NEW YORK, April 8 (Reuters) - West Virginia added four

financial firms on Monday to a list of institutions that may be

barred from some state business because the state's treasurer

deems they are boycotting the fossil fuel industry.

It was the latest move in a bubbling dispute between

Republican officials and Wall Street firms over use of

environmental, social and governance (ESG) factors in banking

and business.

West Virginia, a major energy-producing state, created the

list in 2002, placing five firms on it at the time.

On Monday state Treasurer Riley Moore, said that Citigroup ( C/PN )

, HSBC Holdings ( HSBC ), TD Bank and the Northern

Trust Co had been added to the list.

Moore's office says the list is for firms that "have

publicly stated they will refuse, terminate or limit doing

business with coal, oil or natural gas companies without a

reasonable business purpose."

A Northern Trust ( NTRS ) spokesperson said the asset and wealth

manager "does not restrict or prohibit investment in fossil

fuel-based energy companies." He said Northern Trust ( NTRS ) has around

$52 billion in investment exposure to companies in the

traditional energy sector as of February 2024.

Citi declined to comment. HSBC ( HSBC ) and TD Bank did not

immediately respond to requests for comment.

Financial firms are also facing pressure from the other side

of the ESG debate, with environmentally-focused activists and

investors pushing them to stop financing new projects in areas

like oil and gas.