Kansas enacts law to divest state pension fund from Sudan
May 11, 2007 (TOPEKA, Kansas) — Kansas Governor Kathleen Sebelius signed a law Friday requiring the state’s largest pension fund to stop investing in companies that do business in Sudan.
The law, modeled after similar legislation in California, makes Kansas the latest in a growing list of U.S. states that have passed measures to divest Sudan holdings in order to pressure the African nation to end the violence in its Darfur region.
The Sudanese government has been blamed for atrocities in an ethnic conflict that has killed more than 200,000 people and displaced 2.5 million.
“The horrific genocide taking place in Sudan is well-documented, and we want to have nothing to do with companies that are doing business in that nation so long as its government does nothing to stop the killing,” Sebelius said in a written statement.
Pension officials have said the Kansas Public Employees Retirement System has about $38 million invested in companies with ties to Sudan, the largest amount being $16 million in PetroChina, a Chinese oil firm.
In all, the Kansas governor signed 18 bills Friday and has approved 194 passed by the 2007 Legislature. She has vetoed four bills and one budget item.
The law prohibits the state pension fund from investing in certain businesses and requires it to divest from direct or indirect holdings in companies with Sudan operations.
Kansas high school and university students were among those who lobbied for the bill this year.
Matthew Vines, a Wichita East High junior leading the student effort, said legislators should be commended for their actions.
“It’s not going to end genocide, but it is part of the overall international movement. It’s just one fund at a time.” Vines said.
Other U.S. states, including Missouri, have divested from Cuba, Iran, North Korea and Syria, identified by the U.S. State Department as terror-sponsoring nations. Several executive orders already restrict U.S. companies from trading with or investing in Iran.
(AP)