26 June 2006
Methodist Conference sets new rules for ethical investment in Israel and Palestine
The Methodist Conference has voted for the Church to draw up
guidelines on how to engage with corporations or activities that
support illegal Israeli activity in the West Bank or Gaza strip
companies, with disinvestments as the ultimate sanction.
Conference called on the Israeli Government to halt any further
settlement or construction in the West Bank and to immediately
demolish the security barrier. It also called on Hamas and other
Palestinian groups to recognise the State of Israel and to seek
peaceful means to end of the occupation.
The Joint Advisory Committee on the Ethics of Investment (JACEI)
will develop the criteria that should guide the Church's investment
in this area. The Central Finance board, an independent body that
handles the Methodist Church's investments, always seeks
constructive engagement with companies in order to further ethical
corporate behaviour, but it retains the option of disinvestment if
it cannot achieve progress. JACEI advises the CFB on ethical
matters.
The last year JACEI has reached decisions on several prominent
companies, including Shell, Reed Elsevier and Nestle. Its policy
statement on Nestle said that there were no compelling reasons to
to impose an exclusion policy on Nestle at this time. To date, CFB
has not taken any shares in Nestle, although it has met with the
company's chief executive to discuss a variety of concerns.