This article has been prompted by the visit to EMC of Fleur Anderson on 29 March. She was telling us of the actions by the MAYC to draw attention to the repressive régime in Burma (or
Myanmar as it is correctly known). You will be interested to know that the Central Finance Board of the Methodist has also taken a stance on this issue.
First of all perhaps I should explain the function of the CFB. It is "a body corporate established by the Methodist Church Funds Act 1960" to manage the investment of funds connected with the Methodist Church in Great Britain, the Channel Islands, the Isle of Man and overseas missions.
These funds are not trivial and amounted to over £750 million at the beginning of March 1998. In practice the main business is looking after the pension fund monies for the Methodist Ministers and the staff of NCH Action for Children. However, Methodist Churches raising funds for projects also invest with the CFB in order to earn interest during the build-up period. The rate of interest is
highly competitive.
A highly professional and dedicated team led by Bill Seddon runs the CFB, who is actually an Anglican. The offices are separate from other Methodist locations being in Tabernacle Street in the city. A Board and a sub-committee that takes a great deal of care on ethical matters supervise the proceedings.
It is relatively easy to avoid investing in organisations whose main raison d’être is armaments, alcohol, gambling or tobacco but the decision to hold or sell is not the same as the decision not to invest in the first place. For example, Shell has come in for some criticism for "supporting" the Nigerian government. Since the CFB has a holding in Shell it is entitled to ask the
Company to explain its behaviour.
The CFB will not be alone and the signs are that Shell is becoming much more aware of public reaction to their activities. If the CFB comes to the point where it considers that Shell’s activities are no longer acceptable and the Company gives no indication that it intends to change, the shares will be sold.
All of this brings us to the question of Total (the French Company that is developing the Yadana gas field in Burma and mentioned by Fleur Anderson). It came to the attention of the CFB that there was reason to believe that the company was using forced labour in building a pipeline. The CFB holding was small so it would be difficult to make a big impact but we acted in liaison with the
Methodist Church in the US.
We engaged in correspondence with the company who protested their innocence but did not really address the questions raised. In the end both Methodist Churches disposed of their investments and issued a press release to say why they had done so and also informed the company. This all passed off without a ripple.
However this is not the end of the story. The company has now written to the CFB to say that Reverend Richard W. Timm and Justice K.M.Subhan, a former consultant of the United Nations Centre have prepared a special report (sic) for Human Rights. The gist of the report is that they were allowed to go where they wished
and speak to whom they wished.
They gave Total a clean bill of health, saying "that they were a model for other international companies!"
Perhaps we have still not heard the end of this matter. Whatever one makes of the conflicting evidence it is clear that large companies do care about their reputation. Even a small well-publicised action may have a significant result because companies generally do not wish to suffer adverse publicity. Taking a Christian or ethical point
of view in the world of big business can have an effect.
The ethical aspects of investment are considered at every monthly meeting of the CFB. In addition there is an ethical committee which studies particular issues and co-operates with similar organisations in other churches in the UK and overseas.
Jo Brand’s BigMouth for Burma
Will you be a big mouth for Burma? That’s the question comedian Jo Brand is putting to thousands of young Methodists around the UK and Ireland this year.
In a special video made to launch the Methodist Association of Youth Clubs’ latest campaign on Burma - Liberate ‘98 - Jo looks at how young people can help bring peace and democracy to this strife-ridden country.
The Liberate ‘98 campaign is a joint venture between MAYC, Christian Aid and the Burma Action Group.
"I’m known for having a big mouth and speaking my mind," says Jo, "but freedom of self-expression and the right to say whatever you want is something which is often taken for granted. Imagine a country where opening your mouth and saying what you think could land you in prison for 20 years - that’s what it’s like to live in Burma."
The first action in the campaign will be to send thousands of cards to Foreign Secretary Robin Cook, urging him to continue his tough stance on Burma as the UK starts its presidency of the EU. For more information contact Jenny Ayres at MAYC on 0181-444 9845
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mailto: steve@penge.u-net.com
