Submitted by: Harrington Investments, Inc.
Posted: Dec 24, 2008 – 12:19 PM EST
Dec. 24 /CSRwire/ - Napa, California - Harrington Investments, Inc., (HII) a socially responsible investment advisory firm, has announced that Bank of America and Citigroup, two of the biggest recipients of taxpayer bailout funds, oppose HII's proposal that would institute a board committee on U.S. Economic Security.
Management at the two companies are seeking permission from the Securities and Exchange Commission (SEC) to disqualify the proposal on grounds that it violates Delaware law.
"If Delaware law allows corporations to subvert our national interest then perhaps somebody ought to take a look at Delaware law," said John Harrington, President of Harrington Investments, Inc.
The text of the resolution states that the proposed "Board Committee shall review whether management and Board policies… are antithetical to the long-term health of the economy of the United States of America, consistent with their responsibilities to the shareholders."
"Our government has handed over literally billions of taxpayer dollars to incompetent managers at failed financial institutions and now they are attempting to deny shareholders the right to vote on a proposal to protect our country's economic security."
Bank of America and Citigroup received $15 and $25 billion respectively in federal funds under the Troubled Asset Relief Program. Bank of America recently used over $7 billion to complete their purchase of approximately 20% of the stock in the China Construction Bank, which is majority owned and controlled by the totalitarian government of the Peoples Republic of China.
For the past 30 years, Harrington Investments, Inc. has been pioneering socially responsible investing and shareholder advocacy. HII manages assets for institutional and individual investors concerned with social and environmental, as well as financial performance.
Harrington has introduced several other binding corporate bylaw amendment resolutions this year. If approved, these bylaw proposals would result in innovations such as the creation of board level human rights or environmental sustainability committees.