HARRISBURG, Pa. — Pennsylvania’s major party U.S. Senate candidates are duking it out over fentanyl.
Democratic Senator Bob Casey released an ad early this month, taking aim at Republican Senate Nominee Dave McCormick’s time as CEO of Bridgewater Associates.
“As CEO of Wallstreet’s largest hedge fund, McCormick invested millions in China’s biggest fentanyl producer.”
So, let’s Verify using these sources.
The ad references a report published by The Keystone in July and centers around Bridgewater Associates’ investments in a Chinese company called Humanwell Healthcare Group.
A 2021 report from research institute RAND Corporation shows Humanwell Healthcare controls “90 percent of the domestic market” of China’s legal fentanyl production, saying the drug is “used in medical applications.”
Bridgewater Associates’ tax filings with the IRS and Department of Labor show that seven of the company’s hedge funds invested a total of close to $1.7 million in Humanwell Healthcare in 2021, while McCormick was CEO.
McCormick told the American Enterprise last year, “I was the CEO, so whatever we did I’m responsible for.”
So, this claim is true.
In response, McCormick released this ad.
“I never made any investments in the makers of illegal fentanyl, ever.”
This claim is also true but does not address the claim made in the Casey ad.
Bridgwater Associates’ investments under McCormick were in a Chinese company legally producing fentanyl for medical purposes.
However, it’s difficult to determine if any Humanwell-made fentanyl is entering the United States or if Bridgewater’s investments helped produce drugs that later entered the country.
The RAND report says, “It is difficult to analytically separate the legitimate chemical and pharmaceutical business from rogue groups of individuals working within the business to manufacture and trade synthetic opioids and precursor chemicals.”
Dave McCormick released the following statement in response to the recent ads:
“With his ad, Bob Casey has put his own hypocrisy and lies on display, and it's proof of why Pennsylvanians are so tired of career politicians. Casey has had 18 years to secure our border and prevent fentanyl from killing 100,000 Americans last year alone—under his weakness, this crisis has worsened beyond imagination.”
This week, McCormick released another ad.
“The Philadelphia Inquirer says Casey personally owns stock in the same Chinese fentanyl producer he attacked McCormick for.”
Senator Casey’s personal financial disclosures include a 529 savings plan with $15,000 -$50,000 invested in a Massachusetts College mutual fund, whose investment strategies Casey does not have control over.
That fund is partially invested in an index fund called Fidelity Series Global, 0.001% of which is Humanwell Healthcare stock.
That means Casey’s investment is valued at between 1/8th of a cent and three cents.
But in its investment guide, Fidelity Investments says, “Note that mutual fund investors do not actually own the securities in which the fund invests; they only own shares in the fund itself.”
So, while he does have an indirect investment in Humanwell, we can Verify, the statement he personally owns the stock is false.