The $15.7bn Los Angeles City Employees Retirement System (LACERS) scrapped an ongoing search for a private equity consultant, with a member of the board expressing no confidence in the incumbent consultant and accusing the firm of inflating its recent performance numbers.

The LACERS board intended to choose between incumbent Portfolio Advisors over TorreyCove Capital Partners in its search for a private equity consultant after a final review of performance information from both firms. But instead of choosing a new consultant, the board canceled its RFP and decided to begin anew after board members expressed a lack of confidence in either finalist or the RFP process.

CIO Rodney June was prepared to recommend Portfolio Advisors based on “stronger relative performance” for the years 2005 to 2013, according to the meeting agenda. But board member Nilza Serrano expressed no confidence in Portfolio’s numbers, saying that the firm had misled the board by excluding a major client, the Pennsylvania Public Schools Employees Retirement System, from its performance results.

Full story: LACERS scraps PE consultant search, accuses incumbent of fudging numbers

Published by Money Management Report