ACSR Votes On S. Africa And Chile

The Advisory Committee on Shareholder Responsibility (ACSR)last night unanimusly approved a Mobail Corporation shareholder resolution that would require the company's South African subsidiary to halt sale to the South African military and police.

Harvard contorls approximately $50-million-worth of Mobil stock.

The ACSR also approved resolution by stockholders in the Atlantic Richfield company and the Exxon Corporation requesting an end to the companies' expansion in Chile. Harvard owns about $33 and $54 million in ARCO and Exxon stock, respectively.

The ACSR favored an identical resolution of Mobil stockholders last year. but the Corporation abstained on the proposal, which ultimately gained just over 3-per-cent approval at Mobil-enough to be automatically resubmitted for consideration this year.

Kenneth Propp. a second-year law student an ACSR member, said last night the ACSR's explanation of its vote. Which it will submit to the Corporation this week, will include "very stong" language urging the Corporation to approve the resolution this year.

The Corporation decided last year that a prohibition on sales to the South African police might interfere with "normal" law enforcement procedures in South Africa, but ACSR members believe the distinction between "normal" and "abnormal" is "insignificant." Propp added.

Timothy Smith, coordinator of the resolution for the nine church groups

which introduced it, said this week Mobil's statements in defense of its subsidiary's sales to the South African Police and Military are "amazing and outrageous."

Mobil maintains in its official statement opposing the resolution that the "great bulk of the work of both the police and military forces in every country, including South Africa, is for the benefit of all of its inhabitants," The company adds that it would not fulfill an "image of responsible citizenship" in South Africa if it denied supplies to the police and military.

Plurality

The ACSR's approval of the two resolutions concering Chile was by a narrow plurality, with five votes for the proposals, one against, and four abstentions.

Patrick Flaherty, a graduate student member of the ACSR, said the ACSR members who abstained on the resolutions "mostly felt they didn't know enough" about the issue.

GordonD>Kaufman, Mallinckrodit professor of Divinity and an ACSR member, said last night the ACSR's discussion of the Chile resolutions revolved around the question of whether or not the University should attempt to establish a policy on investments in companies doing business with oppressive regimes other than South Africa.

The Harvard-Radcliffe Committee on El Salvador, which met immediately after the ACSR meeting, issued a statement praising the ACSR's support of the resolutions and urging theCorporation to abide by the ACSR's recommendation.

"There's a large part of the student body that will be watching to see what the Corporation will do on the Chile resolutions." Jamin B. Raskin "83, founder of the El Salvador Committee, said last night.

On another resolution, the ACSR unanimously voted to join several church groups requesting Dow Chemical Company-in which Harvard owns about 54 million worth of stock-to form a review committee to examine the existing and potential health consequences of two herbicides it produces.

The Environmental Protection Agency recently investigated both chemicals-"2, 4, 5-T" and "silvex"-but concluded that "more study" of their effects is needed.

The ACSR favored an identical resolution last year, but the corporation abstained, saying the evidence condemning the chemicals was not conclusive.

The ACSR's recommendation to the corporation will include "persuasive arguments" in favor of the motion, abstention was not in accordance with the weigh of the evidence.