Tennessee's lawsuit addresses BlackRock's use of proxy voting to ram woke capitalism through corporate America but at the expense of returns.
"BlackRock has admitted that promoting ESG aims โ like companies' radically reducing their carbon output โ can conflict with its funds' financial performance," the lawsuit said. "It is thus only fair that consumers know if the hard-earned funds they invest will be leveraged to BlackRock's ESG ends, rather than to maximizing financial returns."
The lawsuit explained, "Yet for years, BlackRock has misled consumers about the scope and effects of its widespread ESG activity," adding, "BlackRock's conduct concerning the marketing or sale of its investment products and services constitutes deceptive acts and practices under the Tennessee Consumer Protection Act."
"We allege that BlackRock's inconsistent statements about its investment strategies deprived consumers of the ability to make an informed choice," AG Skrmetti wrote in a statement.
He continued:
The lawsuit cited several examples between 2021 and 2022 where BlackRock used proxy voting to advance ESG policies at companies, such as Exxon Mobil Corp."Some public statements show a company that focuses exclusively on return on investment, others show a company that gives special consideration to environmental factors. Ultimately, I want to make certain that corporations, no matter their size, treat Tennessee consumers fairly and honestly."
Responding to the lawsuit, a BlackRock spokesperson told FOX Business:
Remember this?"We reject the Attorney General's claims and will vigorously contest any accusations that BlackRock violated Tennessee's consumer protection laws.
"Contrary to the Attorney General's claims, BlackRock fully and accurately discloses our investment practices and our approach to proxy voting.
"On behalf of our clients, BlackRock has invested approximately $40 billion in Tennessee, and we are helping more than 600,000 hard-working Tennesseans retire with dignity. We are proud of our contribution and committed to the future in Tennessee."
And this: CEO Larry Fink has been at the center of pushing 'climate change' policies and has even said his firm would "force behaviors" on corporate America.
In August 2022, 19 GOP state attorneys general wrote to Fink informing him that proxy voting to advance ESG violated their laws governing fiduciary duties. Ten states passed rules making it clear that such proxy voting is a breach of fiduciary duty.
Republican state treasurers have pulled billions of dollars from BlackRock in the last year as ESG investments come under fire. Fink recently had to drop the term "ESG" because of the blowback.
Reader Comments
A gigantic monster of a corporation like BlackRock fears little, if anything, as they think they are invulnerable. That will be their downfall.
communism < socialism < fascism < most other forms of government
If the role of government is to lead and protect a people, then there is no room for those bottom 3 forms of government in the world, because they all necessary harm certain groups to help others.
All that is to say, Fink is a rat-fink and the top fascist in the public sphere.
I don't think a civil war is coming in any given country, but an uprising against the worldwide ruling class is coming to a head, which is why they are desperately working to control any avenue of mass communication and silence anyone who challenges it. Does anyone really think Alex Jones was fined a BILLION dollars for hurting parent's feelings? Does anyone think Tucker Carlson was booted from the air while being held under contract and told not to speak because he said something dangerous to Americans ? These men and others have had warning shots fired across their bows, publicly, for all to see so no one else stands up to take their places.