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6 Jan 2010

Erik Larson, Bloomberg.com

Chiquita Settles Investor Suits Over Terror Payments

Chiquita Brands International Inc., which in 2007 pleaded guilty to U.S. charges of paying terrorist groups in Colombia for protection, said it reached a “favorable” settlement of shareholder lawsuits over the illegal payments. The owner of the namesake banana label will not pay money damages under the proposed deal, Chiquita spokesman Ed Loyd said...“The settlement provides for the adoption of certain governance and compliance changes by the company and payments of attorneys’ fees for plaintiffs counsel that aren’t material to our financial statements,” Loyd said. The deal, which needs court approval, doesn’t apply to lawsuits filed by family members of hundreds of people killed by two Colombian paramilitary groups that allegedly received money from Chiquita for about 15 years.