Chiquita Brands Ordered to Pay $38.3 Million for Funding Paramilitary Group in Colombia

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Chiquita Brands Ordered to Pay $38.3 Million for Funding Paramilitary Group in Colombia
A sign marks an entrance to the Chiquita Center, the corporate headquarters for Chiquita Brands International Inc., July 15, 2008 in downtown Cincinnati, Ohio. Scott Olson/Getty Images

A federal jury in Florida has ruled that Chiquita Brands, the banana giant, is required to pay $38.3 million to 16 family members of individuals who lost their lives during Colombia's lengthy civil war.

The deaths were caused by a violent right-wing paramilitary group that was funded by the company.

Chiquita Brands Held Liable for Human Rights Violations

According to lawyers representing the plaintiffs, the recent jury verdict in West Palm Beach is significant as it is the first time the company has been held responsible in any of the numerous ongoing lawsuits across the United States.

AP News reported that It is a noteworthy discovery that holds a private US company accountable for human rights violations in foreign nations.

After 17 years of legal battles, a significant ruling was made on Monday.

This is a groundbreaking moment as it is the first time that the corporate giant has been held accountable for lawsuits involving victims of the United Self-Defense Forces of Colombia (AUC), according to the plaintiffs' attorneys.

In 2007, Chiquita admitted guilt to a US criminal charge of conducting transactions alongside a foreign terrorist organization.

The AUC had been designated as such by the State Department in 2001. As part of the plea, Chiquita agreed to pay a $25 million fine.

The company was also obligated to establish a compliance and ethics program, as per the requirements of the Justice Department.

5,000 Colombian Victims Represented in Landmark Trial

The case, which was initially filed by the nonprofit EarthRights International in 2007, was subsequently followed by several other cases in 2008, according to the nonprofit.

Attorneys have stated that a team of law firms from across the United States is currently representing over 5,000 Colombian victims in the ongoing proceedings.

Furthermore, they have mentioned that additional trials for other victims are scheduled to take place in July, USA Today reported.

According to attorneys, Monday's verdict is significant as it is the first time a major U.S. corporation has been held responsible for its involvement in human rights abuses overseas. The verdict was reached after a six-week trial and two days of deliberations.

The ruling has the potential to impact other cases that involve similar violations.

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