Arkansas Attorney General sues Temu, pharmacy benefit managers

KUAR | By Josie Lenora

Arkansas Attorney General Tim Griffin announced two new lawsuits Monday and Tuesday. One suit targets two pharmacy benefit managers, companies he says financially profited from the opioid crisis. The other was against the online retail site Temu for allegedly using malware on customers.

Pharmacy Benefit Managers

Pharmacy benefit managers work as the middle men between pharmacists and health insurance companies. They negotiate for rebates with pharmaceutical companies.

Arkansas' suit is specifically against the companies Optum and Express Scripts. Both rake in billions of dollars each year in profit. Griffin says both groups profited from the opioid crisis “pill by pill and dollar by dollar.”

Arkansas Attorney General sues Temu, pharmacy benefit managers

Attorney General Tim Griffin sues pharmacy benefit managers for roles in Arkansas opioid epidemic

LITTLE ROCK – Attorney General Tim Griffin today announced he has filed a lawsuit against pharmacy benefit managers (PBMs) Optum, Inc., and Express Scripts, Inc., and their subsidiaries for their roles as a cause of the opioid epidemic in Arkansas and issued the following statement:

“Pill by pill and dollar by dollar, PBMs enabled the opioid epidemic in Arkansas. Today, we begin the process of holding them accountable for their roles in a crisis that has ravaged our state—a crisis they helped cause, contributed to, and furthered.

“The PBMs benefited financially from the opioid crisis in Arkansas by negotiating favorable deals with opioid manufacturers while at the same time forgetting the interests of Arkansans who received prescriptions. Instead of protecting consumers by leveraging data to curb excessive prescriptions, PBMs focused on the financial incentives of manufacturer rebates to drive profits at the expense of people.”

Between 2006 and 2014, Arkansas was flooded with almost 1.5 billion units of addictive opioids. By 2016, Arkansas had the second-highest opioid prescription rate in the nation, with 114.6 opioids being dispersed for every 100 Arkansans—nearly twice the national average and enough to supply every man, woman, and child in Arkansas 78 opioid doses each.

The suit, filed in Pulaski County Circuit Court, alleges that the PBM defendants:

• Fueled the opioid epidemic in Arkansas by increasing opioid utilization by placing opioids on lower tiers of their formularies, controlling what less addictive pain treatments were available to patients, and falsely representing that their formularies were designed to be cost effective and achieve favorable health outcomes but instead were designed to maximize profits;

• Operated online retail pharmacies that dispensed billions of morphine milligram equivalents of opioids while failing to follow state and federal laws on controlled substances; and,

• Were aware of the opioid epidemic in Arkansas and failed to take any action.

Griffin is asking that PBMs be held accountable for creating a public nuisance through their actions, being negligent in their actions, and unjustly enriching themselves.

To read a copy of the lawsuit, click here.

Arkansas Attorney General Tim Griffin files motion to reconsider erroneous order in Arkansas's lawsuit challenging unlawful ATF rule

LITTLE ROCK – Attorney General Tim Griffin today issued the following statement after filing a motion for reconsideration in a lawsuit challenging the Bureau of Alcohol, Tobacco, Firearms and Explosives’ new unlawful rule expanding the definition of who must become a federally licensed firearms dealer:

“On May 1, I co-led a multistate lawsuit challenging the ATF’s rule that radically expanded the definition of who must be a federally licensed firearms dealer. I filed suit against the ATF because only Congress can make laws, and Congress has never passed into law the ATF’s dramatic new expansion of firearms dealer license requirements.

“Last week, a federal district court in Little Rock ordered our case to be transferred to a federal district court in Kansas. That order dismissed Arkansas from the case on the grounds that the state would financially benefit from the ATF rule. But that’s not the case, and the Little Rock court’s order only concluded otherwise by ignoring basic tax law. That’s why we’ve asked the Kansas court to reconsider and correct the Little Rock court’s flawed order.

“Moreover, in ordering our case’s immediate transfer, the Little Rock order also violated Eighth Circuit Court of Appeals precedent requiring ‘district court clerks [to] … wait a reasonable period before transferring case files after a transfer order is entered.’ That precedent exists to ensure the Eighth Circuit can review and correct erroneous transfer orders before they become effective, yet the Little Rock order unlawfully short-circuited that process, depriving Arkansas of the opportunity to obtain reversal of the district court’s erroneous order.

“The ATF’s unlawful rule is yet another in a long line of federal overreaches by the Biden administration. This rule harms Arkansans, and Arkansas’s standing in the case should never have been in question. I look forward to continuing to defend the people of Arkansas—even if an erroneous ruling requires me to do so in Kansas.”

To read the brief in support of motion for reconsideration, click here.

For a printer-friendly version of this release, click here.

Attorney General Tim Griffin files lawsuit against Ticketmaster/Live Nation, joins U.S. Department of Justice and 29 other Attorney Generals

LITTLE ROCK – Attorney General Tim Griffin today announced that he has joined the U.S. Department of Justice and a bipartisan coalition of 29 other attorneys general in filing an antitrust lawsuit against Ticketmaster and its parent company Live Nation Entertainment, Inc., over its illegal monopoly of the live entertainment industry:

“Arkansans—whether they are concert goers, artists, or venue operators—are at the mercy of Live Nation and Ticketmaster when it comes to live entertainment. Live Nation’s monopoly dictates which artists play where, prevents venues from using other ticketing companies at the risk of losing access to artists, and milks fans with large service fees in a so-called marketplace where there is a paucity of choice. Live Nation is also in violation of Arkansas’s prohibition on monopolies and our state’s Unfair Practices Act.”

In the lawsuit, filed in the U.S. District Court for the Southern District of New York, the DOJ and coalition states allege that Live Nation has:

• Harmed fans through higher fees and limited the amount of information fans have regarding the ultimate cost to see a show. Fans’ ticketing experience—from buying a ticket to showtime—is also worse than it would be if the industry were competitive.

• Maintained its monopoly in ticketing markets by locking up venues through restrictive long-term, exclusive agreements and threats that venues will lose access to Live Nation-controlled tours and artists if they sign with a rival ticketer.

• Leveraged its extensive network of venues to force artists to select Live Nation as a promoter instead of its rivals, maintaining its promotions monopoly.

The DOJ and coalition states are asking the court to prohibit Live Nation from engaging in its anticompetitive practices; order Live Nation to divest its ownership of Ticketmaster; and order Live Nation to pay civil penalties for its violations of law.

Joining Griffin in the suit are the attorneys general from: Arizona, California, Colorado, Connecticut, the District of Columbia, Florida, Illinois, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Hampshire, New Jersey, New York, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Virginia, Washington, West Virginia, Wisconsin, and Wyoming.

To read the complaint, click here.

For a printer-friendly version of this release, click here.

AG Griffin praises his office's investigators for leadership in arrest of Kansas man on federal child porn charge involving Arkansas child

LITTLE ROCK – Attorney General Tim Griffin today issued the following statement on the involvement of his office in the arrest of Marcus Allen Abeyta, 31, of Emporia, Kansas, on one federal count of production of child pornography involving a minor residing in Arkansas:

“Bringing child pornographers to justice requires collaboration across multiple jurisdictions including, in this matter, federal, military, and state law enforcement. Abeyta is not a member of the military, but my office took the lead on this case because the victim is the child of parents stationed at Little Rock Air Force Base.

“During our investigation, it was discovered that Abeyta is a suspect in numerous other criminal investigations involving child exploitation in other states. I thank my office’s Special Investigations Division for working closely with the Air Force Office of Special Investigations and Homeland Security Investigations (HSI) on this matter.”

Abeyta was arrested on May 16 at his residence, and his cell phone was seized for digital forensic examination. The examination led to the identification of other minor victims in various parts of the country. HSI and Griffin’s office are still working through evidence to identify other potential victims.

Abeyta is currently being held in Kansas at the Butler County Jail awaiting transfer to Little Rock by the U.S. Marshals Service.

Arkansas Attorney General sends cease and desist letters to pro-choice organizations

KUAR | By Josie Lenora

Arkansas Attorney General Tim Griffin sent cease and desist letters to two companies that he says provide abortion pills through the mail. He accused both Aid Access and Choices Women's Medical Center of violating the Arkansas Deceptive Trade Practices Act.

“Abortions are prohibited in Arkansas… consequently abortion pills may not legally be shipped to Arkansas,” Griffin's letters to the two companies read.

He called both groups' business practices “false, deceptive and unconscionable.” Griffin threatened them with a $10,000 civil penalty for each violation and said he would take further action if this was not remedied in 14 days. Griffin said the companies are advertising in Arkansas. Jeff LeMaster a representative for the Attorney General said: "language on both of the companies' websites" is what concerns them. He wants both companies to assuage the AGS concerns in writing.

Arkansas Attorney General sends cease and desist letters to pro-choice organizations

Arkansas AG Tim Griffin says two organizations are shipping abortion pills to Arkansas and advertising in the state.

Attorney General Griffin announces cybersecurity summit in October

by Talk Business & Politics staff (staff2@talkbusiness.net)

Attorney General Tim Griffin announced Tuesday (May 21) that he will host a Cybersecurity Summit October 7-8, 2024, at the Statehouse Convention Center in Little Rock at no cost to attendees.

The summit will feature the Director of the federal Cybersecurity and Infrastructure Security Agency (CISA), Jen Easterly, as the keynote speaker.

“While there will be plenty of Arkansas-specific concerns addressed, this much-needed summit will have national and international appeal as we bring in top experts in the field of cybersecurity. I am particularly thrilled that Jen Easterly, Director of CISA, will serve as our keynote speaker. I’ve known Jen for a long time, and there is no one in government more knowledgeable than her on the topic of cybersecurity,” Griffin said.

AG Griffin announces cybersecurity summit in October

Attorney General Tim Griffin announces $104,246 settlement with wireless carriers over deceptive and misleading advertising practices

LITTLE ROCK – Attorney General Tim Griffin issued the following statement announcing Arkansas will receive $104,246.46 as part of a $10.25 million, 50-jurisdiction settlement with AT&T, Cricket Wireless, T-Mobile USA, Verizon Wireless, and TracFone Wireless resolving state attorneys general investigations into the wireless carriers’ deceptive and misleading advertising practices:

“Cell phones are important to the daily lives of Arkansans, and it is imperative that wireless companies are straightforward and honest in their advertising practices. Consumer protection is a core mission of my office, and it remains one of my top priorities. I want to thank my Public Protection Division for its work on securing this settlement, especially Deputy Attorney General Chuck Harder and Assistant Attorney General Matthew Ford.”

In the settlement, Arkansas will receive $49,017.04 from T-Mobile USA, $30,125.14 from Verizon Wireless, and $25,104.28 from AT&T.

Under the terms of the settlement, wireless carriers will be required to:

• Ensure that all future advertisements and representations are truthful, accurate, and not misleading;

• Refer in marketing to “unlimited” mobile data plans only when such plans do not set any numerical limits on the quantity of data allowed during a billing cycle and clearly and conspicuously disclose any restrictions on data speed, as well as the triggers of such restrictions;

• Offer to pay for consumers to “switch” carriers only when they clearly and conspicuously disclose the type of fees and amounts that they will pay consumers, the form and schedule that such payment will take, and all material requirements that consumers must satisfy in order to qualify for and receive such payment;

• Offer wireless devices or services for “free” or similar terms only when they disclose clearly and conspicuously all material terms and conditions that the consumer must meet in order to receive the “free” devices or services;

• Make offers to lease wireless devices only when the company makes clear that the consumer will be entering into a lease agreement;

• Make representations that a consumer will save money by purchasing its products or services only when it has a reasonable basis to do so based on comparisons with the prices of comparable goods or services of other providers, or where any material differences between those goods or services are clearly and conspicuously disclosed;

• Appoint a dedicated employee to work with the attorneys general to address ordinary complaints filed by consumers; and

• Train its customer service representatives who speak with consumers to comply with these terms and implement and enforce a program to ensure compliance with these terms.

To read the settlement with AT&T and Cricket Wireless, click here.

To read the settlement with T-Mobile USA, click here.

To read the settlement with Verizon Wireless and TracFone Wireless, click here.

Pulaski County Circuit Court grants Attorney General's motion, dismisses blogger's lawsuit against Governor

LITTLE ROCK – Following the dismissal of attorney and blogger Matt Campbell’s lawsuit against Governor Sarah Huckabee Sanders today by the Pulaski County Circuit Court, Attorney General Tim Griffin issued the following statement:

“This was the proper outcome for this baseless case after Mr. Campbell failed to serve process within 120 days of filing the complaint—the second time this year he has had a case dismissed for failure to serve process. It’s unfortunate that cases like this waste taxpayer dollars and clog up our judicial system.”

Campbell sued Governor Sanders last year over alleged violations of Arkansas’s Freedom of Information Act. A Pulaski County Circuit Court judge today granted a motion to dismiss made by the Office of the Attorney General, which was defending Governor Sanders in the case.

To read the judge’s order granting the motion to dismiss, click here.

For a printer-friendly version, click here.

Attorneys General Griffin and Bailey file Title IX suit on behalf of six states alongside Arkansas high school athlete

LITTLE ROCK – Attorney General Tim Griffin and Missouri Attorney General Andrew Bailey today issued the following statements after filing suit in the U.S. District Court for the Eastern District of Missouri on behalf of four other state attorneys general alongside an Arkansas high school athlete against the U.S. Department of Education over its new rule interpreting Title IX:

“The overwhelming majority of Americans see the Biden administration’s rule change for what it is: a ridiculous, nonsensical and illegal election-year move that few can comprehend or support. It’s outrageous.

“Congress enacted Title IX to protect and promote opportunities for women and girls in education and sports. For the last half century, that’s what it has done. But President Biden and his Department of Education now want to radically reinterpret Title IX and recast it as a rule about gender identity.

“The rule we’re challenging today requires schools and universities to allow men onto women and girls’ sports teams. It robs young female athletes of opportunities. It forces schools and universities to allow men into women and girls locker rooms, restrooms, and shower facilities. It compels teachers, administrators, and even fellow students to use an individual’s preferred pronouns. And it subjects anyone who disagrees with President Biden’s view of sex to investigation and possible sanction.

“That contravenes Title IX’s plain language, and it violates the Constitution. That’s why we’re challenging it, and it’s also why we’re confident the federal courts will set aside this unlawful regulation. I am proud to stand with my fellow attorneys general and one of my constituents against President Biden’s latest attempt to push forward by fiat what Congress never passed into law and to defend the laws we’ve passed in Arkansas to protect female athletes.”

Attorney General Bailey added:

“Joe Biden is once again exceeding his constitutional authority, this time to put a radical transgender ideology ahead of the safety of women and girls. As the father of a young daughter, I take this personally. The Biden Administration has threatened to hold federal funding hostage from any institution who rejects this unconstitutional and sexist rule. I’m filing suit because I will not allow federal bureaucrats to subject Missouri girls to unsafe conditions in order to push a radical transgender ideology.”

The suit, filed by the attorneys general of Arkansas, Missouri, Iowa, Nebraska, North Dakota, South Dakota, and an Arkansas high school athlete asks the court to stay the rule; grant a preliminary injunction preventing the rule’s implementation; enter a judgment that the Department of Education’s interpretation is unlawful; and vacate the rule.

The lawsuit can be read here.

AG sues over Biden Administration efforts to close ‘gun show loophole’

KUAR | By Daniel Breen

Arkansas’ attorney general is heading up a legal challenge to the Biden Administration’s attempt to close what’s known as the “gun show loophole.”

Attorney General Tim Griffin announced Wednesday he’s leading a coalition of 20 other state attorneys general in a lawsuit challenging a new rule proposed by the Bureau of Alcohol, Tobacco, Firearms and Explosives. The rule would require thousands more firearm dealers to obtain licenses and run background checks on potential buyers.

In a press conference Wednesday, Griffin said the Biden Administration overstepped its authority in making the rule.

AG sues over Biden Administration efforts to close ‘gun show loophole’

John Sykes/Arkansas Advocate

Efforts by the federal government to close the so-called “gun show loophole” are the target of a lawsuit by Arkansas Attorney General Tim Griffin.

AG Griffin says ATF should release Malinowski body cam footage

by Roby Brock (roby@talkbusiness.net)

Attorney General Tim Griffin said the government footage from a Bureau of Alcohol, Tobacco, Firearms and Explosives [ATF] raid on the home of Little Rock Airport Director Bryan Malinowski should be released immediately. Malinowski died in a shootout with authorities.

Appearing on Talk Business & Politics and Capitol View this Sunday (April 14), the state’s top law enforcement and legal officer said he has been troubled by the few facts that have come out so far on the high-profile raid that took place on March 19.

“As someone who couldn’t be a bigger law enforcement supporter, when our government acts in a particular way that raises questions, we have an obligation to say [something]… My understanding, having looked at the ATF rules is that they generally require a body cam when there’s a preplanned raid, right? Why? Well, because information from a camera helps fill the vacuum of conspiracy and all this other stuff. So record it with a body cam that’s required and then there’s policy that it shall be released as soon as possible,” Griffin said.

Arkansas AG claims purchasing laws do not apply to governor, days before release of lectern audit

KUAR | By Tess Vrbin / Arkansas Advocate

Arkansas Attorney General Tim Griffin released an opinion Wednesday, at Gov. Sarah Huckabee Sanders’ request, declaring that certain executive branch officials such as the governor are not subject to certain laws that regulate purchases by government entities.

Sanders’ request and Griffin’s response came just days before lawmakers are expected to release the results of Arkansas Legislative Audit’s investigation into the controversial purchase of a $19,000 lectern last year by Sanders’ office.

Lawmakers authorized the audit in October into both the lectern purchase and “all matters… made confidential” by Act 7 of 2023, which exempted records related to the governor’s security from the state Freedom of Information Act.

Arkansas AG claims purchasing laws do not apply to governor, days before release of lectern audit

John Sykes/Arkansas Advocate

Arkansas Attorney General Tim Griffin, left, gestures during a news conference at the Arkansas Capitol.

Attorney General Griffin calls on Congress to affirm State's authority to ban or regulate intoxicating and dangerous Delta THC products

“Arkansas has banned Delta THC products, but inconsistent court interpretations of certain provisions within the federal Farm Bill have led to challenges in Arkansas and many other states across the country. Meanwhile, these harmful products are available in convenience stores with no age restrictions for purchasing them. They’re often packaged to look like candy or mimic popular snack-food brands, so of course they are getting into the hands of children.

“This easy access and use of enticing packaging has led to more minors ingesting these unregulated and dangerous products, leading to seizures, loss of consciousness, and even death. That’s why Congress needs to create uniformity in the next five-year Farm Bill reauthorization and make clear that states have full authority to regulate and even ban these types of products.

“I am grateful to Indiana Attorney General Todd Rokita for co-leading this letter with me and to the full bipartisan group of attorneys general who signed on. Protecting our children has to be our highest priority regardless of party affiliation.”

The 2018 Farm Bill reintroduced hemp as an agricultural commodity while maintaining federal prohibitions on cannabis products. However, bad actors have exploited the 2018 Farm Bill’s definition of hemp to introduce products that are intoxicating and are harming children.

Griffin and Rokita were joined by the attorneys general of California, Colorado, Connecticut, the District of Columbia, Georgia, Hawaii, Iowa, Kansas, Maryland, Minnesota, Missouri, North Carolina, North Dakota, Oregon, Pennsylvania, South Dakota, Tennessee, Virginia and Washington.

To read the letter, click here.

For a printer-friendly version, click here.

Attorney General Griffin announces investigation of Change Healthcare, Inc., a unit of UnitedHealth Group, following cyberattack

LITTLE ROCK – Attorney General Tim Griffin today issued the following statement announcing that his office is initiating an investigation of Change Healthcare, Inc., a unit of UnitedHealth Group, under the Arkansas Personal Information Protection Act and the Arkansas Deceptive Trade Practices Act in light of a February cyberattack:

“I am initiating an investigation into Change Healthcare, Inc., a unit of UnitedHealth Group, to determine whether the confidential medical information of Arkansans was compromised in the late February cyberattack against Change Healthcare and whether any laws were violated. Additionally, my office will look into whether Change Healthcare used reasonable security procedures and practices to protect this information as required by Arkansas law.

“Protecting Arkansans’ personal information and holding organizations accountable for data breaches are two of my responsibilities under Arkansas law.”

The ransomware attack has disrupted billing and healthcare information systems across the country and has threatened hospitals’ ability to care for patients and pay physicians. Earlier this month, the U.S. Department of Health & Human Services announced that it will investigate the cyberattack, citing its “unprecedented magnitude.”

For a printer-friendly version, click here.

Attorney General Tim Griffin rejects tobacco tax initiative on first try

KUAR | By Josie Lenora

A ballot initiative to remove the “additional excise taxes” on tobacco products has failed on its first try. Arkansas Attorney General Tim Griffin felt the simple ballot initiative was too vague and lacked language clarifying what it would mean. The initiative was put forward by Libertarian activist David E. Dinwiddie of Pine Bluff.

The initiative appears to only remove taxes that the legislature has tacked on since the Tobacco Products Act of 1977, although Griffin said its wording on this could be misinterpreted.

The Tobacco Products Act of 1977 put a $10.50 tax on every 1,000 cigarettes sold. It also put a tax on cigars that was “not to exceed” 50 cents. Since then, the legislature has added more tobacco taxes. The Arkansas Department of Finance and Administration says the rate on tobacco products now is: “$57.50 per 1000 cigarettes or $11.50 per carton or $1.15 per pack.”

Attorney General Tim Griffin rejects tobacco tax initiative on first try

Arkansas attorney general rejects first draft of direct democracy initiative

KUAR | By Hunter Field / Arkansas Advocate

Arkansas’ attorney general has rejected the first version of a proposed constitutional amendment intended to improve the state’s ballot initiative process, but sponsors plan to resubmit.

The text of the measure — which would change parts of the initiative process that have frustrated ballot groups, including ballot title review and signature verification, as well as bar the state Legislature from making changes to initiated amendments or ballot initiative requirements — has a “key ambiguity,” according to Arkansas Attorney General Tim Griffin.

Griffin in a letter dated Feb. 20 declined to certify the measure’s ballot language, saying the proposed amendment was unclear about how and if future initiatives could be challenged at the Arkansas Supreme Court.
Arkansas attorney general rejects first draft of direct democracy initiative

Eva Bee/Getty Images/Ikon Images

Arkansas attorney general to appeal rulings in Board of Corrections disputes

KUAR | By Hunter Field / Arkansas Advocate

From the Arkansas Advocate:

Arkansas’ attorney general on Tuesday filed notices that he plans to appeal both circuit court rulings that favored the state prison board over the state in recent legal disputes.

AG Tim Griffin’s coming appeals to the Arkansas Supreme Court mean the state’s highest court could, for the first time, rule on the reach of the constitutional provision that gives some independence to the Arkansas Board of Corrections as well as the state’s colleges and universities.

The Supreme Court will also be asked to decide whether the board had authority to hire its own outside attorney to file a lawsuit against Gov. Sarah Huckabee Sanders and defend it from Griffin’s lawsuit against the board.

Arkansas attorney general to appeal rulings in Board of Corrections disputes

Antoinette Grajeda/Arkansas Advocate

The Pulaski County Courthouse.

Attorney General Griffin Reminds Arkansans of election integrity unit ahead of early voting starting February 20

LITTLE ROCK – Attorney General Tim Griffin today issued the following statement regarding his office’s Election Integrity Unit ahead of the start of early voting for the 2024 preferential primary election and nonpartisan general election:

“The public’s confidence in government is directly tied to the public’s confidence in our elections. Election integrity has always been a priority for me throughout my time in public service. I established the Election Integrity Unit last year to ensure the people of Arkansas have an outlet to submit complaints and ensure that all credible leads are investigated.

“Thanks to the legislature’s work last year, my office now has the authority to bring a civil cause of action against those who violate our election laws. This is an important tool to ensure that our laws are followed as monetary damages can be an effective deterrent.”

Griffin established the Election Integrity Unit (EIU) under his office’s Special Investigations Division in March 2023 with Chief Wayne Bewley serving as the unit’s director. In April, Act 544 of 2023 was signed into law. The Act codified the EIU and permitted the Office of the Attorney General to file civil suits for election-related offenses.

Griffin reminds Arkansans who may wish to file a complaint concerning potential election law violations to contact his office’s Election Law Hotline at (833) 995-8683.

Attorney General Tim Griffin leads 23-State Coalition opposing SEC investor database not authorized by Congress

Attorney General Tim Griffin

LITTLE ROCK – Attorney General Tim Griffin today issued the following statement after filing an amicus brief on behalf of 23 state attorneys general with the United States Court of Appeals for the Eleventh Circuit opposing the Consolidated Audit Trail (CAT) adopted by the United States Securities and Exchange Commission (SEC)—a database of personal information about each American involved in stock trading, including those owning 401(k)s:

“The SEC wants Americans to believe that it’s capable of securing a massive new database containing personal information about every single person who has a 401(k) or buys stock. But the SEC has a long history of failing to secure its computer systems. Indeed, just this year, its X (formerly Twitter) account was hacked, creating market chaos. That’s why I led a group of 23 attorneys general in filing an amicus brief supporting a challenge to that database, which Congress never authorized.”

Created in the wake of the 2010 “flash crash” caused by algorithmic trading decisions, CAT houses personal information about every retail investor and contains real-time information about their investment decisions. The SEC claims CAT will better enable it to reconstruct and analyze events like the flash crash.

CAT gives thousands of authorized government employees—and an unknown number of hackers across the globe—access to real-time information about every investor and investment decision. And, as the SEC has mandated that the CAT must contain personally identifiable information of every American investor who buys or sells stock, it has created a repository of information that is economically valuable to hackers and strategically valuable to America’s foreign adversaries.

Other states joining Arkansas in the amicus brief include Alabama, Florida, Georgia, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Mississippi, Missouri, Montana, Nebraska, New Hampshire, North Dakota, Ohio, South Carolina, South Dakota, Texas, Utah, Virginia, and West Virginia.

To read Griffin’s filing, click here.

To download a pdf of the release, click here.