Church of England Disinvests From News Corp
07 August 2012 (PLANSPONSOREurope.com) - The Church of England’s pension fund has sold its shares in News Corporation on the advice of the Church's Ethical Investment Advisory Group (EIAG).
Commissioners and the Church of England Pensions Board announced the sale of the shares worth £1.9m. Consequently, none of the three national investing bodies of the Church of England hold shares in the company.
In a statement, the Church of England said it first raised concerns with the board of News Corporation in the aftermath of the phone hacking allegations that surfaced in July 2011. Following talks between the company and the EIAG, the Church of England says it was not satisfied that News Corporation had shown, or is likely in the immediate future to show, a commitment to implement necessary corporate governance reform.
Andrew Brown, Secretary of the Church Commissioners, said: “Last year's phone hacking allegations raised some serious concerns amongst the church's investing bodies about our holding in News Corporation. Our decision to disinvest was not one taken lightly and follows a year of continuous dialogue with the company, during which the EIAG put forward a number of recommendations around how corporate governance structures at News Corporation could be improved. However the EIAG does not feel that the company has brought about sufficient change and we have accepted its advice to disinvest.”