Features

October 27, 2008

A Matter of Complicity? Exxon Mobil on Trial for its Human Rights Violations in Aceh

Executive Summary

To download the full report, click here. Click here for the report in Indonesian.

In 2001 the International Labor Rights Fund brought a civil case in U.S. Federal Court on behalf of 11 surviving family members of victims of human rights abuses allegedly committed by members of the Indonesian military forces (TNI). These abuses included torture, rape, and killings. The case specifically concerns Exxon Mobil's role in employing the TNI to protect its natural gas facilities in Aceh, Indonesia. It does not examine every aspect of the Aceh conflict and represents the claims of only a small number of victims, yet it is potentially important in achieving some degree of accountability for human rights abuses committed in Aceh.

Following the discovery of vast natural gas fields, Exxon Mobil helped build one of the largest and most profitable natural gas facilities in the world in Arun, North Aceh District, in 1971. Very little of the profit that flowed from these operations remained in Aceh, and this inequality contributed to formation of the Free Aceh Movement (GAM) in 1976. One of GAM's main demands was for Acehnese to retain a greater share of the wealth derived from natural resources extracted in the region.

In its initial contract with the Soeharto family, Mobil (which later merged with Exxon) agreed to hire members of the TNI as private security personnel. As the security situation in Aceh deteriorated, Exxon Mobil increased its reliance on the TNI. According to the plaintiffs' claims, by 2000 Exxon Mobil was paying more than US$500,000 a month to the TNI. The lawsuit further alleges that Exxon Mobil helped to equip and train TNI members who provided private security to its Aceh operations. The Indonesian government used the threat to the immense revenue generated at the Arun facility to justify its increased militarization of Aceh. This in turn led to escalation of the conflict between the TNI and GAM. Fighting between GAM and the TNI had a severe impact on civilians, especially those who lived near the Exxon Mobil facility.

The lawsuit argues that Exxon Mobil should have been aware of the high degree of risk that TNI security personnel might commit human rights abuses. The corporation should have taken appropriate measures after it became aware that Indonesian military forces acting as its agents were committing serious violations. The plaintiffs initially sought relief under several U.S. laws: the Alien Tort Claims Act (ATCA), the Torture Victims' Protection Act (TVPA), and a state tort law that protects victims of wrongful death, assault, and arbitrary detention. In response to preliminary appeals brought by Exxon Mobil and the U.S. State Department the courts rejected the plaintiffs' action based on the ATCA and TVPA. However, in August 2008 a U.S. district court judge rejected further appeals and decided that the victims' claims that Exxon Mobil's actions had violated applicable tort laws had sufficient merit to be decided at trial.

To date there has been limited judicial accountability for crimes committed by the TNI in Aceh despite compelling evidence of their involvement in mass crimes. Commitments that were part of the 2005 Helsinki Memorandum of Understanding, to establish a truth and reconciliation commission and a human rights court, have not been fulfilled. Also, transitional justice efforts have focused disproportionately on reintegration of former combatants and political prisoners. The failure to address the concerns of victims of crimes by the TNI and bring perpetrators to justice could undermine sustainable peace in Aceh.