In protest against the continuing violence in Darfur, Los Angeles will withdraw $27 million from pension funds with companies that deal with the Sudanese government.
“The city of Los Angeles is adding its voice to the international outcry over the genocide in Darfur,” said Mayor Antonio Villaraigosa in a statement after announcing the city’s intention to divest.
“We must stand for freedom and basic human rights for all, and we must do everything possible to stop the killing in Darfur,” the mayor said.
Violence in Darfur, which Congress has unanimously declared to be genocide, has killed more than 200,000 people and displaced around 2.5 million people since fighting broke out in the region in 2003.
The Sudanese government has been accused of providing money and assistance to militia groups carrying out the violence and participating in joint attacks, though it denies this.
Smitha Srinath, co-president of Amnesty International at UCLA, said she is happy to see Los Angeles divest from Sudan, a decision which follows the vote by the UC Board of Regents to divest from companies which support the Sudanese government.
She said she hopes other cities and states will follow the city’s example.
“The city of L.A. is so big and has such a great economic force and such prominence that hopefully national government will take notice of the conflict in Sudan,” she said.
Funds will be divested from companies which the regents found to substantially support the Sudanese government or rebel groups.
Pension funds from the Los Angeles City Retirement Systems will divest $18 million, and the police and fire departments will divest $7.5 million. The Los Angeles Department of Water and Power pension plans will reinvest $1.8 million.
The city has around $40 billion invested in employee pension and retirement funds, according to a press release from the mayor’s office.
The divestment is part of a nationwide campaign of financial action against companies which deal with the Sudanese government.
“People aren’t willing to do business with companies which are providing money for the genocide,” said Karina Garcia, member of the Leadership Committee of the Darfur Action Committee.
She said the campaign is a public demonstration against the violence.
“It’s collective action to show that we wont tolerate genocide,” Garcia said.
She added that the divestment campaign imposes sanctions which may prove more successful than international condemnation.
“It’s very targeted and very substantive, not just symbolic,” she said.
The announcement by the city follows legislation signed by Gov. Schwarzenegger last year to end the state’s investments in Sudan.
The University of California also voted to end dealings with the Sudanese government in March 2006, following the lead of other universities including Harvard and Stanford.
In April 2006, Providence City, R.I., became the first U.S. city to divest from Sudan.
Maine, New Jersey, Connecticut, Illinois and Oregon have also passed legislation to divest from companies dealing with the Sudanese government.