Texas AG Ken Paxton Sues Big ESG Firms for Rigging the Coal Market
Texas Attorney General Ken Paxton published a letter on his X account Wednesday announcing the State of Texas is suing big ESG investor firms BlackRock, StateStreet, and Vanguard for allegedly constricting the domestic coal market with their anti-competitive investment and finance practices.
“Texas will not tolerate the illegal weaponization of the financial industry in service of a destructive, politicized ‘environmental’ agenda,” Paxton’s X post states.
“BlackRock, Vanguard, and State Street formed a cartel to rig the coal market, artificially reduce the energy supply, and raise prices. Their conspiracy has harmed American energy production and hurt consumers. This is a stunning violation of State and federal law.”
[End]
In the letter, Paxton says, “Over several years, the three asset managers acquired substantial stockholdings in every significant publicly held coal producer in the United States, thereby gaining the power to control the policies of the coal companies. Using their combined influence over the coal market, the investment cartel collectively announced in 2021 their commitment to weaponize their shares to pressure the coal companies to accommodate “green energy” goals. To achieve this, the investment companies pushed to reduce coal output by more than half by 2030.”
“These firms also deceived thousands of investors who elected to invest in non-ESG funds to maximize their profits,” the letter continues, “Yet these funds pursued ESG strategies notwithstanding the defendants’ representations to the contrary.
“Deliberately and artificially constricting supply increased prices and enabled the investment companies to produce extraordinary revenue gains. This conspiracy violated multiple federal laws that prevent a major shareholder, or a group of shareholders, from using their shares to lessen competition or engaging in other anticompetitive schemes. Further, the companies broke Texas antitrust and deceptive trade practices laws.”
Notably, the firm of Houston Lawyer Tony Buzbee, the bulldog trial lawyer who ripped apart the sham impeachment case brought against Paxton last summer by drunk Speaker of the House Dade Phelan, is serving as outside counsel to the lawsuit along with the Cooper & Kirk law firm.
This is serious stuff right here, folks. Godspeed to Mr. Paxton, and God Bless Texas.
That is all.
Here’s the full letter:
