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CLEC & ERI vs Fanjul Corporation

Case overview

Date filed 31 October 2012
Current status Concluded
Issue Illegal eviction of villagers by ASR in Cambodia
Summary of the case American Sugar Refining (ASR), the worlds largest sugar cane refiner and best known for producing Domino Sugar, holds an exclusive contract to buy all the sugar produced at a sugar plantation and factory in Sre Ambel District, Koh Kong Province, Cambodia, where villagers were illegally evicted from their land without fair or adequate compensation. The villagers are now facing impoverishment, malnutrition, and other social deprivations. The complaint alleges that ASRs parent companies Florida Crystals Corporation, Sugar Cane Growers Cooperative of Florida and Fanjul Corporation are also responsible for the illegal eviction and subsequent deprivation of the villagers.
Developments/Outcome In April 2013, the US NCP concluded its initial assessment, determining the complaint was substantiated and admissible for further examination.

ASR was initially inclined to participate in mediation facilitated by the NCP and the U.S. Federal Mediation and Conciliation Service, but later withdrew from the process because of civil claims filed in the UK High Court against ASRs subsidiary, Tate & Lyle, by the Cambodian communities.

On 13 June 2013, the NCP issued a final statement reiterating that the complaint was substantiated and relevant, but concluding that the conditions did not exist for the NCP to play a further role in resolving the dispute. The NCP did recommend that ASR develop a human rights policy. The NCP also called on ASR to evaluate the issues raised by the complaint and formulate a strategy for addressing them.

The complainants welcome that for the first time the US NCP included recommendations in a final statement, but believe that the NCP could have provided more guidance regarding the expectations of companies under the OECD Guidelines in similar situations.
Relevant OECD Guidelines
Case keywords Supply chain, Human rights

NCP Information

NCP name National Contact Point United States of America
NCP address 2201 C St. NW 20520 Washington, DC, United States
NCP website http://www.state.gov/e/eeb/ifd/oia/usncp/index.htm
Other NCPs involved

Complainants

NGO

Company Information

Company responsible Fanjul Corporation
Company address
Company website
Company in violation American Sugar Refining Incorporated
Country of operations Cambodia
Other companies involved

Timeline of developments

Date Actor Action Description Document
20 June 2013 National Contact Point United States of America statement The US NCP issued a final statement concluding the case download pdf (2301Kb)  
31 October 2012 Earthrights International file Complaint filed at US NCP download pdf (511Kb)  

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