Former board member kickstarts crowdfunding for CalPERS probe

A former California Public Employees' Retirement System (CalPERS) board member is seeking to launch an independent investigation into the pension fund for alleged mismanagement and misconduct and hopes to raise the funds to do so via GoFundMe.

Margaret Brown is seeking support for the independent investigation as she believes CalPERS's internal oversight "remains limited and the system has been allowed to police itself."

Specifically, she wants to find out if CalPERS's investment decisions are truly in the best interests of beneficiaries, whether fees and risks are appropriately disclosed, and if conflicts of interest and political influences compromise returns or governance.

Further, Brown is asking if beneficiaries, legislators, and taxpayers being misled about the health and sustainability of the pension system.

"For too long, public employees, retirees, employers, and taxpayers have had to rely on fragmented information and vague answers to tough questions. Transparency is not optional; it is a right," she wrote on the webpage.

"Crowdfunding this investigation would do more than raise money, it would build a coalition of concerned stakeholders who are demanding answers and reform."

The target amount for the raise is set at US$350,000.

Brown recommends that Ted Siedle, a forensic expert on public pension mismanagement and corruption, take the lead on the investigation.

A former SEC attorney and the founder of Benchmark Financial Services, Brown said Siedle has conducted more than US$1 trillion in forensic investigations of retirement plans and his work has "led to sweeping reforms and recoveries across the country."

Brown won a seat on the CalPERS board in 2017 and exited in 2021. CalPERS manages some US$500 billion in assets.

"In an era when public trust in government institutions is increasingly fragile, transparency and accountability are more essential than ever. Nowhere is this truer than in the management of public pensions. The financial lifeline for millions of retirees who depend on their pensions not only for dignity in retirement but for economic survival," Brown said.