Public Pension Funds
Public pension funds manage trillions of dollars of public employees’ retirement assets.
All by itself, the California Public Employees’ Retirement System has more than $200 billion in assets under management.
Because of the vast sums of money involved, these pension systems are tempting targets for fraud, and when public pension funds are scammed, both public employees and taxpayers are on the hook for it, triggering potential False Claims Act liability.
In coming years, investment advisors, brokers, banks, and hedge funds may all face whistleblower suits for:
- Fraudulently selling public pension funds on knowingly flawed “structured finance” deals, derivatives, interest-rate swaps at “zero” cost, mortgage-backed securities, and rigged interest rates (LIBOR);
- Charging pension funds fraudulently inflated trading costs, fees or other expenses; or
- Purchasing securities for pension funds at above the best price available or selling securities for the funds at below the best available price.
If you have knowledge and solid evidence of fraud or false claims involving public-employee pension funds, please contact our Chicago whistleblower lawyers. Consultations are free and confidential.