Chiquita
Mana parts of the world doing business in foreign countries is dangerous. in the certain situation the country happen to be Colombia. Colombia is a country where there are violent drug cartels and terrorist groups doing ruthless acts for their own profits. A company named Chiquita fell victim to a couple of Colombian terrorist groups from 1997 up to 2004. The two groups were oppositions of one another and wanted payment in exchange for not killing employees of the company. Chiquita decided to pay the money payments which totaled about $1.7 million, thinking it was the right decision for the company as well as employees.
Chiquita choice to pay the terrorist groups is not justified because this act is illegal. The United States of America government declared AUC as a terrorist group, they banned any funds going to them under the Bush Administration. Chiquita wanted to protect its employees and its company so they disregarded the law. This was a dangerous situation to face but in order to keep the employees alive it made its payments. There method of payments keep there company around for years until they turned their self in.
In 2007, Chiquintas CEO Fernando Aguirre reported that the company had made payments to AUC during 1997-2004. Aguirre stated the situation as "an excruciating dilemma between life and law". This was indeed a crazy situation for him as well as the company. The company contributed almost $70 million to the Colombian economy in different forms of goods and services. The company after turning itself in came to a plea deal costing a fine of $25 million. The prosecutor held Chiquita responable for funding the terriorist groups adding violence. The company sold its Colombian farms in June 2004 at a loss of $9 million in order to avoid the situation. Chiquita selling its company at a loss of such a massive amount is a little out of the ordinary. The only reason they could of done this is because they know they did wrong and wanted to get out
Chiquita choice to pay the terrorist groups is not justified because this act is illegal. The United States of America government declared AUC as a terrorist group, they banned any funds going to them under the Bush Administration. Chiquita wanted to protect its employees and its company so they disregarded the law. This was a dangerous situation to face but in order to keep the employees alive it made its payments. There method of payments keep there company around for years until they turned their self in.
In 2007, Chiquintas CEO Fernando Aguirre reported that the company had made payments to AUC during 1997-2004. Aguirre stated the situation as "an excruciating dilemma between life and law". This was indeed a crazy situation for him as well as the company. The company contributed almost $70 million to the Colombian economy in different forms of goods and services. The company after turning itself in came to a plea deal costing a fine of $25 million. The prosecutor held Chiquita responable for funding the terriorist groups adding violence. The company sold its Colombian farms in June 2004 at a loss of $9 million in order to avoid the situation. Chiquita selling its company at a loss of such a massive amount is a little out of the ordinary. The only reason they could of done this is because they know they did wrong and wanted to get out