When Colombian paramilitary leader Carlos Mario Jimenez, known as "Macaco," tried to reduce his expected prison time in 2008 by turning over his ill-gotten gains to prosecutors, he included on his property list the assets of a major palm oil cooperative. The revelation came as little surprise: The drug-running militias had famously displaced thousands of small farmers across the country through years of massacres, killings, torture and threats, and there had long been rumors that their proxies were developing palm oil projects on the stolen land. Now it was clear that the suspicions were correct.

What came as a shock, though, was that the specific palm oil projects Macaco was delivering had received funds from the U.S. Agency for International Development (USAID) as part of an "alternative livelihoods" strategy meant to wean farmers off growing coca leaf. The U.S. agency, however, had neglected to look beyond the formal list of members of the cooperative to see the violence and human rights violations associated with the projects. USAID had halted similar projects with another company around the same time after U.S.-based groups raised concerns over its alleged paramilitary ties, and claimed to have instituted better procedures to screen land projects. But its failure to adequately implement them in the Macaco case reinforced concerns that the United States seemed willing to turn a blind eye to rights abuses.