ACC had unknowingly given its support to nuclear weapons. Photo / Getty Imahes
The Accident Compensation Corporation is to stop investing in companies involved in making nuclear weapons.
ACC Minister Maryan Street said at an Auckland conference on socially responsible investment that the corporation was excluding investments in companies involved with the design, testing, assembly and refurbishment of nuclear explosive devices.
The corporation's acting chief executive, Ian Simpson, said it had never knowingly invested in companies that manufactured nuclear weapons, but "we have invested via overseas fund managers in a range of international construction, engineering and other firms whose primary function is perfectly legitimate".
"The reason for the minister's announcement was that it has become clear that some of these firms are in fact involved, albeit to a minute extent, with work related to the broader nuclear industry."
Mr Simpson said one example was a firm that is a part-owner of another company that managed nuclear-related facilities.
"Although it is only a tiny proportion of what they do, we are uncomfortable with even this slight level of exposure and are divesting ourselves of any shareholding."
An ACC spokeswoman said the corporation could not name the companies it would pull out of or how much money was involved, but said it was a small portion of the ACC's total investment portfolio.
The ACC would be out of its investments by the end of next month.
The announcement came as a surprise to members of the Council for Socially Responsible Investment (CSRI), who said they had not previously been aware of New Zealand's investment in nuclear-related companies despite undertaking a survey of New Zealand's five crown financial institutes, including ACC, in 2005.
CSRI chief executive Robert Howell said the announcement illustrated its concerns over New Zealand's lack of disclosure when it came to investing public money.
