CalPERS Takes Legal Action to Recover Stolen Dormant Retiree Assets
April 19, 2021
Communications & Stakeholder Relations
(916) 795-3991 - firstname.lastname@example.org
SACRAMENTO, Calif. – The California Public Employees’ Retirement System has filed a lawsuit to protect member assets, after discovering that a 25-year employee had allegedly accessed 10 dormant retiree accounts and fraudulently redirected approximately $685,000 to bank accounts in the employee’s control.
CalPERS’ civil lawsuit seeks to recover the stolen funds, and we are continuing to work with law enforcement on potential prosecution of alleged criminal behavior. CaIPERS will make all breached member accounts whole, and, as a part of the investigative process, is performing a forensic audit. CalPERS will exhaust every legal opportunity to recover the money stolen from the victims.
Our 2,800 professionals take pride in serving members with the highest degrees of professionalism, integrity, and accountability. That this could have happened in the first place is unacceptable, and the employee is no longer employed by CalPERS. The employee’s actions were an abuse of access, breach of fiduciary responsibility, and betrayal of co-workers and all dedicated public employees.
A copy of the lawsuit can be found here.
For more than eight decades, CalPERS has built retirement and health security for state, school, and public agency members who invest their lifework in public service. Our pension fund serves more than 2 million members in the CalPERS retirement system and administers benefits for more than 1.5 million members and their families in our health program, making us the largest defined-benefit public pension in the U.S. CalPERS' total fund market value currently stands at approximately $459 billion. For more information, visit www.calpers.ca.gov.