CHALLENGING CORPORATE IMPUNITY

The document argues for a UN binding treaty that removes the legal immunity of International Financial Institutions (IFIs) and establishes criminal and civil liability for transnational corporations (TNCs). It highlights environmental disasters in the Philippines and Indonesia, such as the Marcopper mining spill and large-scale peatland fires, to illustrate the failure of current voluntary safeguards. The report specifically calls for the protection of environmental and human rights defenders, noting the gender-specific violence faced by women defenders.

• International Financial Institutions (IFIs) are currently shielded by legal immunity from lawsuits related to the projects they finance, leaving affected communities dependent on internal Accountability Mechanisms that are often bureaucratic, inaccessible, and lack legitimacy because IFI Boards of Directors act as both judge and jury.
• The Asian Development Bank (ADB) provided a loan of at least $25 million to the Marcopper Mining Corporation, which resulted in a 1996 disaster where a drainage tunnel cracked and spilled millions of tons of mine tailings into the Boac River in Marinduque, Philippines, causing toxic waste accumulation and chronic illnesses.
• In Indonesia, forest and peatland fires in 2015 caused 23 children's deaths, exposed 40 million people to smoke, and cost the state at least 17 billion USD in damages; the majority of hot spots were located in palm oil (9,168) and pulp and paper (5,669) plantation concessions.
• The palm oil industry in Indonesia is characterized by land grabbing, labor rights violations including child labor, and significant greenhouse gas emissions from forest conversion. As of 2016, the total palm oil plantation area was 11.7 million hectares, with 25 corporate groups controlling 5.1 million hectares.
• Environmental and human rights defenders face severe persecution; between 2004 and 2017, WALHI recorded 131 defenders in Indonesia who were criminalized, persecuted, or threatened with attempted murder.
• Women environmental defenders experience specific forms of gender-based violence, including sexual harassment, intimidation, and social rejection, and face higher pressure from family and social environments due to their gender identity.

APA

Labog, P., Mercado, N. G., & Khalid, K. (2017). CHALLENGING CORPORATE IMPUNITY. Friends of the Earth International. https://www.foei.org/wp-content/uploads/2021/10/APAC_english_2017-WEB.pdf

Chicago

Labog, Pochoy, Norly Grace Mercado, and Khalisah Khalid. CHALLENGING CORPORATE IMPUNITY. Friends of the Earth International, 2017. https://www.foei.org/wp-content/uploads/2021/10/APAC_english_2017-WEB.pdf.

Wikipedia

{{cite report |last1=Labog |first1=Pochoy |last2=Mercado |first2=Norly Grace |last3=Khalid |first3=Khalisah |title=CHALLENGING CORPORATE IMPUNITY |publisher=Friends of the Earth International |date=October 2017 |url=https://www.foei.org/wp-content/uploads/2021/10/APAC_english_2017-WEB.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{labog2017challenging, author = {Labog, Pochoy and Mercado, Norly Grace and Khalid, Khalisah}, title = {{CHALLENGING CORPORATE IMPUNITY}}, institution = {Friends of the Earth International}, year = {2017}, month = oct, url = {https://www.foei.org/wp-content/uploads/2021/10/APAC_english_2017-WEB.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }