Montana Attorney General Austin Knudsen filed a lawsuit against the National Association of Attorneys General after the organization invested taxpayer dollars in ESG interests.
NAAG has come under heavy scrutiny from some Republican attorneys general, as they claim the organization has a heavy liberal bias, and documents have shown the group has invested taxpayer money in environmental, social, and governance causes.Knudsen is suing NAAG to recover taxpayer funds he says were invested in violation of Montana state law, and is seeking the appointment of a special master to audit the group to determine"assets under NAAG’s management that are Montana’s public funds.
The lawsuit states Montana's constitution requires"strict accountability" over public funds, the state legislature must provide for an investment program for public funds, and that NAAG, as a custodian of some of those funds, must comply with Montana state law in how those funds are invested. "It is encouraging to see public officials like AG Knudsen taking legal action to hold NAAG accountable," Alliance For Consumers Executive Director O.H. Skinner told the Washington Examiner."For far too long consumer protection cases have been used for large paydays for trial lawyers and organizations like NAAG, who are supporting left-wing causes and investing in ESG."
Citing the 2022 loss of $37 million in public funds, spending money sending attorneys general and their families on European trips, and the revelation that the group invests public money into ESG interests, Knudsen's letter to NAAG said,"I have come to the conclusion that NAAG can no longer be trusted to hold assets on behalf of Montana."
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