Panel I of a Hearing of the Senate Banking, Housing and Urban Affairs Committee - Combating Genocide in Darfur: The Role of Divestment
Statement
Panel I of a Hearing of the Senate Banking, Housing and Urban Affairs Committee - Combating Genocide in Darfur: The Role of Divestment and Other Policy Tools
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SEN. JACK REED (D-RI): Well, thank you very much, Mr. Chairman and Senator Shelby. And this is a critical issue with respect to our response to the genocide in Darfur. And I want to commend particularly Senator Durbin, Senator Brownback for their leadership on the issue, which stretches over many years. Before this was a front- page issue, this was an issue of concern and of conscience to both these gentlemen. Thank you.
I also want to recognize later in the panel our general treasurer from Rhode Island, Frank Caprio, has taken the leadership in Rhode Island of divesting state funds. I thank him for his appearance here today and for his leadership in Rhode Island.
And I would like my full statement to be made part of the record, if possible.
SEN. MENENDEZ: Without objection.
SEN. REED: And just let me make a point. One of the ways that we can bring pressure to bear on corporations is through the proxy process, where shareholders can come forward, demand in the annual meetings that these resolutions be considered, that their companies that they hold shares in are responsible for the investments.
The SEC at this moment is at a very critical junction (sic) with its proposed rule on shareholder access to the proxy statements. And some of the pending proposals and the rules suggested by the SEC could seriously undermine the ability of investors to ask companies to take actions on matters like Darfur.
So I would suggest -- and I know that Chairman Cox is working towards addressing some of these issues, but in a separate effort, if we put -- or inspire the SEC to take appropriate action so that individual shareholders can gain access to their proxies, can make these issues part of their deliberations, I think that will complement the legislation proposed by Senator Durbin and Senator Brownback.
Thank you very much, Mr. Chairman.
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