Texas Attorney General Ken Paxton announced Wednesday that ten other Republican-led states are joining a lawsuit he filed against asset management firms Blackrock, State Street and Vanguard over an alleged violation of antitrust law, after the companies’ climate policies resulted in decreased coal production.
Paxton wrote on đ, “Texas will not tolerate the illegal weaponization of the financial industry in service of a destructive, politicized âenvironmentalâ agenda. 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.”
The three companies have acquired stockholdings in all of America’s top public coal producers over the past few years, using their influence to “pressure the coal companies to accommodate ‘green energy’ goals.”
The “green energy” push aims to promote a 50% reduction in coal output by the year 2030, which would significantly increase electricity costs around the country.
Furthermore, the companies promoted non-environmental, social, and governance (ESG) funds to consumers while going on to enact ESG “green” policies against the wishes of investors.
Paxton’s letter explains, “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.”
In a public statement, Paxton said, “Texas will not tolerate the illegal weaponization of the financial industry in service of a destructive, politicized âenvironmentalâ agenda. BlackRock, Vanguard, and State Street formed a cartel to rig the coal market, artificially reduce the energy supply, and raise prices,â said Attorney General Paxton. âTheir conspiracy has harmed American energy production and hurt consumers. This is a stunning violation of State and federal law.â
Alabama, Arkansas, Indiana, Iowa, Kansas, Missouri, Montana, Nebraska, West Virginia and Wyoming are Texas’ co-plaintiffs in the lawsuit.
See the full court filing below: