by Michel Klompmaker
“The power of the largest multinationals can therefore still be corrected outside the boardroom. That is encouraging and is an impulse for the further alignment of sustainability and compliance in terms of testing and reporting.” said Michael van Woerden of DeComplianceMonitor, who we asked for comments on the recent decision of the District Court of The Hague in the case against Royal Dutch Shell. This ruling has not only attracted the attention of Dutch lawyers and climate activists, but this court ruling is also subject to discussion abroad. The largest multinationals have come under fire in recent weeks and those who think that the multinational has been created forever to defend the interests of only its own shareholders will be disappointed. The G7 meeting that is currently taking place in London will push ahead with regard to a minimum taxation for internationally operating companies and the tax shortcuts for the multinationals will be limited. In fact, the risk of significant worldwide reputational damage is more present than ever, now that the multinationals (and their directors) are under the magnifying glass, in case there is no ‘reasonable’ tax payment that has been made public. What should ultimately be regarded as ‘reasonable’ is not yet certain and is subject to debate. Continue reading…