June 9, 2009 Tuesday
Updated

June 9, 2009
Shell agrees to $22m payout
Human rights lawyers hailed the agreement in New York as a precedent for holding Shell and other oil giants responsible for activities in countries with repressive governments. -- PHOTO: AP
NEW YORK - ROYAL Dutch Shell has agreed to a US$15.5 million (S$22.59 million) payout to settle a lawsuit alleging complicity in murder, torture and other abuses by Nigeria's former military government.

'Today, plaintiffs and defendants reached a settlement in the human rights cases brought against Royal Dutch Petroleum Company,' lawyers for the plaintiffs said on Monday.

'We want to express our satisfaction that these cases have provided the plaintiffs with substantial compensation for their claims,' they said, in a development welcomed on Tuesday by Ogoni activists.

The settlement brought to an end a more than decade-long battle by relatives of Nigerian writer and activist Ken Saro-Wiwa and others executed in 1995 in what plaintiffs said was a campaign of repression backed by Shell.

Mr Saro-Wiwa led a non-violent protest against environmental destruction and abuses against the Ogoni people in the Niger Delta. He was hanged along with other activists after trial in a military court.

Human rights lawyers hailed the agreement in New York as a precedent for holding Shell and other oil giants responsible for activities in countries with repressive governments.

Shell denies all accusations, but the settlement will spare the oil giant from the potential embarrassment of having to defend itself in court.

'Shell has always maintained the allegations were false,' Mr Malcolm Brinded, executive director for exploration and production, said in a statement.

'This gesture also acknowledges that, even though Shell had no part in the violence that took place, the plaintiffs and others have suffered.'

Part of the money will go to the plaintiffs, part to a trust to benefit the Ogoni, and some to pay the costs of litigation. -- AFP

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