Investors and Republican Attorney Generals have continued to intensify their scrutiny on companies who have invested significant sums using ESG (Environmental Social Governance) factors.
Already, a number of states have penalized companies that use ESG factors when considering investments.
Companies who use Environmental, Social Governance factors when considering their investments will often prioritize investments that are environmentally friendly or that comply with a liberal social agenda rather than looking strictly at profits.
Now, nineteen Republican Attorney Generals have announced that they are formally investigating six banks over concerns about ESG investments.
The Attorney Generals told the Epoch Times that they are investigating the banks to enforce consumer protection laws.
Montana Attorney General Austin Knudsen said that companies who consider ESG factors in their investments may be running afoul of their duties to investors.
“You have corporate banking and the investment industry trying to flex their muscle and pressure businesses into a political direction and political action,” he said. “But that’s not their function. Their job is to provide credit and earn profit for shareholders.”
The Epoch Times Reports–
A coalition of 19 state attorneys general from across the country launched a formal investigation into six major U.S. banks last week citing legal concerns about banks’ “ESG” investing and their involvement with a United Nations alliance fighting CO2 emissions.
The banks “appear to be colluding with the U.N. to destroy American companies” and undermine the nation’s best interests, one of the AGs warned in a statement e-mailed to The Epoch Times.
Another AG argued that these U.N.-inspired banking policies were resulting in jobs being sent to communist China as the regime there continues building coal-fired power plants to ensure low-cost, reliable energy.
The new investigation is the latest salvo by Republican-led states amid growing nationwide concerns about the “woke” policies of financial institutions and other powerful business interests.
Multiple attorneys general who spoke to The Epoch Times about the probe said it was their job to enforce consumer protection laws and protect citizens in their states from potentially illegal activity by companies.