State pension funds may soon be divested from corporations doing business in Sudan - the state House of Representatives unanimously passed a divestment bill last Thursday by a vote of 56-0. The legislation, previously passed unanimously by the Senate, will now go to Gov. Donald Carcieri '65.
Rep. Joseph Almeida, D-Dist. 12, the bill's primary sponsor, told The Herald he introduced the bill because he "wanted to send a message" both to international companies with contracts in the Sudan and to Congress, as well as "put serious pressure" on the Sudanese government.
Almeida said he developed the bill with the help of Brown students - specifically members of the Darfur Action Network, headed by Scott Warren '09 - and added that "with young blood standing behind us, we can get a lot done."
Warren told The Herald that he has been working on the divestment bill for almost a year and a half, having first met with Almeida in January 2006. "To get a unanimous vote is really exciting" after such a long process, he said.
Warren said he is "hopeful that the governor will sign the bill," adding that there is "no reason he wouldn't," but he noted that Carcieri's policy advisers, with whom he has met, have not yet taken a position on the bill. But with unanimous passage in both the House and the Senate, the bill likely has enough votes to override the governor in the case of a veto.
In a speech made on the House floor before the vote on the bill Thursday, Almeida urged his colleagues to "show some compassion for other human beings" and said the bill would "stop the destruction of people in Sudan."
General Treasurer Frank Caprio told The Herald that the divestment bill would close the "loophole for international investors," explaining that while U.S.-based companies that the state may invest in are not allowed to contract with or make investments in Sudan, an international company has no such restrictions.
The bill would "definitely" put pressure on the Sudanese government and "substantially weaken their hand," Caprio said, noting that "governments like Sudan are only as strong as the economic conditions in the country."
While Caprio said he was not sure whether or not Carcieri would sign the bill, he said he plans on meeting with the governor to give him background information and urge him to sign the bill.
Xay Khamsyvoravong '06, Caprio's deputy chief of staff, called the bill "very intelligent legislation." He said the bill removes about $2.1 million of state pension funds from investments in Rolls-Royce and Petronas and reinvests the money elsewhere. Rolls-Royce provides engines to Sudanese oil refineries, and Petronas produces fuel for Sudanese government aircraft, according to Khamsyvoravong.
"With such a blatant connection," he said, "the only debate was over what the best way to (divest) was."
A divestment bill was introduced in the General Assembly last year but did not pass. Carcieri's office did not respond to requests for comment.
