authorities, starting before the Company knew of the DOJ’s investigations, Glencore has invested substantial resources towards developing a best-in-class Ethics and Compliance Programme. The Company has a refreshed Board and management team, including in its DRC operations, who are dedicated to fostering a culture of integrity, responsibility and transparency.   

Further details on Glencore’s compliance initiatives can be found in the presentation and Ethics and Compliance report available here.