LONDON - The Church of England decided Monday to suspend all its investments in companies it described as "profiting from the illegal occupation of Palestinian land," British newspaper The Telegraph reported Tuesday.
According to the report, heads of the Anglican Church voted in favor of removing funds from such firms, particularly a 2.2 million pound investment in Caterpillar, which manufactures tractors used to demolish Palestinian homes as well as in the construction of the security fence.
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The vote, which was supported by the Archbishop of Canterbury Rowan Williams, stands in contradiction to the stance of former Archbishop Lord Carey, who said the Church should support Israel.
During the debate that preceded the vote, members of the General Synod said they believe the Church must be seen to be investing its money for the common good, and not merely for the best financial return.
'Palestine in despair'
One of the participants in the meeting, Keith Malcouronne from Guildford, said he had received a letter of support for the initiative from the Anglican Bishop of Jerusalem, Riah Hanna Abu El-Assal.
The Bishop of Chelmsford John Gladwin said Christians in Palestine were in despair and held Israel accountable.
"Caterpillar may be a company being used for dreadful purposes across the world, but the problem is not Caterpillar. The problem is the situation in the Middle East and the government of Israel," he said.
Another member of the Synod, Simon Butler, warned Caterpillar that "in our understanding of sin, acts have consequences".
The only participant to voice opposition to the proposal was Bishop of St. Albans Christopher Herbert, who is chairman of the Council of Christians and Jews and said the debate was unbalanced.
He said there was a "belief and hope" in the Jewish community that Christians would understand their perspective in such debates, but the Synod had not reflected the complexity of the situation.
The vote is expected to rekindle the row that followed the decision last summer of the Anglican Consultative Council, representing the worldwide Church, to back a report urging it to end investment in companies that "support the occupation".
Israeli spokeswoman: Dialogue hampered
Jewish organizations in Britain have yet to comment on the decision. Last summer, following the publication of the report, the spokesman for Britain's chief rabbi said the policy of removing investments is not only an erroneous step, but also one that will have serious implications on the relations between Jewish and Anglican communities across the world.
Spokeswoman of the Israeli embassy in London Shuli Davidovich said in response that "assuming the newspaper report is accurate, this is a decision that seriously hampers the dialogue we believed was taking place between us and the Anglican Church."
"It's unnecessary to point out the miserable timing of this decision. It's regrettable we did not hear the Church speak out against the terrible statements by Iran's president, the Holocaust denier, who called for the destruction of Israel," she added. 
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