House Judiciary Chairman Jim Jordan, R-OH, will subpoena BlackRock and three other firms for documents that help answer the committee’s inquiry into if the firms’ climate-related efforts violate federal antitrust laws, Bloomberg reported.
Citing a person familiar with the matter, the publication named Glass Lewis, State Street and Institutional Shareholder Services as subjects for Jordan’s upcoming subpoenas.
The expected subpoenas come days after Jordan subpoenaed investment firms Vanguard and Arjuna Capital for documents related to the committee's investigation into allegations that the firms colluded in committing to invest in the promotion and adoption of “left-wing environmental, social, and governance goals.”
Jordan had written to Vanguard and Arjuna this summer, requesting documents and communications related to how they each advance ESG policies. Both Vanguard and Arjuna have provided documents to Jordan, but their “overall response to date has been inadequate,” according to an announcement of the subpoenas.
“We write because [Vanguard] has potentially violated U.S. antitrust law by entering into agreements to “decarbonize” its assets under management and reduce emissions to net zero — with potentially harmful effects on Americans’ freedom and economic well-being,” Jordan wrote to Vanguard CEO Tim Buckley in July.
“These collusive agreements to ‘decarboni[ze]’ and reduce emissions to net zero by 20507 would require draconian ‘declines in the use of coal, oil and gas’: as much as 98% for coal, 94% for oil, and 86% for fossil fuels overall,” Jordan wrote. “This, in turn, would require radical ‘steps such as halting sales of new internal combustion engine passenger cars by 2035, and phasing out all unabated coal and oil power plants by 2040.’ It also would mean ‘that no new oil and gas fields must be developed,’ choking off investment in these industries. Such restrictions limit output and increase prices, and deprive businesses of investments and consumers of choices. The potential consequences for American freedom and economic well-being are far-reaching.”
In November, Jordan subpoenaed shareholder advocacy firm As You Sow and the Glasgow Financial Alliance for Net Zero, which brings together 650 financial institutions aligned on ESG goals, for documents.
House Republicans have taken aim at firms for their ESG practices since last year.
A spokesperson for the House Judiciary Committee did not respond to a request for comment.
Spokespeople for BlackRock, Glass Lewis, State Street and Institutional Shareholder Services did not return requests for comment by press time. BlackRock declined to comment to Bloomberg.
