Chiquita Brands (CQB), going bananas to stop public disclosure of its ties
to Colombia 
terrorism<http://incakolanews.blogspot.com/2013/04/chiquita-brands-cqb-going-bananas-to.html>

Via* **Greg Weeks'
twitterfeed*,<https://twitter.com/GregWeeksUNCC/status/320582262288691200>
your
humble scribe reads *this
report*<http://www.charlotteobserver.com/2013/04/05/3962238/chiquita-sues-to-block-release.html>
and
passes it on via today's post.

*Charlotte-based Chiquita sued the Securities and Exchange Commission,
seeking to block the release of documents related to payments the company
made to terrorist groups in Colombia to protect its banana-growing
interests.*
*The company paid the Justice Department a $25-million fine in 2007, after
admitting that it had given Colombian paramilitary groups the U.S.
classifies as terrorist organizations more than $1.7 million. Chiquita has
maintained that it was extorted by the groups and made the payments in an
attempt to protect its workers.*
*But a lawsuit by thousands of Colombians who claim their relatives were
killed by the paramilitary groups is still working its way through federal
court in Florida. The plaintiffs allege the paramilitary groups helped keep
labor unions out of the banana fields and brutalized workers.*
*Current and former employees of Chiquita and its former Colombian
subsidiary Banadex are also facing a criminal investigation in Colombia
related to the payments.*
*Chiquita’s newest legal action, filed Thursday in federal court in
Washington, D.C., attempts to block the SEC from releasing* *continues
here*<http://www.charlotteobserver.com/2013/04/05/3962238/chiquita-sues-to-block-release.html>


http://www.charlotteobserver.com/2013/04/05/3962238/chiquita-sues-to-block-release.html

Chiquita sues to block release of documents related to terror group payments
By Ely Portillo
[email protected]
Posted: Friday, Apr. 05, 2013

Charlotte-based Chiquita <http://www.chiquita.com/> sued the Securities and
Exchange Commission, seeking to block the release of documents related to
payments the company made to terrorist groups in Colombia to protect its
banana-growing interests.

The company paid the Justice Department a $25-million fine in 2007, after
admitting that it had given Colombian paramilitary groups the U.S.
classifies as terrorist organizations more than $1.7 million. Chiquita has
maintained that it was extorted by the groups and made the payments in an
attempt to protect its workers.

But a lawsuit by thousands of Colombians who claim their relatives were
killed by the paramilitary groups is still working its way through federal
court in Florida. The plaintiffs allege the paramilitary groups helped keep
labor unions out of the banana fields and brutalized workers.

Current and former employees of Chiquita and its former Colombian
subsidiary Banadex are also facing a criminal investigation in Colombia
related to the payments.

Chiquita’s newest legal action, filed Thursday in federal court in
Washington, D.C., attempts to block the SEC from releasing documents tied
to the case.

Chiquita supplied the documents to the SEC from 1998 to 2004 in connection
with the government’s investigation of Chiquita’s payments, the lawsuit
said.

The National Security Archive <http://www.gwu.edu/~nsarchiv/>, a research
institute affiliated with George Washington University, requested the
Chiquita documents in 2008 under the Freedom of Information Act. In 2012,
after multiple appeals from Chiquita, the SEC decided to release most of
the documents.

The SEC did agree to redact some personal information about Chiquita
employees and to withhold a subset of documents from audit and advisory
firm KPMG.

But in its lawsuit, Chiquita said the SEC shouldn’t release the documents
to the National Security Archive because the group is working with the
plaintiffs who are suing Chiquita and would misrepresent the documents.

“This lawsuit is Chiquita’s effort to ensure that information is
disseminated fairly and with appropriate court supervision, so that the
truth is not twisted for personal gain,” spokeswoman Tiffany Breaux said in
an email.

“While the National Security Archive presents itself as an independent
research organization, it is actively assisting the plaintiffs’ lawyers who
are seeking to profit by bringing meritless claims against Chiquita,” she
wrote.

In 2007, the National Security Archive published thousands of
documents<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/> from
Chiquita that it said showed how the company and paramilitary groups had a
mutually beneficial relationship.

Michael Evans, a director at the National Security Archive, said Chiquita’s
assertion that his organization mischaracterized the earlier Chiquita files
or was working with plaintiff’s lawyers against the company “completely
disingenuous.” He said that the public interest is better served by
openness, not secrecy.

“Chiquita admitted doing this,” he said of the payments to paramilitary
groups. “Our interest in obtaining declassification of these records stems
not from some personal vendetta against Chiquita.”

Read more here:
http://www.charlotteobserver.com/2013/04/05/3962238/chiquita-sues-to-block-release.html#storylink=cpy

----------------------------

The Chiquita Papers

Banana Giant's Paramilitary Payoffs Detailed in Trove of Declassified
Legal, Financial Documents

Evidence of Quid Pro Quo with Guerrilla, Paramilitary Groups Contradicts
2007 Plea Deal

Colombian Military Officials Encouraged, Facilitated Company's Payments to
Death Squads

More than 5,500 Pages of Chiquita Records Published Online by National
Security Archive

National Security Archive Electronic Briefing Book No. 340

Posted - April 7, 2011

By Michael Evans

For more information contact:
Michael Evans - 202/994-7029 or by email <[email protected]>

En Español - 
VerdadAbierta.com<http://www.verdadabierta.com/index.php?option=com_content&id=3173>

* <http://hermes.circ.gwu.edu/cgi-bin/wa?SUBED1=nsarchive&A=1>*
[image: Bookmark and
Share]<http://addthis.com/bookmark.php?v=250&pub=xa-4ad78c6d2cd96a91>

More Colombia Project Postings<http://www.gwu.edu/~nsarchiv/colombia/index.htm>

Download the Complete Set of Chiquita Papers

The following PDF files contain the complete collection of Chiquita Papers
received thus far from the Deparment of Justice and the Federal Bureau of
Investigation, as received by the National Security Archive

Batch 1 (31 MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/NSD_batch1.pdf>

*Batch 2 - Section 1 (4
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section1(947843).PDF>
*

Batch 2 - Section 2 (851
KB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section2(947845).PDF>

Batch 2 - Section 3 (5
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section3(947850).PDF>

Batch 2 - Section 4 (14
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section4(947851).PDF>

Batch 2 - Section 5 (7
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section5(947854).PDF>

Batch 2 - Section 6 (20
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section6(947876).PDF>

Batch 2 - Section 7 (7
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section7(947840).PDF>

Batch 2 - Section 8 (11
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section8(947870).PDF>

Batch 2 - Section 9 (4
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section9(947861).PDF>

Batch 2 - Section 10 (11
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section10(947864).PDF>

Batch 2 - Section 11 (6
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section11(947867).PDF>

Batch 2 - Section 12 (13
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section12(947857).PDF>

Batch 2 - Section 13 (21
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section13(947856).PDF>

Batch 2 - Section 14 (21
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section14(947841).PDF>

Batch 2 - Section 15 (469
KB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-001---1143618-DOJ-NSD---Section15(947842).PDF>

Batch 3 - Section 1 (4
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-002---1143618-DOJ-NSD---Section1.PDF>

Batch 3 - Section 2 (27
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-002---1143618-DOJ-NSD---Section2.PDF>

Batch 3 - Section 3 (12
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-002---1143618-DOJ-NSD---Section3.PDF>

Batch 3 - Section 4 (19
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-002---1143618-DOJ-NSD---Section4.PDF>

Batch 3 - Section 5 (24
MB)<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/1143618-002---1143618-DOJ-NSD---Section5.PDF>



<http://www.gwu.edu/~nsarchiv/colombia/index.htm>

*Bogotá, Colombia, April 7, 2011* - Confidential internal memos from
Chiquita Brands International reveal that the banana giant benefited from
its payments to Colombian paramilitary and guerrilla groups, contradicting
the company's *2007 plea
agreement*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20070313_sentencing_memo.pdf>
with
U.S. prosecutors, which claimed that the company had never received "any
actual security services or actual security equipment in exchange for the
payments." Chiquita had characterized the payments as "extortion."

These documents are among thousands that Chiquita turned over to the U.S.
Justice Department as part of a sentencing deal in which the company
admitted to years of illegal payments to the paramilitary United
Self-Defense Forces of Colombia (AUC)--a State Department-designated
foreign terrorist organization--and agreed to pay a $25 million fine. The
Archive has obtained more than 5,500 pages of Chiquita's internal documents
from the Justice Department under the Freedom of Information Act and is
publishing the entire set online today. Key documents from the Chiquita
Papers are included in the recently-published document collection, *Colombia
and the United States: Political Violence, Narcotics, and Human Rights,
1948-2010 <http://nsarchive.chadwyck.com/>*, now available as part of the
Digital National Security Archive from ProQuest.

The documents provide evidence of mutually-beneficial "transactions"
between Chiquita's Colombian subsidiaries and several illegal armed groups
in Colombia and shed light on more than a decade of security-related
payments to guerrillas, paramilitaries, Colombian security forces, and
government-sponsored *Convivir* militia groups. The collection also details
the company's efforts to conceal the so-called "sensitive payments" in the
expense accounts of company managers and through*other accounting
tricks*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20030000.pdf>.
The Justice Department investigation concluded that many of Chiquita's
payments to the AUC (also referred to as "Autodefensas" in many of the
documents) were made through legal *Convivir* organizations ostensibly
overseen by the Colombian army.

New evidence indicating that Chiquita benefited from the illicit payments
may increase the company's exposure to lawsuits representing victims of
Colombia's illegal armed groups. The collection is the result of an Archive
collaboration with George Washington University Law School's *International
Human 
Rights*<http://www.law.gwu.edu/Academics/EL/clinics/IHRC/Pages/Human_Rights.aspx>
 and *Public Justice
Advocacy*<http://www.law.gwu.edu/Academics/EL/clinics/Pages/Public_Justice.aspx>
Clinics
and has been used in support of a civil suit brought against Chiquita led
by *Earth Rights International* <http://www.earthrights.org/> on behalf of
hundreds of Colombian victims of paramilitary violence.

"These extraordinary records are the most detailed account to date of the
true cost of doing business in Colombia," said Michael Evans, director of
the National Security Archive's Colombia documentation project. "Chiquita's
apparent quid pro quo with guerrillas and paramilitaries responsible for
countless killings belies the company's 2007 plea deal with the Justice
Department. What we still don't know is why U.S. prosecutors overlooked
what appears to be clear evidence that Chiquita benefited from these
transactions."

The company's effort to conceal indications that it benefited from the
payments is evident in a pair of legal memos from January 1994. The *first
of these* <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19940104.pdf>
indicates
that leftist guerrillas provided security at some of Chiquita's
plantations. The general manager of Chiquita operations in Turbó told
company attorneys that guerrillas were "used to supply security personnel
at the various farms." A handwritten annotation on a *subsequent draft of
the document* <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19940105.pdf>
asks,
"Why is this relevant?" and, "Why is this being written?" Throughout the
document, lawyers have crossed out the word "transactions"--suggestive of a
quid pro quo arrangement--and replaced it with the more neutral term
"payments." Company accountants characterized the expenditures as
"guerrilla extortion payments" but recorded them in the books as "citizen
security," according to these memos. (Note
1<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/#1>
)

*Another document<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20000306.pdf>
* shows that Chiquita also paid right-wing paramilitary forces for security
services--including intelligence on guerrilla operations--after the AUC
wrested control of the region from guerrillas in the mid-1990s. The March
2000 memo, written by Chiquita Senior Counsel Robert Thomas and based on a
convesation with managers from Chiquita's wholly-owned subsidiary, Banadex,
indicate that Santa Marta-based paramilitaries formed a front company,
*Inversiones
Manglar*, to disguise "the real purpose of providing security." (Note
2<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/#2>
)

Ostensibly an agricultural export business, *Inversiones Manglar* actually
produced "info on guerrilla movements," according to the memo. Banadex
officials told Thomas that "all other banana companies are contributing in
Santa Marta" and that Chiquita "should continue making the payments" as
they "can't get the same level of support from the military."

The Chiquita Papers also highlight the role of the Colombian military in
pressuring the company to finance the AUC through the *Convivir* groups and
in facilitating the illegal payments.

One indication of this is found in *another document written by
Thomas*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20000900.pdf> in
September 2000 describing the 1997 meeting where notorious AUC leader
Carlos Castaño first suggested to Banadex managers that they support a
newly-established*Convivir* called *La Tagua del Darien*. According to the
memo, the Banadex officials said that they had "no choice but to attend the
meeting" as "refusing to meet would antagonize the Colombia military, local
and state govenment officials, and Autodefensas." (Note
3<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/#3>
)

Among the officials most supportive of the *Convivir* groups during this
time was Álvaro Uribe, then the governor of Antioquia, the hub of
Chiquita's operations in Colombia. Thomas' September 2000 memo notes that,
"It was well-known at the time that senior officers of the Colombian
military and the Governor of the Department of Antioquia were campaigning
for the establishment of a Convivir organization in Uraba." A *1995
memo*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19950220.pdf>
indicates
that both Uribe and another politician, Alfonso Nuñez, received substantial
donations from another of Chiquita's Colombian subsidiaries, *Compañía
Frutera de Sevilla*. Uribe was president of Colombia from 2002-2010.

Later that year, an *August 1997 legal
memo*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19970829.pdf>
written
on Chiquita letterhead says that the company was "member[s] of an
organization called CONVIVIR Puntepiedra, S.A.," which the author
characterizes as "a legal entity in which we participate with other banana
exporting companies in the Turbó region." The memo says that the "sole
function" of the the *Convivir* was "to provide information on guerrilla
movements."

The company had been making sensitive security payments for years--first in
the form of direct payoffs to military officers and guerrilla groups, then
through local trade organizations and the *Convivir* militias. For 1991,
some $15,000 worth of "sensitive payments" to various units of the
Colombian military *are listed
alongside<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19920221a.pdf>
* a more than $31,000 disbursement to "Guerrilla." A *different version of
the same document<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19920221b.pdf>
* omits the names of the payment recipients but includes a handwritten
annotation next to the "Guerrilla" entry that says, "Extortion Payment."
Another annotation reads, "*Mainly* not illegal payments -- these are legal
-- pay gasoline, army, police, politicians -- payment doesn't provide
anything or benefits." [Emphasis added.]

Accounting records from 1997-1998 also point to the role of Colombian
security forces in encouraging the company's illegal paramilitary payments.
Beginning in the second quarter of 1997 and continuing through the second
quarter of 1998,*sensitive payment
schedules*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19970000-19980000.pdf>
for
Banadex record large payments to "Convivir" as "Donation to citizen
reconaissance group made at request of Army." Similar records from
*2002*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20020000_first_quarter.pdf>
 and 
*2003*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20030000_first_quarter.pdf>
 list *Convivir *payments alongside disbursements to "Military and Police
Officials" for "Facilitating payments for security services."

Another handwritten document from 1999 reveals an apparent effort by a
Colombian Army general to establish himself as an intermediary for the
paramilitary payments. *The
document*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19990706.pdf>
 (transcribed 
*here*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19990706_transcription.pdf>)
describes a "General in the zone for several years" who had been accused of
being "with [a] death squad" by the mayor of San José de Apartadó
(Note 4<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/#4>)
and had been "suspended from the Army." The document notes that the general
had "helped us personally" with "Security" and "information that prevented
kidnaps." The notes make oblique reference to a $9,000 payment, adding that
"Other companies are putting in their..."

"The Chiquita Papers reinforce the idea that, by 1997, the AUC ran the show
in the banana-growing regions of northern Colombia, and that local
government officials, military officers, and business leaders supported
their paramilitary operations," said Evans.

"These troublesome revelations are more than academic," said Professor
Arturo Carrillo, Director of GW's International Human Rights Clinic. "They
reinforce the claim, advanced in half a dozen federal lawsuits currently
pending against Chiquita, that the company was knowingly complicit in, and
thus liable for, the atrocities committed by the AUC in Urabá while on the
Chiquita payroll. One can only hope that the revealing information obtained
and published by the National Security Archive will lead to greater
accountability for Chiquita's criminal actions in Colombia, since the
company's plea agreement with the Justice Department, which has refused to
prosecute Chiquita executives for wrongdoing, amounts to little more than a
slap on the corporate wrist."

"The publication of these documents is just the beginning," added Evans.
"The thousands of pages of financial and legal records included in this
collection are the seeds of future research projects for investigators
prepared to deconstruct the complex web of legal, psuedo-legal, and illegal
entities involved in Chiquita's security operations, including military
officers, guerrillas, paramilitary thugs, prominent businessmen, trade
associations, and *Convivir* militias."


------------------------------

*The Chiquita Papers - A Selected Chronology*

*The following is a chronological list of some of the most interesting
documents in the Chiquita Papers as selected by the National Security
Archive*.

*1990 April 19 <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19900419.pdf>
 – *First of many Chiquita memos on the subject of “Accounting for
Sensitive Payments."

*1992 February 21<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19920221a.pdf>
* – Lists “Sensitive Payments” for Chiquita subsidiary *Compañía Frutera de
Sevilla* in 1991, including disbursements to the Naval Station, Operative
Command, the Army in Turbó, and the Guerrilla. Purpose for all: “Expedite
Turbo operation.” [See *annotated
version*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19920221b.pdf>
.]

*1992 May 8 <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19920508.pdf>* –
Chiquita legal memo on whether support for Colombian military
counterinsurgency operations through a "trade association of banana
exporters" known as Fundiban is a violation of the Foreign Corrupt
Practices Act (FCPA).

*1992 February 21*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19920221a.pdf>
-
Some $15,000 worth of "sensitive payments" to various units of the
Colombian military are listed alongside a more than $31,000 disbursement to
"Guerrilla." A *different version of the same
document<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19920221b.pdf>
* omits the names of the payment recipients but includes a handwritten
annotation next to the "Guerrilla" entry that says, "Extortion Payment."
Another annotation reads, "*Mainly* not illegal payments -- these are legal
-- pay gasoline, army, police, politicians -- payment doesn't provide
anything or benefits." [Emphasis added.]

*1992 September 20<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19920920.pdf>
* – Transcription of voicemail left for Chiquita’s general counsel from
contact in Medellín, Colombia.

*1993 August 10 <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19930810.pdf>
 – *A handwritten note based on discussion with Chiquita in-house counsel
notes indicates that company has begun to channel its security payments to
the Colombian Army through a "banana association" in Turbó known as "Agura"
at a price of three cents per box of bananas shipped.

*1994 January 4 <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19940104.pdf>
 – *Draft legal memo describes reporting of transactions in Turbó and Santa
Marta for “security purposes and payments to the respective trade
association.” The outlays are described as "guerrilla extortion payments"
made through "our intermediary or Security Consultant, Rene Osorio," who is
said to be the company's "contact with the various guerrilla groups in both
Divisions." The guerrilla payments are called "citizen security" and are
"expensed via the Manager's Expense Account." The author of the memo was
told by the General Manager in Turbó "that the Guerrilla Groups are used to
supply security personnel at the various farms."

*1994 January 5 <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19940105.pdf>
 *– Second draft of January 4, 1994, memo includes annotations asking, "Why
is this relevant?" and, "Why is this being written?"

*1994 June 10 <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19940610.pdf> *-
Memo from Chiquita counsel (Medellín) to Chiquita in-house counsel
discusses Colombian legal standards in cases of kidnapping and exotortion;
notes that Constitutional Court decision that “when a person acts under one
of the justified circumstances” they act in a “State of Necessity” and
“cannot be penalized.”

*1995 February 20<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19950220.pdf>
 – *Chiquita memo describes payments to Álvaro Uribe ($5935 on Oct. 24,
1994) and Alfonso Nuñez ($2000 on Oct. 30, 1994), both candidates for
governor of Antioquia.

*1997 February 3<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19970203.pdf>
 *– Memo from local outside counsel (Medellín) to Chiquita in-house counsel
discusses application of Colombian law in cases of extortion and finds that
“when one acts in a state of necessity, no punishment will be applied.” …
“In other words, a person who pays for extortion is a victim, not an
accomplice to the crime, and therefore cannot be punished.”

*1997 May 7 <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19970507.pdf>* –
Handwritten notes: “Spent approx $575,000 over last 4 years on security
payments = Guerrilla payments”; “$222,000 in 1996 -- $21,763 Convivir –
Rest guerrillas”; “Budget for 1997 -- $80,000 Guerrillas -- $120,000
Convivir”; “[Deleted] indicates Convivirs legal”; “Not FCPA issue”
…
“Cost of doing business in Colombia – Maybe the question is not why are we
doing this but rather we are in Colombia and do we want to ship bananas
from Colombia.”
“Need to keep this very confidential – People can get killed.”

*1997-1998*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19970000-19980000.pdf>
-
Sensitive payment schedules for Banadex record large payments to "Convivir"
as "Donation to citizen reconaissance group made at request of Army."

*1997 August ca.<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19970800.pdf>
* – In-house attorney handwritten notes regarding “Convivir”:
“CONVIVIR PUNTE PIEDRA, S.A.”
“(We have our own)”
“Organismo Juridico … Participamos con las otras bananeras. (We were last
to participate)”
“We pay [cents]0.03/box. Wk 18/1997 – Wk 17/199[8?]”
“Under military supervision. Proporcionan información and some are armed
(but they’re not paramilitary groups?). Radios, motorcycles”
“*Legalmente operan en Colombia*”
“Negotiate through a lawyer. We are not shareholders. We don’t know who the
owners are. Pushed by the gov’t locally and the military.”

*1997 August 29 <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19970829.pdf>
* – Memo written Chiquita in-house counsel says, "we currently are members
of an organization called CONVIVIR Puntepiedra, S.A., a legal entity in
which we participate with other banana exporting companies in the Turbo
region. Banadex currently pays $0.03 per box to this CONVIVIR.” Memo also
says that the Convivir "operate under military supervision (and have
offices at the military bases)" and that "their sole function is to provide
information on guerrilla movements."

*1997 September 9<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19970909.pdf>
 – *Memo from local outside counsel (Baker & McKenzie) regarding “Payments
to *guerrilla *groups” in response to Chiquita query regarding legal
consequences of such payments “in case of extortion or kidnapping.” Baker
memo highlights Colombian Constitutional Court challenge to 1993 law that
made it a crime for foreign companies to pay extortion/ransom and that
“necessity” is a condition under which such payments are permitted.
However, the memo also says that “he who obtains personal benefit from a
state of necessity … incurs in a criminal action.”

*1999 July 6 <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19990706.pdf> –
*In-house counsel notes discuss former Colombian “general” forced out of
military for supposed association with “death squads.” Notes indicate that
the officer “helped us personally” with “security” and “information that
prevented kidnaps.” Notes also say that “Turbo improved while he was
there.” Note also refers obliquely to $9,000 payment.

*2000 March 6 <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20000306.pdf>
 – *Chiquita in-house counsel handwritten notes about front company set up
by paramilitaries in Santa Marta to collect security payments from Banadex.
“disguised the real purpose of providing security”
“don’t know who the shareholders are”
“Same people who formed Convivir formed this new company; govt won’t permit
another Convivir; too much political pressure re: para-military”
“Don’t know whether the gov’t is aware what this organization does.”
“Military in Santa Marta may know what this company does. Military won’t
acknowledge formally that they know what the corporation does.”
“Note: In Turbo we issue a check to Convivir [or/of] another code name and
deliver it to a variety of intermediaries for transfer to Convivir.”
“Tagua del Darien is name of cooperative formed as part of Convivir
movement.”
“Santa Marta  3[cents]/box; first payment in October 1999. Money for info
on guerrilla movements; info not given to gov’t military.”
“Checks made out to Inversiones Manglar SA à Asociacion Para la Paz Del
Magdalena.”
“Natural persons w/ no affiliation to military formed Inversions Manglar
S.A.”
“[Deleted] says we should continue making the payments; can’t get the same
level of support from the military.”

*2000 September ca.<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20000900.pdf>
 – *Draft memo details initial meetings between paramilitaries and Banadex
officials.

*2001 May 7 <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20010507.pdf>* –
Outside local counsel (Posse, Herrera & Ruiz) provides legal analysis of
Convivir organizations: “We should underline that the legality of payments,
is subject to the due observance of the requisites described above. In
addition the actual use … of contributed funds should be borne in mind. If
funds are used for the conduction of activities that comply with legal
requirements, legality of such payments will be preserved. However, if
funds are used in connection of activities beyond the scope authorized …
including the conductions of activities that are contrary to law, the
actual (or even constructive) knowledge of such activities by the
contributing party may taint such payments as illegal and even result in
criminal prosecution.”

*2003 ca. <http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20030000.pdf>
– *PowerPoint
presentation on options for how to conceal improper payments.

*2004 January 28<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20040128.pdf>
* – Chiquita turns over attorney-client privileged documents to Dept. of
Justice. Memo from counsel Kirkland & Ellis describes scope and limitations
of the documents provided.

*2007 March 
13*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20070313_sentencing_memo.pdf>
-
The U.S. Department of Justice reaches a plea deal with Chiquita for making
payments to the AUC, a designated foreign terrorist organization.
------------------------------

*Notes*

1. A *1997 legal
memo*<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/19970909.pdf>
drawn
up by Chiquita's U.S. counsel specifically warned that an extortion defense
would not apply in situations where the company actually benefited from the
payments. Another legal memo from the company's *attorneys in
Colombia<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20010507.pdf>
* cautioned that payments to ostensibly legal *Convivir* militias could be
considered illegal if there were actual or constructive knowledge that they
were connected to illegal activities.

2. Although Thomas' name does not appear in any of these records, his
authorship has been confirmend by comparing the documents to the report of
the Special Litigation Committee (SLC) established by Chiquita's Board of
Directors that issued its *final
report<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/chiquita-slc-report.pdf>
* in 2009.

3. Although the identity of the paramilitary leader who first approached
the Banadex officials is not revealed in the redacted document, both the *SLC
report<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/chiquita-slc-report.pdf>
* and the *sentencing
agreement<http://www.gwu.edu/~nsarchiv/NSAEBB/NSAEBB340/20070313_sentencing_memo.pdf>
* confirm that it was Castaño who was at the meeting and who personally
requested that the company support the *La Tagua* group.

4. The "Peace Community" of *San José de
Apartadó*<http://www.cdpsanjose.org/> is
one of several Colombia towns that during this time had taken a neutral
position in the country's civil conflict.


[Non-text portions of this message have been removed]



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