Whereas, in 2010, nationally recognized ethics experts across the political spectrum determined that here exist numerous conflicts of interest due to the fact that the personal financial holdings of at least four UC Regents significantly overlap with hundreds of millions of dollars in public and private equity investments made by UC, and

Whereas, Regents Blum and Wachter and Schwarzenegger served on the Regents' investment committee that oversaw these UC investments at the same time that they each held millions of dollars worth of personal interests in deals in which UC was also invested, especially private equity funded leveraged buy out deals, and

Whereas, according to the public record, Regents Blum and Wachter did not recuse themselves from voting upon or debating or influencing official decisions that significantly impacted these investments, and

Whereas, these actions are clear violations of UC ethics policy and state conflict of interest laws and regulations, and

Whereas, at the same time Regents Blum and Wachter and other Regents have attacked the pension benefits of UC workers and unions, leading to a decrease in real income to UC workers and retirees, and

Whereas, these same Regents have recently raised student tuition by 32 percent to cover set-backs to the pension fund caused, in part, by poorly performing investments in which these same Regents also had personal financial interests, and

Whereas, an extensive report on these financial improprieties has been published by investigative journalist Peter Byrne with specific documentation of the conflicts of interest of UC Regents Blum and Wachter and Schwarzenegger and Sherry Lansing to be found at http://spot.us/stories/544*

Therefore be it resolved, we call on California Attorney General Kamala Harris to conduct a full and complete  investigation of the investment policies and practices of the UC Regents and Office of the Treasurer paying special attention to violations of conflict of interest laws and UC’s own ethical guidelines by Regents Richard Blum and Wachter and Schwarzenegger and Sherry Lansing and other UC Regents to the detriment of tens of thousands of UC workers, retirees and their families and the student body.

*Investigative journalist Peter Byre’s multi-part series on possible self-dealing of UC funds by the Regents Investment Committee has recently been honored by the Northern California Society of Professional Journalists. It has also been nominated for a Censorship Award because, while abundantly covered by alternative media and the blogosphere for months, Byrne’s extensive research and allegations have not been mentioned by the San Francisco Chronicle.

http://spot.us/pitches/337-investors-club-how-the-uc-regents-spin-public-funds-into-private-profit/story