FAQ #8: Is there some way to counter divestment-realted frauds or hoaxes like what went on at Hampshire earlier this year?
Remember that political divestment cannot be said to have taken place unless the institution doing the divestment makes it unambiguously clear why they are divesting. In the case of Hampshire, it was reasonable to ask students making claims on behalf of the college why campus decision makers (such as the college president or investment committee members) were not standing alongside them, substantiating their claims, rather than communicating the opposite (that Hampshire had not divested from Israel) to the world.
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Another divestment hoax?
ReplyDeleteI am a member of Tia-creff- I have an inquiry in;
Report and Statement Indicate that TIAA-CREF Has Divested from Africa-Israel
by Adalah-NY
Friday Sep 11th, 2009 10:11 PM
TIAA-CREF confirmed in statements to the media today that it divested from Africa-Israel earlier this year. The statements responded to a letter initiated by Adalah-NY and signed by TIAA-CREF clients calling on TIAA-CREF to divest from Africa-Israel, owned by Lev Leviev. A TIAA-CREF spokesperson told The Chronicle of Higher Education that TIAA-CREF "no longer owns shares in Africa-Israel Investments Ltd."
Adalah-NY: The Coalition for Justice in the Middle East
http://www.adalahny.org
Media Contact: info [at] adalahny.org
Report and Statement Indicate that TIAA-CREF Has Divested from Africa-Israel
FOR IMMEDIATE RELEASE
New York, NY, September 11, 2009 – TIAA-CREF confirmed in statements to the media today that it divested from Africa-Israel earlier this year. The statements responded to a letter initiated by Adalah-NY and signed by TIAA-CREF clients calling on TIAA-CREF to divest from Africa-Israel, owned by Lev Leviev. A TIAA-CREF spokesperson told The Chronicle of Higher Education that TIAA-CREF "no longer owns shares in Africa-Israel Investments Ltd."
A recently published TIAA-CREF report also confirms that TIAA-CREF no longer holds Africa-Israel shares. This new report, dated June 30, 2009, was posted on the TIAA-CREF website sometime in the last 10 days while the letter to TIAA-CREF was being circulated for signatures. The previous report dated March 31, 2009 showed that TIAA-CREF had owned $257,000 in Africa-Israel Investments stock. Adalah-NY did not recognize that this new report came online in the last days.
Adalah-NY takes full responsibility for providing out-of-date information to those who signed the letter, who recruited colleagues to sign, and who spoke with media about the letter.
Despite the recent divestment from Africa-Israel, the new June 30th TIAA-CREF report indicates that the fund continues to invest clients' money in a number of companies supporting Israeli settlement activity including Israel Discount Bank, Cellcom Israel, Bezeq Israeli Telecommunications Corp, Bank Leumi, and Motorola, among others.
Lev Leviev’s companies have been the target of a boycott and divestment campaign since November 2007 in reaction to their settlement construction and their involvement in human rights abuses in the diamond industry in Angola and Namibia. Africa-Israel is currently in the throes of a financial crisis.
http://www.adalahny.org
Your comment was very timely (the TIAA-CREF issue just came up on my radar and I've just posted something on the subject.
ReplyDeleteLet me know if you hear anything from the organization.
This is their press release:
ReplyDeleteStatement on Letter to TIAA-CREF by Coalition for Justice in the Middle EastNew York, September 11, 2009 --
TIAA-CREF no longer owns shares in Africa-Israel Investments Ltd. A letter dated September 11 from the Coalition for Justice in the Middle East calls on TIAA-CREF to sell shares in that company, which the signatories allege builds and maintains homes in Israeli settlements on Palestinian land.
While a small number of shares of Africa-Israel Investments Ltd. were held in the CREF Stock Account, since June 30, 2009 they are no longer held in the Account following their removal from an emerging markets index that the Account tracks, as part of a regular rebalancing.
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"Rebalancing". Ok. But seeing that Tia-Creff still hold millions in Israeli investments, its clear this was an economic move and not a political one. That won't stop the divestment crowd from declaring victory and talking about the "momentum" of their movement.
The comment from TIAA CREF is using the term "divestment" in the generic sense of the world. The organization (or more specifically, the emerging market fund) "divested" from Israel-Africa the same way you or I (or any investor) "divests" holdings every day. Indeed, everytime someone yells "Sell!" on the floor of the New York Stock Exchange, divestment is happening.
ReplyDeleteNowhere do they indicate that what took place was "political divestment," i.e., divestment that took place not for financial reasons (i.e., Israel-Africa's debt troubles) but becuase they object to the company for political reasons (i.e., its involvement with construction within Israel).
The reference to "rebalancing" clearly indicates that this was a financial decision, and the fact that it was made months before BDSers approached CREF clearly indicates that this was a financial (not a political) decision. It's a pity they chose to use the word "divestment" in their press release, which seems to be the thin reed divestniks are hooking their story on.