SUBSCRIBE TO OUR FREE NEWSLETTER
Daily news & progressive opinion—funded by the people, not the corporations—delivered straight to your inbox.
5
#000000
#FFFFFF
5
#000000
#FFFFFF
general electric
'Obvious Conflict of Interest': Report Reveals 50+ US Lawmakers Hold Military Stocks
"It's abjectly terrifying that the personal benefit of any member of Congress is factored into decisions about how to wield and fund the largest military in the world," said one critic.
Sep 12, 2024
At least 50 U.S. lawmakers or members of their households are financially invested in companies that make military weapons and equipment—even as these firms "receive hundreds of billions of dollars annually from congressionally-crafted Pentagon appropriations legislation," a report published Thursday revealed.
Sludge's David Moore analyzed 2023 financial disclosures and stock trades disclosed in other reports and found that "the total value of the federal lawmakers' defense contractors stock holdings could be as much as $10.9 million."
According to the report:
The spouse of Sen. Susan Collins (R-Maine), the ranking member of the Defense Appropriations subcommittee, holds between $15,000 and $50,000 worth of shares in each of Boeing and RTX, as well as holdings in two other defense manufacturers. Sen. Jerry Moran (R-Kansas), another Defense Appropriations subcommittee member, holds up to $50,000 in the stock of Boeing, which received nearly $33 billion in defense contracts last year. On the Democratic side of the aisle, Sen. John Hickenlooper (Colo.) holds up to a quarter of a million dollars' worth of stock in RTX...
The most widely held defense contractor stock among senators and representatives is Honeywell, an American company that makes sensors and guiding devices that are being used by the Israeli military in its airstrikes in Gaza. The second most commonly held defense stock by Congress is RTX, formerly known as Raytheon, the company that makes missiles for Israel's Iron Dome, among other weapons systems.
All 13 senators whose households disclosed military stock holdings voted for the most recent National Defense Authorization Act, which, as Common Dreams reported, allocated a record $886.3 billion for the U.S. military while many lawmakers' constituents struggled to meet their basic needs.
"It is an obvious conflict of interest when a member of Congress owns significant stock investments in a company and then votes to award the same company lucrative federal contracts," Craig Holman, government affairs lobbyist at the consumer advocacy group Public Citizen, told Sludge.
"Whether or not the official action is taken for actual self-enrichment purposes is beside the point. There is at least an appearance of self-enrichment and that appearance is just as damaging to the integrity of Congress," Holman added. "This type of conflict of interest is already banned for executive branch officials and so should be for Congress as well. The ETHICS Act would justly avoid that conflict of interest by prohibiting members of Congress and their spouses from owning stock investments altogether."
Holman was referring to the Ending Trading and Holdings In Congressional Stocks (ETHICS) Act, introduced earlier this year by Sens. Jeff Merkley (D-Ore.), Jon Ossoff (D-Ga.), Gary Peters (D-Mich.), and Josh Hawley (R-Mo.).
In the House of Representatives—where the 2024 NDAA passed 310-118, with the approval of over two dozen members who own shares in military companies—House Foreign Affairs Committee Chair Michael McCaul's (R-Texas) household owns up to $2.6 million in General Electric, Oshkosh Corporation, and Woodward shares. Rep. Dave Joyce (R-Ohio), who sits on the Defense Appropriations subcommittee, owns as much as $100,000 worth of Boeing and General Electric stock.
Other House lawmakers with potential conflicts of interest include Rep. Gerry Connolly (D-Va.), a member of the Foreign Affairs Committee, who owns Leidos shares worth as much as $248,000; Rep. Debbie Dingell (D-Mich.), who owns up to $100,000 worth of RTX stock; and Rep. Patrick Fallon (R-Texas), a member of the Armed Services Committee who holds Boeing stock worth between $100,000 and $250,000.
"Every American should take a long, hard look at these holdings to conceptualize the scope of Congress' entanglement with defense contractors," Public Citizen People Over Pentagon advocate Savannah Wooten told Sludge. "It's abjectly terrifying that the personal benefit of any member of Congress is factored into decisions about how to wield and fund the largest military in the world."
"Requiring elected officials to divest from the military-industrial complex before stepping into public service would create a safer and more secure world from the outset," she added.
Keep ReadingShow Less
Norway's Sovereign Wealth Fund Weighs Divestment From Companies Complicit in Israeli Crimes
The world's largest pension fund recently adopted new ethics rules that could preclude it from owning shares in several U.S. arms firms.
Sep 04, 2024
Norway's $1.76 trillion sovereign wealth fund—the world's largest—could soon be forced to divest from companies including linchpins of the U.S. military-industrial complex due to updated ethics standards for businesses complicit in Israeli human rights violations in occupied Palestine.
Reutersreported Wednesday that the Government Pension Fund Global Council of Ethics informed the Norwegian Ministry of Finance on August 30 that it "believes the ethical guidelines provide a basis for excluding a few more companies" to its divestment list, "in addition to those already excluded."
The ethics council has been investigating whether to blacklist more companies ever since Israel began its bombardment, siege, and invasion of Gaza 334 days ago in response to the Hamas-led October 7 attack.
Since then, Israeli forces have killed or maimed more than 145,000 Palestinians, while forcibly displacing, starving, and sickening millions more and obliterating the Gaza Strip. Israel is currently
on trial for genocide at the International Court of Justice (ICJ) in The Hague.
Also under the council's consideration is Israel's conduct in the illegally occupied West Bank, where occupation forces have killed hundreds more Palestinians and settlers have carried out deadly pogroms under the protection—and sometimes with the participation—of Israel Defense Forces troops.
The fund's ethics rules—which are made by Norway's parliament, the Storting—were updated partly due to the ICJ's July advisory opinion that Israel's 57-year occupation is an illegal form of apartheid that must immediately end.
Companies under consideration include U.S.-based RTX (formerly Raytheon), General Electric, and General Dynamics.
Under its previous policy, the fund divested from nine companies operating in the occupied West Bank. Targeted businesses build homes and roads in illegal Israeli settler colonies, as well as provide surveillance systems for the Israeli separation wall, often called the "apartheid wall," along the Green Line boundary and inside parts of the West Bank.
In June, another Norwegian pension fund, Kommunal Landspensjonskasse (KLP), divested its nearly $70 million stake in Texas-based Caterpillar, citing the use of its bulldozers in ethnic cleansing in the West Bank.
"For a long time, Caterpillar has supplied bulldozers and other equipment that has been used to demolish Palestinian homes and infrastructure to clear the way for Israeli settlements," KLP head of responsible investments Kiran Aziz said at the time. "It has also been alleged that the company's equipment is being used by the Israeli Defence Forces in connection with its military campaign in Gaza."
Norway is one of several nations including Spain, Ireland, Slovenia, and
Armenia that have recently joined the nearly 150 countries that have formally recognized Palestinian statehood.
"In the midst of a war, with tens of thousands killed and injured, we must keep alive the only alternative that offers a political solution for Israelis and Palestinians alike: Two states, living side by side, in peace and security," Norwegian Prime Minister Jonas Gahr Støre said in late May.
Israeli Foreign Minister Israel Katz threatened "severe consequences" for Norway, Spain, and Ireland after they announced they would recognize Palestine.
In a move that the Palestinian Ministry of Foreign Affairs
called an "alarming precedent," Israel last month revoked the accreditation and visas of eight Norwegian diplomats over the Nordic nation's support for Palestine.
Keep ReadingShow Less
Climate Coalition Pressures Biden to Reject 'Corporate Shill' Ernest Moniz as Energy Chief
"Ernest Moniz's 'all of the above' energy policies might be good for his friends in the coal, oil and gas industries, but they're a death sentence for us and our planet."
Nov 24, 2020
Amid reports that oil industry-friendly former Energy Secretary Ernest Moniz remains under consideration to return to his old post in the incoming Biden administration, a diverse coalition of environmental groups is mobilizing for an "all-out push" to keep Moniz away from the White House and demand a cabinet willing to boldly confront the corporations responsible for the climate emergency.
On Tuesday night, climate campaigners projected onto the primary Department of Energy building messages urging President-elect Joe Biden to say "yes to a sustainable future" and no to Moniz, who currently serves on the board of the polluting utility giant Southern Company.
"The Department of Energy must be led by someone open to concrete ideas for a fossil-free future, not continued dominance by a corrupt, heavily-subsidized industry."
--Anthony Rogers-Wright, Climate Justice Alliance
Following the demonstration, the coalition on Wednesday morning debuted NoMoniz.org, a website that warns the policies of Obama's former energy secretary "might be good for his friends in the coal, oil, and gas industries, but they're a death sentence for us and our planet."
"It's unacceptable that Ernest Moniz is being considered for a role in the Biden administration--his policies, his financial ties to fossil fuel companies, his contempt for youth climate activists, and his overall unwillingness to do what it takes to protect our future should disqualify him immediately," reads the site, which was launched by Oil Change U.S., Greenpeace USA, Sunrise Movement, the Climate Justice Alliance, Center for Biological Diversity, Friends of the Earth U.S., and dozens of other groups.
\u201cIt is absolutely imperative that @JoeBiden keep @ErnestMoniz out of his cabinet, and any of his prot\u00e9g\u00e9e like Liz Sherwood-Randall.\n\nThere are qualified, exciting people who could lead DOE and help us #BuildBackBetter \u2014 like Arun Majumdar or @JayInslee. https://t.co/hZn4cyVpK0\u201d— Evan Weber \ud83c\udf05\ud83d\udd25 (@Evan Weber \ud83c\udf05\ud83d\udd25) 1606310256
Previously an adviser to major companies such as BP and General Electric, Moniz's tenure as head of Obama's energy department as well as his public statements since leaving office make clear that he is opposed to the kind of sweeping climate action that environmentalists and scientists say is necessary to avert planetary catastrophe.
Speaking to the U.S. Chamber of Commerce last year, Moniz endorsed what he dubbed a "Green Real Deal" that would welcome a "broad coalition" of supporters--including the fossil fuel industry. In an interview months earlier, Moniz--a proponent of natural gas as a bridge to a clean energy future--denounced what he described as "often completely unrealistic proposals for the pace at which we can decarbonize."
"With his deep ties to the fossil fuel industry and promotion of false solutions like carbon capture and sequestration, Ernest Moniz is not a forward-thinking choice for the cabinet," Anthony Rogers-Wright, policy coordinator for the Climate Justice Alliance, said in a statement Wednesday. "The Department of Energy must be led by someone open to concrete ideas for a fossil-free future, not continued dominance by a corrupt, heavily-subsidized industry whose existence hinges on maintaining an antiquated all-of-the-above strategy."
Janet Redman, climate campaign director at Greenpeace USA, warned that Moniz's fossil fuel connections "spell danger for the nation's efforts to mitigate the climate crisis" as atmospheric carbon dioxide continues to rise in 2020 despite widespread coronavirus lockdowns.
"We need a true climate leader who understands that we must phase out fossil fuels, not a corporate shill with 'all of the above energy' policies who wants to prop up fracked gas and pipelines," said Redman. "The American people have given Joe Biden a mandate to take bold action in service of climate justice, public health, economic prosperity, and racial equity. Moniz would only be holding him back."
Keep ReadingShow Less
Most Popular