- Associated Press - Wednesday, September 17, 2014

BOSTON (AP) - Republican candidate for governor Charlie Baker said Wednesday that questions about an investment made by New Jersey in a venture capital firm with ties to him have been resolved.

The New Jersey Treasurer’s Office announced Tuesday it had sold its investment in General Catalyst, netting the state a $4.5 million profit over what it paid for the investment in December 2011.

Baker has been an entrepreneur in residence for the firm since 2011 and is currently on leave while he campaigns for governor in Massachusetts. New Jersey Gov. Chris Christie endorsed Baker’s unsuccessful Massachusetts gubernatorial bid in 2010. Baker gave $10,000 to the New Jersey GOP in 2011.

“I’m certainly glad the issue’s been resolved and based on published reports yesterday it looks like New Jersey did quite well on that investment, which I think is great,” Baker told reporters Wednesday.

It is against New Jersey law for the state to use investment firms with managers who have made political donations in the state over the past two years.

Baker said when questions were first raised earlier this year about the deal that he hired an attorney who had previously served as general counsel for the Federal Election Commission to review the investment and Baker’s donation.

“The reason I asked him to do the review was to determine if there was any corrective action I needed to take, and he said no, based on his review,” Baker said. “As far as I’m concerned, I think this issue is resolved.”

New Jersey announced an audit of the situation in May, and a spokesman for the Treasury office has said that review is still ongoing.

Martha Coakley, the Democratic candidate for governor, called on Baker to release his employment contract with Catalyst.

“Voters deserve to know the truth, and Charlie can answer these questions once and for all by releasing his employment contract,” Coakley said in a written statement Wednesday. “If Charlie has nothing to hide, he will have no problem making his employment contract available for the public to review.”

Baker has maintained that his position with the company was identifying potential investment opportunities, but not making decisions on investments or managing funds.

A former chief executive of Harvard Pilgrim Health Care, Baker was named an executive in residence by General Catalyst a few months after he was defeated by incumbent Democratic Gov. Deval Patrick in the November 2010 election.

General Catalyst released a statement late Tuesday saying it was pleased the sale of the fund investment “resulted in a positive outcome and a significant profit for New Jersey pension beneficiaries.”

Copyright © 2019 The Washington Times, LLC.

The Washington Times Comment Policy

The Washington Times welcomes your comments on Spot.im, our third-party provider. Please read our Comment Policy before commenting.


Click to Read More and View Comments

Click to Hide