After months of students advocating for divestment from companies tied to Israeli settlement activity on occupied Palestinian territory, Carleton University has decided not to implement divestment policies in its responsible investing policy.
In a March 31 email sent to members of the Carleton 4 Palestine (C4P) coalition obtained by the Charlatan, Duane McNair, the university’s vice-president of finance and administration, said the university’s investment committee has decided not to recommend policies in upcoming updates to its policies.
“In light of the university’s legal and fiduciary obligations, the Committee has determined that divestment and the use of negative screening related to this issue will not be recommended for inclusion in the forthcoming updates to our responsible investing policy,” McNair wrote in the email.
He said implementing divestment policies would not be consistent with the Board of Governors’ responsibilities, who he said are “legally required to act honestly, in good faith, and in the best interests of the institution.”
“Implementing divestment or similar negative screens would significantly increase investment risk and could lead to higher costs, which would be inconsistent with these responsibilities,” McNair wrote.
In an April 9 Instagram post, the C4P coalition shared the divestment proposal and recommendations they presented in a private meeting to McNair and other members of the university’s finance and administration department on March 11.
The proposal asks the university not to make direct investments with companies included in a June 2023 United Nations report, who are allegedly profiting from activities taking place on occupied territories or profiting from the “manufacture and distribution of weapons used in armed conflict.”
Bessan, the president of Students for Justice in Palestine (SJP) Carleton and a member of C4P, said the university’s decision was not a surprise. She asked that her last name not be included in this article because she desires privacy.
“We’ve seen students take on a lot of intense actions to demand divestment from the university such as encampment and protests,” Bessan said. “We thought a good conversation with the university would actually make them understand.”
Bessan said the university’s decision shows their “true colours” and their commitment to “fiduciary duty” over providing a safe space for students to “learn and educate one another.”
“It just shows that the university has become kind of a corporate entity within our cities and communities rather than being a place that provides to the community and students,” Bessan said. “It’s just another business to add to the table.”
McNair said the university remains committed to protecting academic freedom and supporting “free and open inquiries across a diverse campus community.”
“While the university will not pursue divestment, we remain committed to responsible investing practices that align with our values and obligations,” McNair wrote in his March 31 email.
Allegations of increased investment related to U.S. deportations
In June 2024, the Charlatan reported that Carleton has allegedly invested over $43 million in 19 companies with ties to Israeli settlement activity on occupied Palestinian territory, as identified by the United Nations. This also includes companies that are identified on international humanitarian organization American Friends Service Committee’s (AFSC) human rights violation database.
A new document dated in December 2024 and obtained by the Charlatan alleges that Carleton’s investment in companies identified in AFSC’s human rights violations database and the June 2023 UN report has increased to $67 million.
The document alleges that Carleton has also invested in three companies that the AFSC database indicates have direct ties to deportations conducted by the U.S. Department of Homeland Security (DHS) agencies, Customs and Border Protection and Immigration and Customs Enforcement (ICE).
“What we did this year is instead of just looking at companies that are complicit in the genocide in Palestine, we also looked at companies involved in activities with ICE in the United States because of what’s going on with the deportations right now,” an anonymous source familiar with the document told the Charlatan.
As noted by the AFSC, Capgemini SE, a French IT and engineering firm, is alleged to have provided U.S. immigration authorities with IT services and solutions to support the detention and deportations of immigrants.
Thermo Fisher Scientific Inc., a U.S.-based pharmaceutical and biotech company, is alleged to have provided U.S. immigration authorities with equipment to carry out “mass DNA testing” of detained immigrants in the U.S.-Mexico border. The document alleges that these resources have allowed DHS to separate 3,914 children from their parents between 2017 and January 2021.
Thomson Reuters, a Canadian information services provider, has allegedly been used by U.S. immigration authorities to “target and track immigrants.” The document alleges these contracts have amounted to $161 million dollars in collaboration with the U.S. Department of Homeland Security.
In an April 10 email statement to the Charlatan, Steven Reid, Carleton’s media relations officer, said the university was committed to responsible investment practices, as established by its responsible investing policy.
“Carleton is also a signatory to the United Nations Principles for Responsible Investment and Environmental,” the statement read. “When new investments are considered, Social and Governance factors are utilized to judge financial returns as well as overall impact.”
When asked in a follow-up email about the specific investments into companies with ties to the U.S. Department of Homeland Security and ICE, Reid said the university had nothing further to add.
Bessan said SJP Carleton and C4P will continue to advocate for divestment and other avenues, despite the university’s decision.
“The university knows exactly what they’re doing,” she said.
Featured graphic by Sara Mizannojehdehi.
