Table de Concertation sur Droits Humains vs. First Quantum

Allegations

In October 2002, a United Nations Panel of Experts accused 85 OECD-based companies of violating the Guidelines for their direct or indirect roles in the illegal exploitation of natural resources in the Democratic Republic of Congo (DRC). The Panel alleged that “elite networks” of political and military elites and businesspersons fueled the conflict in order to retain their control over the country’s vast natural resources.

The Panel alleged that in negotiations between the company and the government of DRC to buy the cobalt-rich Kolwezi Tailings, First Quantum offered a down payment of US$100 million, together with cash payments and shares held in trust for government officials. The Panel referred to documents in its possession showing that the payment list included the National Security Minister, the director of the National Intelligence Agency, the Director General of Gécamines, and the former Minister of the Presidency. The premise was that the share price would rise sharply once the deal was publicly announced.

Relevant OECD Guidelines

• Version 2000 Chapter VI

Outcome

In February 2004, a representative of OECD Watch is informed of the NCP’s intention to follow-up on the case during a meeting. In the NCP’s 2004 annual report, the case is noted as “closed”. The complainants state the NCP never communicated its decision.

In October 2004, the complainants sent a letter of protest to the NCP, which was supported by Canadian NGO, le Regroupement pour la responsabilité sociale des enterprises.

More details

Documents

• letter

  29 October 2004

  NGOs’ letter of protest to the NCP (English)

  Table de concertation - droits humains
• report

  1 October 2004

  In its 2004 annual report, the Canadian NCP states the case is closed. The complainants were never informed of the NCP’s decision.

  NCP Canada
• file

  5 December 2002

  A coalition of NGOs (Table de concertation sur les Droit Humains au Congo/Kinshasa) registers their concerns about the Canadian companies cited in the UN Panel’s report. In a follow-up meeting with the NCP, the NGOs requested their letter be a “specific instance”.

  Table de concertation - droits humains