Day of Reckoning at CalPERS

I feel a bit like Lloyd Bridges in Airplane, when he picks the wrong day to quit drinking, quit sniffing glue, etc. Seems I picked the wrong day to take an afternoon drive from New York to Boston.

At around the time I was cruising past Bridgeport, California AG Jerry Brown filed a civil suit against for CalPERS CEO Fred Buenrostro and his placement agent pal Alfred Villalobos. In related news, CalPERS private equity chief Leon Shahinian has been placed on “administrative leave.” This information comes from a memo sent by CalPERS CIO Joe Dear to private equity and venture capital firms in which CalPERS has invested. It also said: “If your organization has given permission to Leon Shahinian to access any CalPERS related information via the web or any other remote access, please have his account suspended.”

Shahinian is not being charged in the civil complaint, but is cited repeatedly for accepting gifts from Villalobos.

I’m just now beginning to piece some things together, and will have a full report either later tonight or tomorrow morning. Suffice to say, this has been a long time coming. In the meantime, you can download the complaint.