General Synod backs Caterpillar divestment

On 21 September 2005, the Church of England's Ethical Investment Advisory Group announced its decision not to recommend disinvestment in US company Caterpillar. The Caterpillar D9 bulldozer has been used by the Israeli military to destroy Palestinian homes and agricultural land in the West Bank and Gaza and to construct the illegal 'Separation Wall' that cuts deep into the West Bank. In addition, it was one of these machines that killed American peace activist, Rachel Corrie, two years ago.

A Caterpillar military bulldozer destroys Palestinian homes.

On the 6th February 2006, the General Synod meeting in London backed a motion calling for a divestment of shares held by the Church of England in companies profiting from Israel's illegal occupation of Palestinian territories. The full text of the motion was:

"This Synod:

1. heeds the call from our sister church, the Episcopal Church in Jerusalem and the Middle East, for morally responsible investment in the Palestinian occupied territories and, in particular, to disinvest from companies profiting from the illegal occupation, such as Caterpillar Inc, until they change their policies;
2. encourages the Ethical Investment Advisory Group to follow up the consultation referred to in its Report with intensive discussions with Caterpillar Inc, with a view to its withdrawing from supplying or maintaining either equipment or parts for use by the state of Israel in demolishing Palestinian homes etc.;
3. in the light of the urgency of the situation and the increased support needed by Palestinian Christians, urges members of the EIAG to actively engage with monitoring the effects of Caterpillar Inc's machinery in the Palestinian territories through visiting the Episcopal Church in Jerusalem and the Middle East to learn of their concerns first hand, and to see recent house demolitions;
4. urges the EIAG to give weight to the illegality under international law of the activities in which Caterpillar Inc's equipment is involved; and
5. urges the EIAG to respond to the monitoring visit and the further discussions with Caterpillar by updating its recommendations in the light of these."

This represents a great success for peace campaigners and has been warmly welcomed by CAAT, the Interfaith Group on Morally Responsible Investment (IMRI of which the Christian Network is a founding member) and War on Want (www.waronwant.org/caterpillar). However, the Synod's resolution does not automatically mean the Church will shed its shares in Caterpillar and already Neville White of the EIAG has been quoted as saying the resolution is advisory and does not compel the Church to sell its £2.2M shares. Moreover, the Archbishop of Canterbury under fire from leading Anglicans and British Jews for supporting the motion, issued a statement on 10th February to clarify the situation and apologise for any concerns that might have been felt.