On April 25, 2025, the Netherlands Public Prosecution Service (“OM”) announced that it filed bribery, forgery and money laundering charges against Damen Shipyards Gorinchem, Damen Naval Shipyards, and certain former directors who were involved with sale of ships abroad. According to the OM, Damen Shipyards Gorinchem was additionally charged for violating the Sanctions Act.
The OM reported that the charges were based on findings from two separate criminal investigations. One investigation, conducted by the Fiscal Information and Investigation Service (FIOD) in the Netherlands, focused on an alleged bribery scheme that occurred between 2006 and 2017. The investigation focused on possible bribes associated with high commissions paid to agents used to sell ships to various countries in Africa, Asia and South America. The OM also suspects that scheme participants created false documents, including export credit insurance applications, to conceal the bribe payments and protect those who controlled them. The OM expects that a trial related to the alleged bribery scheme might begin in the second half of this year.
According to the OM, the sanctions-related charge stems from an investigation conducted by Customs, which focused on possible violations of sanctions imposed in response to Russia’s war with Ukraine. The OM reported that Customs investigated the provision of goods and technology that could contribute to or strengthen Russia, its military, or the development of its defense and security sector, which might have occurred over several months in 2022.
On April 25, 2025, Damen issued a statement responding to the charges and the eight year investigation. Damen reported that some of cases investigated by the OM have already been assessed, including a case that dates back to 2014 that was the subject of a settlement reached with the World Bank. According to Damen, since that date, its business operations have improved, and its compliance team is now ISO certified and “meets the highest standard for anti-corruption measures.” With regards to the alleged violation of the Sanctions Act in June 2022, the company contends that the case involves “the supply of a limited number of civilian cranes to Russia” that took place in accordance with sanctions legislation in force at the time. Damen also emphasized that it unconditionally supports the company officials who have been mentioned in the media and is confident that the company will be able to show that the OM’s suspicions are incorrect.