Probe may open books at CalPERS

The L.A. Times reports:

California taxpayers are on the hook when the state's giant public pension system — lately plagued by corruption scandals and huge losses — makes a bad investment. Yet they are permitted to see little of what goes into its investment decisions.

Officials at the California Public Employees' Retirement System have shrouded many of their multimillion-dollar transactions in secrecy, refusing to release analyses of potential investments, meeting materials and correspondence relating to venture capital, real estate and other private equity holdings.

Citing privacy laws, they have said the pension fund need not share "any documents that reflect investment recommendations and the process by which investment strategy is decided."

But now, as some current and former officials are being investigated by state and federal authorities in probes of influence-peddling and bribery, CalPERS has hired at least one outside firm to examine whether pension dollars were doled out improperly in deals negotiated out of public view.

Just a reminder for those who want to hand more responsibilities over to the government.