NEW YORK (Reuters) – BNP Paribas was ordered by a U.S. judge on Thursday to face a lawsuit accusing the French bank of helping Sudan’s government commit genocide between 1997 and 2011 by providing banking services that violated American sanctions.
U.S. District Judge Alvin Hellerstein in Manhattan found “too many facts” showing a relationship between BNP Paribas’ financing and human rights abuses perpetrated by the government.
He called it premature to decide whether it was reasonable to hold the bank responsible for causing some of those abuses, which according to the plaintiffs included murder, mass rape and torture, or whether it could have foreseen them.
U.S. residents from non-Arab indigenous black African communities in Sudan initiated a proposed class action seeking unspecified damages. The communities affected include those in South Sudan, Darfur, and the Nuba Mountains. The plaintiffs aim to address the harm they experienced.
A spokesman for BNP Paribas declined to comment.
In 2014, BNP Paribas agreed to plead guilty and pay a penalty of $8.97 billion. The settlement resolved charges related to transferring funds for sanctioned Sudanese, Iranian, and Cuban entities.
While numerous banks face accusations of aiding human rights abuses, BNP Paribas’ guilty plea stands out. According to the Department of Justice, it was the first of its kind among global banks.
The judge’s decision to allow the lawsuit to proceed sends a strong message about accountability and corporate responsibility. Reaffirming a crucial principle, financial institutions can’t escape legal scrutiny for alleged contributions to human rights violations. This holds particularly true for actions with severe implications. As the case progresses, human rights advocates, legal experts, and the public will closely monitor it. The implications extend beyond allegations against BNP Paribas.
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