A series of leaked email documents that show a possible conflict of interest with a member of the Alaska Permanent Fund Corporation’s Board of Trustees is a serious matter — so much so that the Alaska Permanent Fund has issued a statement acknowledging that fact and saying it is handling the matter internally.
Board of Directors member Gabrielle “Ellie” Rubenstein was revealed in emails by an Alaska blog to have been engaging in the actual operations of the Permanent Fund, directing investment activities, rather than serving only as a board member involved in broad policy decisions. Her father, David Rubenstein, is the founder of the Carlyle Group, a major global investment entity that is influential in finance and politics. David Rubenstein made his early fortune selling net operating losses for Alaska Native Corporations after having served in the Carter Administration. In one year, he and his partner brokered $1 billion in paper losses, and earned themselves $10 million in fees. The government soon closed the loophole that became known as the Great Eskimo Tax Scam.
Rubenstein is also the daughter of the former owner of the Anchorage Daily News, Alice Rogoff, who bought the newspaper for more than $30 million from The McClatchy Company, renamed it the Alaska Dispatch, but ended up losing it during bankruptcy proceedings three years later; the Binkley Co. bought it for $1 million and operates it today as the Anchorage Daily News. Rogoff had a reputation for getting deeply involved in politics and campaigns in Alaska; she was one of former Gov. Bill Walker’s most high-profile supporters. Her daughter, Ellie Rubenstein, is a supporter of Gov. Mike Dunleavy, who appointed her to the Permanent Fund Board of Trustees.
A vague statement about possible inappropriate interference in investment matters by an unnamed person[s] was issued by the corporation on Thursday.
“The Alaska Permanent Fund Corporation (APFC) acknowledges recent media reports concerning internal communications regarding potential conflicts of interest. We take these concerns seriously and were addressing the issue through established protocols prior to coverage by the media. We are committed to ensuring the well-being of our team and the integrity of the Fund’s investment process and to working on behalf of all Alaskans. Transparency and accountability are core values at APFC,” the corporation statement said. “A review of this matter is underway to identify next steps. We will provide further updates as appropriate.”
The additional question raised by the leaked emails is whether Ellie Rubenstein was pushing the investment staff of the corporation to invest in companies that may be affiliated with either her own investment group, Manna Tree, or her father’s vast investment interests.
She was named to the Board of Trustees in 2022 by Gov. Dunleavy to serve a four-year term as one of the four public members. In 2023, she was appointed as vice chair. Her term ends in 2026.
