The U.S. House of Representatives overwhelmingly passed two bills that would prevent lawsuits against mutual and pension funds that divest holdings in companies that are doing business in Darfur and Iran.

Both bills will establish a federal list of companies that have direct investments in Iran's energy sector or that would enable the government there to obtain nuclear weapons, or that help support the genocidal practices of the Khartoum in Sudan.

"I am disappointed by the Bush Administration's opposition to both of these bills, and I am pleased that the House has passed them with well above the number of votes that would be necessary to override any vetoes," said Financial Services Committee Chairman Barney Frank (D-Mass.), who introduced the Iran Sanctions Enabling Act, which passed by a vote of 408:6.

The Darfur Accountability and Divestment Act of 2007 passed by a vote of 417:1.

"The Administration's objection to the Congressional approach to these two crises would be more persuasive if we have any evidence that their approach, unaided, was successful," Frank added.

Rep. Christopher Shays (R-Conn.) commented, "No American should have to worry that his or her investments or pension money was earned in support of genocide or terrorism."

(c) 2007 Money Management Executive and SourceMedia, Inc. All Rights Reserved.

http://www.mmexecutive.com http://www.sourcemedia.com

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.