What CGL is Reading: “French Cement Company to Pay $780 Million Over Payoffs to ISIS” by Rebecca Davis O’Brien & Glenn Thrush
On October 18, 2022, the New York Times detailed the actions taken by the U.S. Justice Department against Lafarge, a French construction conglomerate, for its dealings with the Syrian offshoot of ISIS, a terrorist organization also known as Islamic State. Operating from a plant near the Turkish border, Lafarge executives attempted to navigate the chaos and upheaval that engulfed Syria as it descended into a violent civil war. In response to attacks directed at the cement manufacturer, Lafarge executives made monthly payments to armed groups accused of terrorism, including ISIS, in return for protection. Such militants issued papers to Lafarge drivers guaranteeing their ability to operate safely and even offered to choke off competition. That arrangement was the target of US prosecutors, who entered into a $778 million criminal plea agreement with Lafarge, which also entered a guilty plea in federal court to a count of conspiring to provide material support to a foreign terrorist organization. For years, Justice Department officials had been quietly pursuing a case against Lafarge under a federal law that prohibits people or businesses from harboring or collaborating with people they know to be terrorists. The case was brought in New York because one of the payments was routed through an entity in the city.
Do you have questions about the regulatory aspects of operating a company in the financial sector? If so, contact us to schedule an introductory consultation with Castle Garden Law.
Ted Amley
Managing Attorney
With more than two decades of experience, Ted Amley has advised on hundreds of complex business, finance, and employment matters. His background includes roles at Cravath, Richards Kibbe, and Dentons, along with in-house experience at Morgan Stanley, Blackstone, and UBS. Now leading his own practice, Ted represents individuals, companies, funds, and institutions across sectors such as tech, real estate, healthcare, AI, ecommerce, and finance – offering strategic counsel on
equity, governance, contracts, lending, cross-border deals, and more.
Years of experience: 23+
Call Us (929) 429-6797