Dutch probe largest shipyard on corruption, sanctions charges

The Sun

25-04-2025

THE HAGUE: Dutch prosecutors said on Friday they had brought criminal charges against the country's largest shipbuilder, including in relation to breaking sanctions against Russia.
Based in Gorinchem near the port of Rotterdam, Damen Shipyards is being probed for bribery, forgery and money laundering, the Public Prosecutions Service (OM) said.
'This occurred in connection with the sale of ships abroad. In addition, the OM also summoned Damen for violating the Sanctions Act,' it said.
The second summons 'relates to violating sanctions imposed in response to the war between Russia and Ukraine', the OM added.
Prosecutors brought two separate cases against Damen -- the first into the alleged bribery in the sale of ships between 2006 and 2017.
The second was for selling goods and technology 'that could contribute to the military and technological strengthening of Russia' after Moscow's February 2022 invasion of Ukraine.
The first probe focused on alleged large commissions paid to agents used for selling ships to various countries in Africa, Asia and South America.
'Over a number of years, a large number of false documents have probably been drawn up in order to conceal the high commission payments to agents and to frustrate control of it, including in applications for export credit insurance,' the OM said.
In the second probe, Damen allegedly continued deliver goods and technology to Russia despite European Union sanctions against Moscow.
This investigation focused on the second half of 2022.
Damen responded by saying the OM's first probe 'mainly concerns suspicions of forgery, no longer mainly corruption'.
'Damen has assessed the file and concludes that the Public Prosecution Service does not have a feasible case,' it said.
'(The company) has always acted in accordance with the applicable sanctions packages and... full transparency has been exercised about its activities,' Damen added.
'The sanctions probe was a case involving the supply of a very limited number of civilian cranes to Russia. This delivery took place within the sanctions legislation in force at the time,' it said.
The company, which employs some 12,000 people and operates in 120 countries, said it 'foresees a long legal battle'.
Damen is the main shipbuilder for the Dutch navy, including its frigates, combat support ships and offshore patrol vessels.
The case is likely to start later this year with a court date still needed to be set.