July 30, 2003 - A state Superior Court judge has ruled in favor of an employees' union in a public records lawsuit filed over stewardship of the University of California's pension funds.

A UC attorney said officials are considering an appeal.

Judge James Richman in Oakland ruled last week that UC must release information on the performance of its venture capital investments, including $34 billion in retirement assets for 173,343 employees.

State public record laws

The lawsuit, filed in April by the Coalition of University Employees and the San Jose Mercury News, held that UC is required to disclose the information under state public records laws.

Trade secret

UC attorneys say the information is a trade secret of the private consultants who calculated the investments, and making the information public would violate confidentiality agreements.

But the judge rejected that argument.

"The public interest in disclosure of the (investment returns) clearly outweighs the claimed need to keep them secret," Richman ruled.

Minutes improperly withheld

The judge also ruled that UC had improperly withheld minutes of closed-session meetings in 2000 and 2002 where changes to the investment strategy were discussed.

"We were obviously disappointed with the ruling," said UC counsel Christopher Patti. "We don't agree with the court's analysis."

More accountability

Mary Higgins, an executive board representative for CUE, said the ruling will make UC more accountable.

"They seem to be so powerful, they just seem to be able to get away with everything they want," she said.