U.S. Representative Gregory Meeks (D-New York) made the comments at a meeting of the House Financial Services Subcommittee on International Monetary Policy and Trade, about H.R. 1327, according to media reports. The bill is sponsored by U.S. Representative Barney Frank (D-Massachusetts),thechairman of the House Financial Services Committee.
The Frank bill would permit fund managers to consider the policy of the U.S. government as well as the interests of citizens when making divestment decisions for state and local pension funds.
Under the bill, state and local governments could divest from companies, including financial institutions, tankers, and pipelines, engaged in significant business (over $20 million investment) with Iran’s energy sector and identified “using credible information available to the public.”