Dutch prosecutors announced on Friday that they have summoned Damen Shipyards, a prominent Dutch shipbuilder, due to suspicions of violating EU sanctions against Russia. Additionally, a separate investigation has been launched concerning allegations of corruption involving the company and some of its executives. Damen has denied both accusations.
Regarding the sanctions allegations, Damen stated that it has consistently acted in accordance with all applicable sanctions packages and expressed surprise that a case from June 2022 is now being brought to court. In response to the corruption charges, the company expressed confidence in its legal position and looks forward to clarifying what it believes are misunderstandings regarding the accusations from the public prosecution service. The inquiry into the potential violation of the Sanctions Act was initiated by Dutch customs and centers on the transfer of goods and technologies that could potentially enhance the Russian military’s capabilities.
This investigation focuses on actions taken in 2022. In the corruption case, Damen and several executives face prosecution for alleged bribery, forgery, and money laundering in connection with the sale of ships abroad between 2006 and January 2017. Furthermore, in October 2023, Damen filed a lawsuit against the Dutch government seeking compensation for damages it claims to have incurred due to European sanctions imposed on Russia.
The family-owned company, which employs around 12,000 people, is also expected to play a significant role in the Dutch government’s extensive plans to replace nearly its entire navy fleet over the next 15 years.