Beginning Next Week: InsideCounsel will become part of Corporate Counsel. Bringing these two industry-leading websites together will now give you comprehensive coverage of the full spectrum of issues affecting today's General Counsel at companies of all sizes. You will continue to receive expert analysis on key issues including corporate litigation, labor developments, tech initiatives and intellectual property, as well as Women, Influence & Power in Law (WIPL) professional development content. Plus we'll be serving all ALM legal publications from one interconnected platform, powered by Law.com, giving you easy access to additional relevant content from other InsideCounsel sister publications.

To prevent a disruption in service, you will be automatically redirected to the new site next week. Thank you for being a valued InsideCounsel reader!

X

More On

Aluminum manufacturers reach $85 million settlement

Bahrain-owned Alba sued Alcoa over claims Alcoa paid bribes to government officials

The ongoing battle between U.S.-based aluminum maker Alcoa and Bahrain-owned aluminum maker Aluminum Bahrain (Alba) is coming to an end with Alcoa agreeing to pay Alba $85 million.

The case dates back to 2008, when Alba filed suit against Alcoa, claiming Alcoa conspired to overcharge Alba for alumina, a substance used to make aluminum. Alba accused Alcoa of paying millions of dollars in bribes to Bahraini officials in return for inflated contracts, violating the Foreign Corrupt Practices Act. In the suit, Alba sought $1 billion in damages and claimed that Alcoa received $400 million in illegal profits during the scheme.

In addition to the $85 million Alcoa will pay in accordance with the settlement, announced yesterday, Alcoa will resume its long-term agreement to sell Alba alumina. As part of the settlement agreement, Alcoa admits no liability.

“The settlement with Alba represents the best possible outcome and avoids the time and expense of complex litigation,” Alcoa said in a statement.

When combining the cash payment and the long-term contract, Alba claims the settlement is worth about $447 million.

“We are very happy with this settlement,” Mahmood Hashim al-Kooheji, Alba’s chairman, told Thomson Reuters. “This is great news for Alba and Bahrain.”

Alcoa did not comment on Alba’s total value of the settlement.

Read more about this agreement on the Huffington Post and Thomson Reuters.

Read more InsideCounsel stories about this case:

Racketeering case against Alcoa will move forward

Alcoa asks judge to toss civil racketeering suit

Alcoa may have violated FCPA

Alcoa corruption case reopened

Editor

Cathleen Flahardy

Bio and more articles

Join the Conversation

Advertisement. Closing in 15 seconds.