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04065
February 9, 2004

Tutu calls for damages from companies trading with apartheid South Africa

by Peter Fabricius
Ecumenical News International

 
             
 

JOHANNESBURG — Former South African archbishop Desmond Tutu has angered his government by backing apartheid victims seeking massive reparations from foreign companies which did business with the former apartheid regime in South Africa.

And the South African Council of Churches has come out in support of Tutu, who has submitted an eight-page affidavit to the New York court which is considering whether the applications for reparations should be allowed to proceed.

“Placing corporations on notice that they will in future be held responsible for the effects of their investments in repressive regimes may well create an incentive for them to channel such investments into countries with a better human rights record,” Tutu said in a sworn statement quoted in South Africa’s Sunday Independent newspaper.

The South African government however opposes the applications for reparations on the grounds that they could discourage badly-needed foreign investment, harm reconciliation and impinge on the country’s sovereignty.

Tutu chaired South Africa’s Truth and Reconciliation Commission (TRC) on the apartheid era following which the South African government agreed to pay compensation to some victims of apartheid.

In his affidavit to the New York district court judge, John Sprizzo, who is hearing the case, Tutu denied the applications for reparations from foreign companies would undermine reconciliation.

“To the contrary, the obtaining of compensation for victims of apartheid, to supplement the very modest amount per victim to be awarded as reparations under the TRC process, could promote reconciliation, by addressing the needs of those apartheid victims dissatisfied with the small monetary value of TRC reparations,” said Tutu.

The former Anglican archbishop of Cape Town also rejected the claim made to the New York court by South African Justice Minister Penuell Maduna that the reparations action would discourage foreign investment in post-apartheid South Africa.

“It makes no sense to suppose that suits filed in a foreign jurisdiction that seek to hold foreign companies accountable for their collaborations with a prior regime, would discourage foreign investors from sending capital into that country in the future,” Tutu noted.

The New York judge is expected to give his ruling on the case in mid-February.

Joel Netshitenzhe, the South African government’s chief spokesperson, responding to Tutu, said that the New York case “has profound implications for the future of the country, for instance for the assessment of the country risk profile, and for investment and job creation.”

 
             
             

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