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New York City Comptroller William C. Thompson, Jr., on behalf of the New York City Pension Funds, today expressed concern regarding the relationship between Freeport McMoRan Copper & Gold, Inc. and the Indonesian military, as outlined in a new report released by Global Witness.

“We are concerned about the details of Freeport McMoran’s payments to the Indonesian military, which seem to be more extensive and more questionable than previously known,” Thompson said. “We are particularly troubled by Freeport’s continued elusive responses to inquiries into its relationship with the Indonesian military. The trustees are committed to pursue this issue further.”

The report by Global Witness, a group that investigates connections between natural resources and conflict and corruption, includes new information regarding a series of payments totaling $247,705 made directly to an Indonesian general named Mahidin Simbolon by Freeport McMoRan between May 2001 and March 2003. Also in the report, Freeport Indonesia, a Freeport McMoRan subsidiary, made payments to individual military and police officers that ranged from $200 to $60,000. Freeport McMoRan has provided only general responses to inquiries made by the Pension Funds and Global Witness regarding the company’s financial relationship with the Indonesian military.

Since the mid-1990’s, the relationship of Freeport McMoRan of New Orleans, LA, with the Indonesian military has led to sizable expenditures by the company in direct payments to the military, to defend the company from lawsuits brought by victims of human rights abuses, and in out-of-court settlements with the family members of contract workers who were killed. It also has been reported that Freeport McMoRan has employed security personnel who have been responsible for human rights violations.

This past May, the five New York City Pension Funds presented a resolution at Freeport McMoRan’s annual shareholder meeting in Wilmington, DE, calling for a review of the company’s policy concerning payments to the Indonesian military and security forces. T he resolution received 6.6% of shareholder votes, satisfying the required vote threshold for resubmission. The funds have 467,811 shares worth $19.2 million in Freeport McMoRan.

The trustees for the five Pension Systems are:

New York City Fire Department Pension Fund: Mayor Michael Bloomberg; New York City Fire Commissioner Nicholas Scoppetta (Chair); New York City Finance Commissioner Martha E. Stark; Stephen Cassidy, President, James Slevin, Vice President, Robert Straub, Treasurer, and John Kelly, Brooklyn Representative and Chair, Uniformed Firefighters Association of Greater New York; Peter Gorman, President and Captains’ Rep., Nicholas J. Visconti, Chiefs’ Rep., and Stephen J. Carbone, Lieutenants’ Rep., Uniformed Fire Officers Association; and, Joseph Gagliardi, Marine Engineers Association.

New York City Police Pension Fund: Mayor Michael Bloomberg; New York City Finance Commissioner Martha E. Stark; New York City Police Commissioner Raymond Kelly (Chair); Patrick Lynch, Patrolmen’s Benevolent Association; Michael Palladino, Detectives Endowment Association; Edwin Mullins, Sergeants Benevolent Association; Anthony Garvey, Lieutenants Benevolent Association; and, John Driscoll, Captains Endowment Association.

New York City Employees’ Retirement System: New York City Finance Commissioner Martha E. Stark (Chair); New York City Public Advocate Betsy Gotbaum; Borough Presidents C. Virginia Fields (Manhattan), Helen Marshall (Queens), Marty Markowitz (Brooklyn), Adolfo Carrion (Bronx), and James Molinaro (Staten Island); Lillian Roberts, Executive Director, District Council 37, AFSCME; Roger Toussaint, President Transport Workers Union Local 100; and, Carroll (Carl) Haynes, President, International Brotherhood of Teamsters, Local 237.

New York City Teachers’ Retirement System: New York City Finance Commissioner Martha E. Stark (Chair); Deputy Chancellor Kathleen Grimm, New York City Department of Education; and, Sandra March, Melvyn Aaronson and Mona Romain, all of the United Federation of Teachers.

New York City Board of Education Retirement System: Mayoral appointees Schools Chancellor Joel Klein, Alan Aviles, Phillip Berry, David Chang, Tino Hernandez, Augusta Souza Kappner, Richard Menschel and Marita Regan; Borough President appointees Jesse Mojica (Bronx), Martine G. Guerrier (Brooklyn), Michael Flowers (Queens), and Joan Correale (Staten Island); and employee members Thomas J. Malanga of the International Union of Operating Engineers, Local 891, and  Milagros Rodriguez of District Council 37, Local 372.