ACSR to Meet With Citibank Executive

Members of the Advisory Committee on Shareholder Responsibility's (ACSR) subcommittee on South Africa will meet with an executive vice president of Citibank in two weeks to discuss details of the bank's $250-million loan to the South African government last year.

The University, in compliance with its current investment policy--which prohibits investments in banks that loan money to the South African government--sold $50 million in Citibank notes and securities last fall.

But recent reports have indicated that several members of the Corporation advocate changing Harvard's investment policy to allow holdings in banks that loan money to the South African government for humanitarian or medical reasons.

Expert Texpert

Alan Heimert '49, chairman of the subcommittee on South Africa, said yesterday that members of his committee requested late in February to meet with Reuben F. Richards, Citibank executive vice president for Europe and Africa, because of his expertise in international loans.

Since January, the subcommittee has been reviewing past decisions by the ACSR and the Corporation concerning South Africa--including the sale of the Citibank investments--and is preparing recommendations on this year's round of shareholder resolutions, Heimert said.

Enumeration

Richard, who last fall approved Citibank's loan to South Africa, was unavailable for comment yesterday.

Robert L. Brannon, another Citibank vice president, said yesterday Richards will explain at the meeting why Citibank made the loan and will enumerate the recipients of the money--which, he said, includes schools, housing projects and hospitals for South African Blacks.

Blisters

Brannon said that although he believes Citibank would like Harvard to change its investment policy, as far as he knows Corporation members have not directly contacted Citibank officials concerning last fall's loan.

He added, "There are a lot of Harvard alumni [at Citibank], and I think there has probably been some dialogue amongst them and between them and people at Harvard."

Richard H. Rosen, an alumnus member of the ACSR and the South Africa subcommittee said yesterday that although no concrete suggestions for reviewing Harvard's current investment policy have been made, "it is fair to say that a reexamination of Harvard's policy is in some people's minds."

The ACSR, however, has received "no formal or specific request" from the Corporation to review the current investment policy, Milton Katz, chairman of the ACSR and Stimson Professor of Law, said yesterday.