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19 States to Investigate Banks for ESG Style Commitment to UN Alliance

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The war between governments and banks over environmental, social and governance (ESG) investments and similar practices comes to the brink of the UN A total of 19 state attorneys general have launched an investigation into the affiliation of major financial institutions to the UN convened Network. Zero Banking Alliance.

The alliance’s website states that its members control about 40 percent of the world’s banking assets and are “committed to bringing their lending and investment portfolios into line with net zero emissions by 2050.”

“The Net-Zero Banking Alliance is a major worldwide agreement of major UN-supervised banking institutions to starve companies that engage in fossil fuel-related lending activities in national and international markets,” Missouri Attorney General Eric Schmitt said in a statement. regarding investigations.

A May statement from the alliance states that it “does not support the financing of fossil fuel expansion”, but states that it “believes that immediate divestment from existing fossil fuel positions will not necessarily bring decarbonisation in the real economy that the world needs.”

“We are leading a coalition investigating banks to devolve powers to the UN, which will only result in the killing of American companies that do not subscribe to the vigilant climate agenda. These banks are liable to American law; we don’t allow international organizations to set the standards for our businesses,” said Schmitt.

Arizona, Arkansas, Indiana, Kansas, Kentucky, Louisiana, Mississippi, Montana, Nebraska, Oklahoma, Tennessee, Texas, and Virginia are among the states that investigate banks with a powerful tool known as the civil inquiry request.

A request covers the following requests: “Disclose your participation in each Global Climate Initiative you participate in, including the date you started participating; promises, commitments or other commitments you make to the Global Climate Initiative; or actions you take or have taken in accordance with or consistent with these commitments, or your initial or ongoing participation, and the employee(s) responsible for managing your relationship with each Global Climate Initiative.”

Schmitt’s announcement is the latest salvo in a long-running conflict over ESG between major financial institutions and US states.

State treasurers such as West Virginia’s Riley Moore have sought to divert their state’s money from financial institutions that follow ESG principles.

Will Hild, chief executive of Consumer Research, praised the investigations.

“Governments hold major banks responsible for blatant violations and marketing highly dubious climate initiatives under the ESG label – all part of a coordinated effort to curb American energy at the expense of US consumers,” Hild said in a statement on the investigations.

On the other side of the coin, environmental groups have criticized the UN alliance for hosting financial institutions that they believe have not gone far enough in divesting from coal, oil and gas.

“NZBA time [Net-Zero Banking Alliance] “To make clear that banks that continue to fund massive fossil fuel expansion while making big statements about climate goals are not welcome in the alliance,” said Adele Shraiman, of the Sierra Club’s Fossil-Free Finance campaign at NYC Climate Week, Reuters reported.

The Epoch Times reached out to Bank of America, Citigroup, Goldman Sachs, JP Morgan Chase, Morgan Stanley and Wells Fargo for comment. JP Morgan Chase declined to comment. None of the other banks responded according to press time.

Nathan Worcester