FEBRUARY 14, 2013
Treasury Department sued for records on suspicious approval of Chinese corporation takeover.
Judicial Watch, Inc. has sued the United States Department of Treasury to uncover documents that may confirm suspicious connections between Obama campaign donors and why the Obama Administration approved a recent corporate takeover. The takeover required the approval of the Committee on Foreign Investment in the U.S. (CFIUS), which is chaired by the secretary of the Treasury and includes the attorney general, the U.S. trade representative, and the secretaries of the Department of Homeland Security, Commerce, Defense, State, and Energy.
The Chinese government-owned Chinese National Offshore Oil Corporation (CNOOC) acquired the Canadian energy company Nexen Inc. This acquisition, with the Obama Administration approval, will allow CNOOC access to drilling for oil in northern Canada and the Gulf of Mexico. Because the oil industry is extremely profitable, the deal will provide a windfall of financial returns to major Obama campaign contributors.
- Taconic Capital, which reported in its third quarter filing that it had acquired 6 million shares of Nexen between July 1 and September 30, 2012. Taconic’s founder and managing director is Frank Brosens, an Obama bundler who has raised more than $1 million for Obama. Brosens was Timothy Geithner’s first choice to run the TARP (Troubled Assets Relief Program).
- Farallon Capital Management, LLC, which bought 8.7 million shares of Nexen (1.65 percent of the company) between July 1 and September 30, 2012. The founder of Fallon Capital is Thomas Steyer, a long-time Democratic fundraiser who spoke at the Democratic National Convention.
- Eton Park Capital Management, which bought 6,737,000 shares (1.28 percent) of Nexen. Eton Park was founded and is directed by Eric Mindich, a bundler who raised more than $71,000 for Obama this cycle and has given more than $500,000 to Democratic candidates since 1990.
- D.E. Shaw & Co., which increased its position by 5.8 million to 6.5 million shares, or 1.22 percent of the company. D.E. Shaw was founded by David E. Shaw, an Obama bundler in the $200,000 to $500,000 range. He also sits on the President’s Council of Advisors on Science and Technology, as he did under the Clinton administration.
Once our investigators ‘connected the dots’, we filed a Freedom of Information Act (FOIA) request to the Department of Treasury for documents related to the approval of the takeover. You can read the FOIA request here.
Judicial Watch, Inc. has yet to receive any response and it is well beyond the federal deadline of 20 business days that forces agencies to respond to FOIA requests. Now, Judicial Watch has sued once again in the interest of integrity, transparency, and accountability in government and fidelity to the rule of law. You can read the lawsuit here.