The American Federation of State County and Municipal Employees Pension Plan has called on shareholders to vote against the re-election of directors involved with risk management at Citigroup Inc., according to a statement from the $860 million Washington-based pension fund.
The directors—chairman C. Michael Armstrong, Alain J.P. Belda, John M. Deutch, Andrew N. Liveris, Anne M. Mulcahy and Judith Rodin—are longtime members of the Citigroup board’s audit and risk management committee, which oversees risk management.
Armstrong is the former committee chair and Belda is a former member of the committee.
“During these committee members’ tenures, the [Citigroup board’s] audit and risk management committee failed to protect shareholders from excessive exposure to credit, market, liquidity and operational risk,” the statement said.
“Citi’s board failed to effectively manage risk, helping cause the company’s current instability and increasing volatility in the global financial markets.”
Citigroup’s annual meeting takes place April 21.
Filed by Barry B. Burr of Pensions & Investments, a sister publication of Workforce Management. To comment, e-mail editors@workforce.com.
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