CalSTRS Investment Entangled In Legal Dispute Over Playground For Rich
Professor Robert Weisberg spoke with Charles Piller of The Sacramento Bee about Blixseth's complaint against Kirscher and what it would mean if the allegations are true.
Tucked away in the vast investment portfolio of the California teachers pension fund is a luxury resort in Montana that features lavish villas, pristine golf links and world-class ski slopes.
The California State Teachers' Retirement System classifies its $100 million investment in the fund that owns Yellowstone Club as "high-risk, high reward." Whether its investment turns out to be a winner or a loser may depend on the outcome of a raft of lawsuits pending in California and Montana.
The vast majority of such misconduct claims are dismissed for lack of merit. But few involve major commercial cases, and claims filed by established lawyers in high-stakes cases might be taken seriously, said Robert Weisberg, an ethics scholar at Stanford University School of Law.
Stanford's Weisberg said that if Blixseth's allegations are true, his complaint would expose "a flagrant violation of judicial procedure."