Bush Signs Sudan Divestment Bill into Law
January 2, 2008 (PLANSPONSOR.com) - President Bush
signed legislation on Monday that makes it easier for mutual
funds and private pension funds to sell their investments in
companies doing business with Sudan.
Though the president signed the
Sudan Accountability and Divestment Act, Bush's
administration has expressed concern that the bill
could interfere with its right to set foreign policy
(See
Letter Voices Administration's Sudan
Divestment Proposal Opposition
). Bush's signature was accompanied by a proviso
known as a signing statement, reserving his authority to
overrule state and local divestment decisions if they
conflicted with foreign policy, the New York Times
reported.
The bill was passed unanimously in both the House
and Senate last month (See
U.S. Senate Passes Sudan Divestment
Bill
). The measure permits U.S. state and local governments,
as well as mutual funds and private pension funds, to
divest their investments in companies involved in four
Sudanese business sectors - oil industry, mineral
extraction, power production, and the production of
military equipment.
Additionally, the legislation requires federal
government contractors to certify they are not involved
in business in these four areas.
Rebecca Moore
editors@plansponsor.com