Later this morning, Governor Dannel Malloy and the State Bond Commission are slated to vote on Malloy’s deal to give tens of millions of dollars in taxpayer funds to AQR Capital, a hedge fund based in Greenwich, Connecticut.
Initial reporting on the bizarre deal came via Wait Wait? when it reported, Malloy gives Climate Change Denier $35 million in taxpayer funded corporate welfare.
Now CT Newsjunkie provides more in-depth reporting in a breaking story entitled, State Bond Commission Poised To Give Another Hedge Fund Money.
The CT Newsjunkie reports;
After a controversial decision earlier this year to give $22 million to the world’s largest hedge fund, Connecticut’s Bond Commission is looking to give $32 million to a Greenwich hedge fund managing $172.4 billion in assets.
On Tuesday, the state Bond Commission is being asked to approve a $28 million loan and $7 million in grants to AQR Capital in Greenwich. In exchange for the help from the state, the company will retain 580 jobs and create up to 217 new jobs within two years, according to the Bond Commission agenda.
The first $13 million of the loan will be forgiven if the company retains 797 jobs for two years. According to its website, the company already had 744 employees as of Sept. 30, 2016, but not all of its employees are in Connecticut. The company also has offices in Boston, Chicago, Los Angeles, London, Hong Kong, and Sydney, according to its website.
The company will receive an additional $15 million forgivable loan with the goal of another 189 jobs within five years. The company would also be eligible for $7 million in incremental grants if it creates and retains an additional 140 jobs for a total of 1,126 jobs.
When the state gave $22 million to Bridgewater Associates, the world’s largest hedge fund, the deal was criticized by a number of people on both sides of the political aisle because it comes at a time when the state is struggling with its debt, which is taking up an ever-increasing part of the state budget.
Perhaps most telling of all is that the company is ducking media questions about he deal. As CT Newsjunkie added, “
“Phone calls to the company were not returned.”
For more on the AQR deal see Wait, What? article: Malloy gives Climate Change Denier $35 million in taxpayer funded corporate welfare
To read and comment on the full CT Newsjunkie on AQR go to: http://www.ctnewsjunkie.com/archives/entry/state_bond_commission_poised_to_give_another_hedge_fund_money/