After Mandela, Harvard should Invest Responsibly.

To the editors:

The special convocation to honor Nelson Mandela was a tremendously powerful and unforgettable event. President Mandela credited the University with contributing to South African anti-apartheid and democratic movements in the way that Harvard does best--through educational excellence and opportunity.

The importance of this kind of educational influence cannot be overestimated. However, scholarship is not the only way in which Harvard impacts the outside world. With an $11 billion endowment, Harvard also wields the financial power of a major corporation. The majority of Harvard's endowment is invested in an enormous stock portfolio of over 1450 companies and banks, under the direction of a Corporate Committee.

During the late 1970s, and early 1980s, when South African apartheid gained global recognition, Harvard chose not to fully divest from companies doing business in South Africa. To the University's credit, a full review was undertaken and a conditional investment policy was announced by then-President Bok. Harvard fell far short, however, of the complete divesture called for by leaders of the anti-apartheid movement.

Since the end of apartheid to the present, Harvard has continued its practice of investing in irresponsible multinational corporations. By the end of 1997, Harvard had over $34 million invested in Shell Oil--a world leader in environmental destruction and human rights abuses. Shell Oil's dubious relationship with the military government of Nigeria has led to the importation of arms and paying the military to suppress local civilian opposition, the execution of Nobel peace laureate Ken Saro-wiwa and eight others for speaking out against its oil drilling operations, and environmental destruction which has caused pollution levels in Nigeria 700 times higher than their operations in Europe.

As members of the Harvard community, we should be paying close attention to where our University's money is directed, and we should hold Harvard to an effort at socially responsible investing. Despite its financial strength, Harvard is foremost committed to its ideals and principles as an educational institution, and should not be financially supporting companies known for labor, human rights, environmental or other abuses; whenever possible, Harvard should use its stock-holding clout to compel such corporations to change their policies.

We are all the beneficiaries of the University's economic growth. President Mandela's visit should remind us, however, that as long as Harvard continues to invest in irresponsible companies such as Shell, the University cannot be wholy committed to its principles of individual freedom and opportunity. Responsible investment will give future students cause to be proud of Harvard's role in the global economy.

DANIELLE SCHINDLER '98-'99

LARISSA JESTER '99

JONATHAN SHAPIRO '00

Environmental Action Committee

DANIEL M. HENNEFELD '99

Progressive Student Labor Movement

BENJAMIN TOLCHIN '01

Alliance for Social Justice

SHAI SACHS '00

Progressive Jewish Alliance

September 27, 1998