A Paris court on Monday convicted French cement company Lafarge of financing terrorist organizations, ruling that the firm paid millions of euros to armed groups, including Daesh, to maintain operations in Syria.
The court determined that Lafarge transferred nearly €5.6 million ($6.6 million) between 2013 and 2014 through its Syrian subsidiary to secure the movement of goods, staff, and raw materials. These payments, routed via intermediaries, went to multiple armed factions operating in northern Syria, including Daesh and Jabhat al-Nusra.
Presiding judge Isabelle Prevost-Desprez stated that the company had effectively entered into a "commercial partnership" with Daesh, describing the undisclosed payments as a factor that intensified the severity of the offenses. The court found that such financing contributed to the group’s ability to control resources and fund attacks both regionally and abroad.
Lafarge had completed construction of a $680 million cement plant in Jalabiya in 2010, just before Syria’s civil war erupted. While many multinational firms exited the country in 2012, Lafarge kept operations running, withdrawing only expatriate staff while local employees remained until the facility was seized by Daesh terrorists in September 2014.
The ruling extended beyond the company itself. Eight individuals, including former CEO Bruno Lafont and several former security and operational staff, were found guilty of financing terrorist organizations. One Syrian intermediary was tried in absentia.
French prosecutors had argued that the company’s actions were driven by profit, describing the decision to continue operations as deliberate despite escalating risks. They sought the maximum corporate fine of €1.12 million and the confiscation of €30 million in assets, while also requesting a six-year prison sentence for Lafont, who denied knowledge of the payments.
During the trial, former deputy managing director Christian Herrault defended the decision to remain in Syria, pointing to concerns over the fate of local employees if operations had been abandoned.
The case follows earlier legal action in the United States, where Lafarge pleaded guilty in 2022 to providing material support to designated terrorist groups and agreed to pay $778 million in penalties.
French authorities launched their investigation in 2017 after complaints from government bodies and former employees, alongside media reports alleging violations of EU sanctions and terrorism financing. Separate proceedings related to alleged complicity in crimes against humanity remain ongoing.
Lafarge was acquired by Swiss-based Holcim in 2015. The company has stated it had no prior knowledge of the Syria-related dealings.