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Press release

Investors’ Support Remains Strong On Indigenous Rights Resolution at Citi, undisclosed at Wells Fargo

Votes follow a week of protests at US banks over climate & Indigenous rights

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April 30, 2024

NEW YORK CITY – Today, 26% of Citi’s shareholders voted for a resolution on Indigenous rights filed by an order of New Jersey nuns, while the results of a similar resolution at Wells Fargo were not disclosed.

Questions about the banks’ climate, sustainability, and Indigenous Rights records dominated Citi’s meeting, and Wells Fargo faced similar questions. Shareholders asked about Citi’s support for LNG including marine gas, Amazon oil and gas, emissions from agriculture, and its recent move to quit the Equator Principles, a set of bare minimum social and environmental standards.

Citi refused to answer questions on the Indigenous resolution, despite stating there were several questions tabled by shareholders. CEO Jane Fraser gave scripted answers to questions and even stated the presenter of the Indigenous rights resolution, Tribal Chair Juan Mancias, referred to the Amazon rainforest, which he did not. When asked to meet with Mancias, Fraser refused.

The vote at Citi means the Sisters of St. Joseph of Peace can refile the resolution next year, which has become a source of embarrassment for the bank and has seen Citi hastily release a report in recent weeks in an attempt to blunt investor support.

The last two years, the Citi resolution has attracted over 30% investor support. The Wells Fargo resolution was not filed last year because of a technical issue but attracted 26% support in 2022.

The resolutions come in the wake of new information filed at the SEC about the risks related to the banks’ financing deals and stark opposition by Indigenous communities. 

The resolutions cite Citi’s and Wells Fargo’s funding for Enbridge, which has built controversial pipelines such as the Dakota Access Pipeline and Lines 3 and 5. Citi is also being criticized as one of the biggest funders of oil and gas in the Amazon rainforest, where it funds Petroperú, PetroAmazonas and Frontera Energy, companies linked to oil spills and Indigenous rights violations.

The Citi resolution was presented by Juan Mancias, tribal chairman of the Carrizo Comecrudo Tribe of South Texas, which is opposing Enbridge’s plans to build the Rio Bravo pipeline. The pipeline is meant to feed into the Rio Grande LNG facility but has been delayed for years due to litigation, reiterating the financial risks involved in the project. Banks BNP and Société Générale have already withdrawn support for the project.

The Wells Fargo resolution was presented by Tara Houska, tribal attorney and founder of the Giniw Collective, which opposed Enbridge’s Line 3 tar sands pipeline in Minnesota. The project was embroiled in controversy given the legacy of the existing pipeline in the area which caused the biggest inland oil spill in the US and the financing of extensive law enforcement intervention by Enbridge. 

The AGMs were preceded by a week of protests across the world calling on Citi and Wells Fargo to step up their climate action and address its record of environmental racism and Indigenous Rights violations (click here for photos). Hundreds of Citi employees were prevented from entering the bank’s headquarters in the morning two days in a row. Today, parents and children gathered outside Citi headquarters in New York demanding the bank meet its climate commitments.

Last week, communities affected by polluting projects that Citi funds hosted a hearing in New York City titled The People vs. Citi: Confronting Citi Group’s Environmental Racism, calling on the bank to end its fossil fuel financing and invest in communities. This first-of-its kind hearing on Citi’s environmental racism was chaired by Roishetta Ozane, a Black leader and environmental activist from Sulphur, Louisiana, and founder of the Vessel Project along with environmental leaders from the Amazon, the Gulf South, and other communities. Petrochemical facilities and oil and gas refineries funded by Citigroup have polluted the air, land, and water in Roishetta’s community. 

Quotes

Sister Susan Francois of Sisters of St Joseph of Peace said:

“For three years in a row support from investors for our resolution has remained steady at Citi. This is a clear message to the bank that human rights violations are bad for business. Today’s vote allows us to resubmit the resolution and the Sisters of St Joseph of Peace will continue to voice concerns over present and future generations impacted by oil, gas and coal projects. We are guided by Pope Francis who has set out clearly the Church’s role in addressing projects in communities which result in a decline in their quality of life, the clearing of their land and the robbing of joy and hope for the future. We urge Citi to heed this call too.”

Juan Mancias tribal chairman of the Carrizo Comecrudo Tribe of Texas, who presented the Indigenous rights resolution at Citi said:

“Citi has provided Enbridge with over $5 billion in financing enabling the Rio Bravo pipeline which Enbridge is trying to build on Carrizo Comecrudo land. Citi clients like Enbridge will destroy acres of wetlands and the habitats of threatened and endangered plant and animal species. These projects affect us as a tribe. Société Générale and BNP Paribas have withdrawn funding from the Rio Bravo project because they see this risk in financing indigenous rights violations. We urge the city to stop investing in companies that steal Indigenous land and exploit our environment.”

Tara Houska tribal attorney and founder of Giniw Collective said: 

“Human beings are now in the era of ‘climate boiling’. Globally, Indigenous peoples are defending what remains of earth’s biodiversity and drinkable water with our bodies, our freedom, sometimes our lives. We have cost Wells Fargo clients billions in lost profits. Clients like Enbridge, mired in lawsuits, environmental degradation, and reputational disaster. We are not going to stop — we are standing up for our children, for all children. Wells Fargo can make history. A first step would be telling its shareholders the truth of violations of human rights by its clients.”

Hannah Saggau, Senior Climate Finance Campaigner at Stand.earth said:

“Citi’s shareholders continue to send a clear message that the bank needs to do more on climate action and justice for frontline and Indigenous communities. Given the level of support for the Indigenous Peoples rights’ resolution, we expect Citi to step up and end financing for projects harming Indigenous communities at home and abroad.” 

Mary Mijares Fossil Finance Campaigner at Amazon Watch said:

“Indigenous peoples face continuous threats for standing against the destruction of their ancestral lands in the Amazon rainforest, yet Citi supports companies like Petroperú, known for severe oil contamination and undermining rights. A substantial number of Citi investors see this as a material risk and have requested the bank to disclose more information about it. When will Citi commit to more robust and effective Indigenous rights safeguards that truly respect free, prior, and informed consent, and prohibit financing for controversial clients such as Petroperú?”

Press Contacts:

Judith Crosbie, Sunrise Project, [email protected]

Emily Pomilio, Stand.earth, [email protected]