TRENTON, NJ, 02/02/2026 — CAIR Action NJstrongly condemns the New Jersey Division of Investment’s decision to reinvest $15 million out of a $20 million allocation of public pension funds into Israeli bonds, as well as the State of New Jersey’s continued $144 million investment in Palantir Technologies—despite sustained and vocal opposition from New Jersey residents, workers, and multiple advocacy organizations.
During Wednesday’s annual state investment meeting, the Division’s Director Shoaib Khan confirmed that $15 million of the $20 million pension fund allocation was reinvested into Israeli bonds. In an attempt to justify the decision, Khan stated, “As background, the investment grade portfolio has held Israeli bonds in its portfolio since the early 1990s.” He further added, “The Israeli bonds portfolio is in the benchmark index as well.”
Khan explained that at time of the State Investment Council’s October 2025 meeting, the Division held two Israeli bonds: a $20 million note maturing in November 2025 and a $10.1 million note maturing in January 2028. He stated that in December 2025, the Division reinvested $15 million of the proceeds from the $20 million bond into new Israeli bonds maturing in December 2030.
According to Khan, “The decision to reinvest in Israeli bonds was made after careful analysis by the Division’s fixed income group, which determined that from a credit fundamental and evaluation perspective, the yields of the bonds were superior to other offerings with similar credit ratings.”
Immediately following Khan’s remarks, State Investment Council (SIC) Vice Chair Adam Liebtag expressed serious reservations, emphasizing that the decision was made without consultation with the full Council or its committees. Liebtag stated:
“I have reservations about the decision and given the very small size of this investment relative to the entire portfolio, I didn’t see the urgency to make this decision without further consultation and discussion amongst the members of the council, the ESG committee and the IPC. I think at worst you should have waited until there was further discussion. The division could have presented its rationale for doing this to a broader group before executing its decision. I would like to use this to improve the process going forward.”
Liebtag’s comments underscored that none of the relevant oversight bodies—including the ESG Committee or the Investment Policy Committee—were consulted, and that the reinvestment proceeded without adequate ethical or fiduciary consideration.
SIC member Thomas Bruno concurred with Liebtag’s concerns, expressing disappointment and rejecting the characterization of the reinvestment as routine. Bruno stated:
“I concur with what Adam said. I’m disappointed myself. I understand what the division is claiming to be a routine matter; with regards to how they made this decision, but frankly this wasn’t a routine matter. This wasn’t a normal bond, this was a bond that had a hell of a lot of political convolutions, if you will, applied to them. So probably should have been brought to somebody, either the whole council or the ESG, somebody should have been reviewing it."
CAIR Action NJ notes that these internal objections mirror the concerns repeatedly raised by New Jersey community members. Community members have repeatedly and unequivocally opposed the reinvestment in Israeli bonds—citing gross human rights violations and the ongoing genocide in Gaza. At the same meeting, numerous citizens delivered testimony opposing the state’s $144 million investment in Palantir Technologies, a surveillance company widely criticized for its role in mass surveillance and human rights abuses. Palantir’s inhumane surveillance practices, which have directly enabled ICE to track, violently target, and detain community members, with brutal raids and detentions escalating in recent weeks. Testifiers called on New Jersey to divest from Palantir and redirect public funds toward ethical and accountable investments.
“These decisions demonstrate a disturbing disregard for public testimony and internal governance alike,” said CAIR Action NJ’s Senior Advisor Omayma Mansour. “When residents, pension holders, and even Council leadership are raising ethical and procedural red flags, reinvesting $15 million without transparency or oversight is unacceptable.”
CAIR Action NJ reiterates its call for:Immediate divestment from Israeli bonds and Palantir TechnologiesFull transparency in all the Division’s investment decisionsMandatory consultation with the State Investment Council, ESG Committee, and IPC before reinvesting public pension fundsNew Jersey pension holders deserve assurance that their retirement savings are not being used to support investments they believe are unethical, inhumane, or inconsistent with their values.
CAIR Action NJ is an affiliate of CAIR Action, a 501(c)(4) organization. Our mission is to engage, educate, and mobilize Muslim voters, train emerging leaders, and champion policy priorities that enhance the well-being and representation of Muslim communities.
ENDCONTACT:
Omayma Mansour Senior Advisor. CAIR Action NJ omansour@cairaction.org
CAIR Action Communications media@cairaction.org