US demands Glencore documents
Shares in commodities giant Glencore plunged Tuesday after the company was ordered to hand over documents to the United States Department of Justice for a check on its compliance with corruption and money-laundering rules.
The company, which is based in Baar, Switzerland, said Tuesday the requested documents and records relate to its business in Nigeria, the Democratic Republic of Congo and Venezuela from 2007 onwards. It said it is reviewing the subpoena.
Shares in the company, which sources and trades raw materials like metals and grains, dropped about 8 per cent in London, where they are listed.
In Nigeria and Venezuela, Glencore produces oil and coal. In Congo, it operates mines for copper and cobalt, a key material in the production of mobile phone batteries.
Its Congo operations have been in focus recently due to its ties to Israeli tycoon Dan Gertler, who has long done business there and was sanctioned by the United States last year.
The US alleges Gertler amassed a personal fortune of billions of dollars by using his personal relationship with Congolese President Joseph Kabila to siphon off cash from the sale of mineral and oil rights.