State Employees Say $30 Billion Of Pension Untraceable

RALEIGH, N.C. – There's an update to a story 2 Wants To Know first brought you in March. The State Employees Association or the SEANC was worried about the high fees the state treasurer paid to pension managers. Those managers are hired to invest the employee's pension money to get the highest possible return. But SEANC thought Treasurer Janet Crowell was paying the managers too much.

READ: State Workers Say Treasurer Mismanaged Pension

Now the federal government may get involved. The SEANC is asking the Securities and Exchange Commission to investigate the pension fund after a consultant's recent audit.

The consultant found $30 billion is unaccounted for in the Teachers' and State Employees' Retirement System. The audit says that's about 35 percent of the total fund. 2 Wants To Know reached out to the Treasurer's office for comment. Spokesperson Schorr Johnson said:

"Upon brief examination, there are a number of areas where the report is simply wrong. A full accounting of every dollar of the pension fund is provided in the annual report.

The "$30 billion" number is incorrect and I cannot speculate as to how they arrived at that. Total alternative investment is 21.5%, around $18.7 billion. That said, all those investments are accounted for in our annual report.

Here are the links to the annual report:

Fiscal Year 2012-2013 Annual Report

Fiscal Year 2012-2013 Annual Report Supplement

Fiscal Year 2012-2013 Fee Report​"


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