House Judiciary Committee Chair Jim Jordan, R-Ohio, subpoenaed BlackRock and State Street Global Advisors as part of the committee's probe into whether ESG investing policies violate U.S. antitrust laws.
The committee originally requested documents and communications related to how both companies advance their environmental, social and governance policies in July, but BlackRock and State Street's responses have been "inadequate," according to a Dec. 15 committee news release.
"We have worked cooperatively with the House Judiciary Committee to address their questions about the asset management industry, as we do with any government body," a BlackRock spokesperson said in a statement. "Having already produced more than 7,700 documents and 91,000 pages, a subpoena was not necessary but we understand this is the committee's practice, and we will continue to cooperate."
A State Street spokesperson said in a statement that the company "cooperated fully with the committee and will continue to do so going forward."
"We remain confident that we have not violated any antitrust laws," the spokesperson said.
In the subpoenas, Jordan wrote that he's interested in understanding how the companies may have "colluded" in promoting ESG goals.
Both BlackRock and State Street are signatories of the Net Zero Asset Managers initiative, which commits to achieving net-zero greenhouse gas emissions by 2050. The companies are also part of Climate Action 100+, a group of more than 700 investors focused on cutting greenhouse gas emissions and more, according to its website.
On Dec. 11, Jordan subpoenaed Vanguard Group and Arjuna Capital in the same investigation.
