George wants to pull pension money to slow terrorism

Branch’s Sudan divestiture bill clears key House committee; Branch sees no possibility of combining the two

‘‘We in Maryland who give to public investment funds are active participants in the war, but for the wrong side,” said George (R-Dist. 30) of Arnold.

He said retirement system members are unwitting investors in companies that do business with the Sudan, Iran, Syria and North Korea — nations the U.S. State Department has determined to aid and abet terrorism.

George said the Maryland retirement system has $2 billion invested in about 100 companies that have ties to the countries. Budget analysts believe it’s 400 companies with no estimate on the investments’ value. George said the cost of divesting the equities could be $5 million to $8 million.

‘‘Some of this will happen naturally,” he said. ‘‘More brokers will get the message that these aren’t sound investments.”

His proposal has 29 co-sponsors, including six Democrats.

Despite that bipartisan support, the proposal is running afoul of another supported by Black Legislative Caucus. That measure focuses on the Sudan because of the continuing tragedy in the Darfur region.

The Darfur bill has a smaller price tag, according to legislative budget analysts. Divesting in those companies — believed to be just 14 and equities estimated to be worth $230.7 million — would cost $2.5 million.

In both cases, Maryland would be pulling investments only from foreign-owned companies. U.S. companies are barred from doing business in the Sudan, Iran, North Korea and Syria.

The Sudan divestiture was heard and passed by the House Appropriations Committee on Wednesday. The panel heard George’s bill, but took no action.

House Majority Whip Talmadge Branch, lead sponsor on the Darfur bill, said the measure is one of the top priorities of the black caucus.

‘‘It has a lot of emotion because it’s affecting people — there are people dying daily and women raped daily,” said Branch (D-Dist. 45) of Baltimore.

Branch does not envision a compromise that would combine the George and Branch bills. ‘‘We don’t want any amendment to the Sudan bill,” he said. ‘‘We don’t want to change the posture of this bill at all. We would resist.”