High-ranking Doge Official And Elon Musk Ally, Antonio Gracias, Has Left Government

Antonio Gracias, a high-ranking DOGE charismatic who was simultaneously managing astir $2 cardinal successful assets for 9 nationalist pension funds, has near nan government, his patient said, aft a apical national leader raised questions astir nan risks Gracias’ dual roles posed to nan funds.

Gracias is founder, main executive and main finance serviceman of Valor Equity Partners, a backstage equity patient that manages $17.5 cardinal successful assets. A longtime Elon Musk ally, Gracias had been moving astatine nan Department of Government Efficiency, nan cost-cutting entity created by Musk and President Donald Trump. During his clip astatine DOGE, he attacked nan Social Security Administration and raised allegations of elector fraud.

On Monday, Randi Weingarten, president of nan American Federation of Teachers, sent letters asking nan managers of 9 nationalist pension costs that together person $1.8 cardinal invested pinch Valor whether Gracias’ activity pinch DOGE has reduced their values.

“Pension money fiduciaries person a work to guarantee nan integrity of their investments, and it is concerning to america that Valor labor look to beryllium engaged successful replacement pursuits unrelated to nan guidance of their halfway business,” Weingarten told NBC News. She said AFT wrote to nan 9 costs “to mobility if nan risks of Valor now outweigh nan gains.”

Elon Musk successful nan White House Oval Office connected May 30. Allison Robbert / AFP - Getty Images file

Weingarten sent nan letters to nan California Public Employees’ Retirement System (CalPERS), nan California Teachers’ Retirement System (CalSTRS), nan New York State Common Retirement Fund, nan Teacher Retirement System of Texas and different funds. AFT, her organization, has 1.8 cardinal members, immoderate of whom are beneficiaries of nan 9 pension funds.

Valor did not respond to a petition for accusation Tuesday astir Gracias’ activity for DOGE. On Wednesday, Weingarten’s agency emailed Valor asking for nan existent position of his activity successful nan Trump administration. Valor replied to Weingarten that Gracias stopped contributing arsenic a unpaid astatine DOGE arsenic of July 1. It confirmed successful an email that Gracias “remained actively progressive successful nan guidance of Valor” during his clip astatine DOGE.

Gracias’ departure from DOGE does not look to person been antecedently announced publicly.

“While we are encouraged that Mr. Gracias has abandoned DOGE and seems to now beryllium taking his halfway business seriously, it’s disappointing it apparently took letters from investors to yet flush retired nan truth,” Weingarten said successful a statement.

Gracias founded Valor successful 1995, according to its website, and was an early organization investor successful Tesla, Musk’s electrical car company, arsenic good arsenic a director. He helped Tesla rumor shares to nan public, and Forbes estimates his nett worthy astatine $2.3 billion, mostly because of his Tesla shares.

American Federation of Teachers President Randi Weingarten successful Washington connected June 25.Jemal Countess / Getty Images file

Gracias told reporters successful May that during his clip astatine DOGE, it had referred 57 examples of imaginable elector fraud to nan Justice Department. He described nan group arsenic “resident aliens who were registered to ballot and whitethorn aliases whitethorn not person voted successful elections.”

Gracias highlighted nan 57 cases but acknowledged he did not cognize whether nan group had really formed ballots. “We’re not sure,” he said. “We referred nan cases.” If they are recovered to beryllium fraudulent, nan 57 ballots correspond a mini fraction of nan much than 155 cardinal votes formed successful nan 2024 election.

At a municipality hallway arena successful Wisconsin this year, Gracias and Musk criticized nan Social Security Administration, falsely telling nan assemblage that ample numbers of immigrants were receiving Social Security cards and past collecting benefits. Instead, undocumented immigrants often salary into nan Social Security strategy without being capable to person benefits.

Weingarten said successful her letters to nan pension costs that Gracias’ activity astatine DOGE was “potentially astatine likelihood pinch nan liking of your money and its beneficiaries,” galore of whom trust connected Social Security payments successful summation to their pensions.

The letters besides said Gracias’ dual roles raised basal questions astir nan grade to which he is “actually engaged successful nan plus guidance activities for which your money is paying them.”

CalPERS, for example, paid Valor much than $8 cardinal successful guidance fees successful fiscal twelvemonth 2024, according to its most caller yearly report.

Representatives for CalPERS, CalSTRS, nan New York authorities pension and nan Teachers Retirement System of Texas confirmed they had received nan AFT’s letters. A spokesperson for CalPERS said it has reviewed nan missive and will respond accordingly.

A spokesperson for CalSTRS said, “We show our holdings, prosecute companies and collaborate pinch wide partners to place and reside risks successful our portfolio.”