NYC Council Votes to Impose Sanctio

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Subject: NYC Council Votes to Impose Sanction on Burma

NEW YORK, May 14 (Reuter) - New York City Council on Wednesday approved a
bill to suspend dealings with companies and financial institutions that
conduct business with Burma, a spokesperson for the council said.
"The vote was 50 to zero in relation to the city depositing funds with banks
and financial institutions that have business with Burma and placing
contracts with companies which operate out there," the spokeswoman said. 

No details were immediately available on the value of the business the city
transacts with companies which have operations in Burma. 

The spokeswoman said that the bill was in reponse to Burma's "appalling
human rights record". 

A military government took power in Burma in 1988 after crushing a
pro-democracy uprising.
 The bill, sponsored by Peter Vallone, will take effect in 45 days, the
spokeswoman said. 

It follows U.S. legislation which bans new investment in Burma, but which
did not affect existing operations, such as Unocal Corp's <UCL.N> Yadana gas
project, a $1.2 billion development which also involves France's Total SA
<TOTF.PA>, Thailand's PTTEP <PTTE.BK> and Burma's state-owned oil and gas
company. 

The Yadana project involves the construction of a 254 mile pipeline. 

20:21P.M. 05-14-97 
 
Oil companies are among the few U.S. businesses with direct stakes in the
Burmese economy after the withdrawal of high profile consumer businesses
such as PepsiCo Inc <PEP.N>. 

The companies stress that they have no control over where resources are
found and say that a policy of constructive engagement is better than one of
isolating countries such as Burma. 

Yesterday, Texaco Inc <TX.N> faced calls at its annual meeting to sell its
43 percent stake in the Yetagan gas field, 125 miles off the Burmese coast. 

The company said it was evaulating prospects for the field, including its
possible sale. 

Los-Angeles, California, based ARCO <ARC.N> also has stakes in two natural
gas fields and has drilled one of them, but did not find commercial
quantities of energy.