By Jonathan O'Connell Jonathan O'Connell Reporter covering economic development with a focus on commercial real estate and the Trump Organization Email Bio Follow April 17 at 10:43 AM Alden Global Capital, a prominent hedge fund that controls more than 100 local newspapers, moved nearly $250 million of employee pension savings into its own accounts in recent years, an unusual move that is now triggering federal scrutiny.
The inquiry could become a factor in Alden’s effort to acquire what is now the nation’s largest chain of daily newspapers, Gannett, including USA Today, as at least one prominent lawmaker raises questions about how it would manage the company’s pensions. Alden has faced criticism for its stewardship of local newspapers the company has purchased. Research shows it cuts jobs more rapidly than other owners.FILE - In this Aug.
“In 2017, consistent with its return of other outside capital, Alden began winding down its management of these pension plan assets, making regular cash distributions to the MNG pension plan investors,” he said.Heath Freeman, Alden’s president, did not respond to a request for comment. A Labor Department spokesman declined to comment. Aon, the firm that provided actuarial services for the pensions, and Prudential Retirement, which serves as trustee and manager, both declined to comment.
Beginning in 2013, public records show that 90 percent or more of some MediaNews Group pensions was invested in two Alden funds based in the Cayman Islands. At the San Jose Mercury News $107 million out of the pension’s $119 million in 2015 was invested in the Alden funds, according to Labor Department records.
Iwry said he did not know the specifics of the Alden case but that federal rules on conflicts of interest generally prohibit plan managers from investing with partners in which they have a financial stake. “What did [the plan’s managers] think they were doing and what did they think was the justification for it?” he said.
Pete Carey worked for 49 years at the Mercury News and was part of a team of investigative reporters who won a 1986 Pulitzer Prize for unveiling widespread corruption in the Philippines. In many cases, an MNG executive is listed as the administrator of the plans and Freeman is listed as president of the investment adviser.
“Federal pension law has strict rules prohibiting a wide swath of transactions that can be viewed as conflicted,” said Michael Kreps, principal at Groom Law Group, a D.C. firm that specializes in retirement law. Kreps said every situation is different but that the agency “pays particular attention to situations where retirement plan fiduciaries enter into investment and other arrangements with related entities.
The way they cover political campaigns, taking side of the powerful, I assumed news media people are invincible.
Lock 'em up.
Standard operating procedure for vulture capitalists.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Tesla again ‘on the brink’ of failure, says Einhorn's Greenlight hedge fundThe wheels are “falling off,” sometime literally, at Tesla Inc., and the Silicon Valley car maker appears to “again be on the brink” of failure, David... That's a lie. According to all technical and price criteria, Tesla has the highest ranking for all of its Tesla cars! Tested in an AI core without dimensional numbers! Behind him is Audi. SEs and SEC artificially lowered the value of Tesla shares. Tesla is a developmentally not captivating company. Automobiles are technically perfect with a safe design for passengers.There is a great desire on the stock market! Don't sell Tesla shares.They are the best investment! Falcon Heavy flew to space, but peeps keep talking trash? Some peeps never learn.
Source: MarketWatch - 🏆 3. / 97 Read more »
Hedge fund manager David Einhorn slams Tesla: 'The wheels are falling off'Greenlight's David Einhorn slams Tesla in a recent investor letter. Haters have been saying that since day 1. As crazy as he is, Elon will make it work over the long run A Balanced View of Money The world's best cars, some of the brightest minds in auto tech, ravenous following, and a world where demand for EV is accelerating = pretty strong case for $TSLA.
Source: CNBC - 🏆 12. / 72 Read more »
Three Hedge Funds Win Big in PG&E’s Complex RestructuringThree hedge funds are the biggest winners so far in PG&E’s complex restructuring. But their $700 million in gains remain unrealized. WTF!!
Source: WSJ - 🏆 98. / 63 Read more »
Spotify prompts Nordic pension funds to add private equity to playlistsA vibrant start-up scene, which has spawned stars such as Spotify, Skype and Rov... This is stupid.
Source: Reuters - 🏆 2. / 97 Read more »
How A Gates Foundation-Backed Fund Is Revolutionizing Global Health Impact InvestingThe Gates Foundation initially structured the fund and Gates believes that the Foundation can support early, high-risk product development, while GHIF can support companies more mature in their development that need help with late-stage development and commercialization of their products.
Source: Forbes - 🏆 394. / 53 Read more »
Yang says he wants to destigmatize autism and create a federal funding programPresidential candidate AndrewYang, who has a son on the autism spectrum, says he wants to destigmatize autism and create a federal program to help schools provide more support for autistic students YangTownHall He's a joke! This is more scripted than SNL.🙄 Wtf
Source: CNN - 🏆 4. / 95 Read more »
India's Jet Airways faces imminent shutdown without emergency funds: sourcesIndia's Jet Airways Ltd will be forced to shut down as soon as Wednesday if... Akothee Low budget carriers that rely on international flights for a large % of their revenue are doomed to fail. It's a fools errand and something Southwest should be mindful of as they try to branch out internationally and the costs to their bottom line. Result of reckless privateisation in India Earlier King Fisher And now JET at the cost of Public sector Air India This is also likely to go into the private sector one after another every sector is privatized eliminating the public and private sector policy
Source: Reuters - 🏆 2. / 97 Read more »
HSBC faces shareholder anger over pensions, coal finance at AGMHSBC shareholders on Friday overwhelmingly voted against ending a form of pensio... Uh oh 😡 Only profile matter in Corporate for the shareholders. People are expendable. All the more reason to boycott corporate products and services.
Source: Reuters - 🏆 2. / 97 Read more »
Aurora Cannabis to buy the Hempco Food and Fiber shares it doesn't own for 14% premiumCanada-based Aurora Cannabis Inc. announced Tuesday an agreement to buy the Hempco Food and Fiber Inc. shares it doesn't already own in a deal that values Hempco at C$63.4 million ($47.4 million). Aurora's U.S.-listed shares rose 0.7% in premarket trade, after falling 4.2% on Monday to close at a 1-month low. Under terms of the deal, Aurora will pay C$1.04 for each of the 48% of Hempco shares outstanding that it doesn't own, which is 14% above Monday's closing price. "This transaction will enable us to fully integrate Hempco and its new Nisku processing facility into Aurora's global hemp operations including Agropro, Borela and ICC," said Aurora Chief Executive Terry Booth. "Our goal is to strengthen our CBD-from-hemp supply chain as well as our hemp business of hemp-based superfoods, nutraceuticals and fibers." Aurora's stock has run up 71.6% year to date through Monday, while Hempco shares have lost 13.3%, the ETFMG Alternative Harvest ETF has rallied 35.9% and the S&P 500 has gained 15.9%. Urfavoriteadvsr
Source: MarketWatch - 🏆 3. / 97 Read more »
Why legendary hedge-fund founder Ray Dalio is choosing to explore the sea instead of space like other billionairesBridgewater Associates founder Ray Dalio is more interested in ocean exploration than deep space.
Source: BusinessInsider - 🏆 729. / 51 Read more »