Today’s L.A. Times headlines "Investigation details deals at CalPERS." March 15, 2011 in a lengthily account by reporters Marc Lifsher and Stuart Pfeifer had this to say.
" While at CalPERS, Buenrosto [ CEO] repeated " inserted himself into the investment process in a manner inconsistent wit prior practice at CalPERS, pressing its investment staff to pursue particular investments without evident regard for their financial merits."
It is said Buenrostro intervened with staff on behalf of Aurora Capital Group of Los Angeles [ Gerald Parksy] to obtain investment money. Buenrostro told subordinates that Aurora was politically powerful, and that Aurora principal Gerald Parsky served on a state commission [appointed by Gov Schwartznegger] dealing with public employee benefits, the report said. "
Aurora was a Villalbos [principal figure of the probe], and Buenrostro told the board, and those complaints "become a basis for the board’s efforts to replace him as CEO," the report said."
CalPERS is the nation’s largest public pension fund, with @228 billion in assets…" [which is losing for several years]
"In May 2010, the California attorney general sued Villalbos and Buenrostro, accusing them of scheming to enrich themselves through self-dealing and other misconduct in seeking CalPERS investment money on behalf of clients."
Gerald Parsky
Alfred Villalobos