Thanks to efforts by the Wesleyan Environmental Organizers Network (EON), Citigroup Bank, the largest global financial services company, has now stopped harmful practices to the environment. With the help of Rainforest Action Network (RAN), and a coalition of other non-governmental and student organizations, Citigroup capitulated to the demands set by EON on Jan. 22. In taking this action, Citigroup has become the first global bank to adopt comprehensive environmental and social standards in private sector investment, and they continue to work on making environmental and social justice an issue that concerns the private sector.
Citigroup has 200 million customer accounts in approximately 100 countries. According to opponents of the old environmental policy, their lending practices have had a detrimental effect on the environment, including the illegal logging of tropical rainforests, oil spills and destructive mining practices. From the first national day of action against Citigroup in the fall of 2000, members of EON have been raising awareness on campus and across Conn.
Last February, at a parade sponsored by Citigroup to inaugurate the opening of their new office in Hartford, Wesleyan students attended to protest Citigroup’s disregard for the environmental and social consequences of their practices. University students were also planning to attend a major protest at Citigroup’s headquarters in New York last spring, but Citigroup unexpectedly approached RAN and asked to negotiate and come to an agreement.
As a result, Citigroup agreed to deny financing for commercial logging in tropical rainforests and focus on the cultural integrity of communities in which it is involved worldwide, as well as investment in sustainable logging and renewable energy. It became the first private US bank to recognize environmental no-go zones of high ecological value.
“RAN’s victory over Citigroup means a lot,” said Matthew Montesano ’05, EON member and active participant in the campaign against Citigroup’s environmental policies. “It sets a precedent for responsible business and will hopefully lead to other reform.”
Dan Firger ’01, who worked with RAN’s campaign against Citigroup during his senior year at Wesleyan and now works full time with them as their Global Finance Organizer, also played an important role in this campaign and commended the Wesleyan students for their passionate and active involvement. Now that the Citigroup campaign has been successfully completed, RAN has dubbed other large banks “The Liquidators” because of what they say are irresponsible practices that are liquidating the earth’s environmental resources, and called upon these other banks to meet or beat the Citigroup policy.
David Carhart ’06, a member of EON who has been involved with the RAN campaign against Citigroup, was enthusiastic about RAN’s newest project, Bank of America, which recently acquired Fleet Bank. Due to Fleet’s presence on campus, Carhart feels this campaign would provide Wesleyan students the opportunity to be instrumental at a local level.
“I’m really excited that EON is involved with the Citi[group] campaign, but now there is potentially a very local connection with Fleet,” Carhart said. “It is important that people understand the connections between the money that they deposit in the local bank here and their policies.” Citigroup’s new environmental policy is a great achievement for RAN and all the student organizations involved, including those at Wesleyan.
“Students across the country, including members of EON, played a key role in bringing Citigroup to the table and forcing them to be more environmentally and socially responsible,” Carhart said. “Now EON is calling on the rest of the banking industry, including Fleet/Bank of America, to meet or beat the standard set by Citigroup.”
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