Despite Federal Nomination, Raimondo Continues to be Marketed by Point Judith Capital

Monday, January 25, 2021

GoLocalProv News Team

Rhode Island Governor Gina Raimondo may be President Joe Biden’s nominee to serve as the U.S. Secretary of Commerce, but her venture capital firm continues to market her as a member of “our team.”

Raimondo has refused to answer press questions over the past two weeks — refusing to answer questions about the coronavirus, the failed vaccine rollout or questions about any other issue. Not surprising, she is refusing to answer her relationship with Point Judith.

Over the past ten years while Raimondo served as Rhode Island's General Treasurer and Governor, the state had an investment in the venture firm that she helped found with Steve Griffin, Bernie Buonanno and Brendan VanDeventer and others in 2001.

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Recently, VanDeveter, Brad Faxon and three other partners had purchased Metacomet Golf Club with the promise to restore the storied Donald Ross-designed golf course, but instead flipped it to Marshall Development at a massive profit.

Point Judith was a quagmire of an investment that performed poorly against the market and now the state has finally exited.

 

Marketing Access

Point Judith, now branded as PJC, did not respond to questions about the marketing of Raimondo to give the firm credibility and to communicate access to high ranking government officials.

On the venture firm's website adjacent to the top managers’ photos including Raimondo reads, “We are a team of former founders, builders, number-crunchers, spreadsheet masters, merger and acquisitions experts, operators, and financial analysts.”

The marketing of Raimondo was unveiled by GoLocal in 2020, and the continued promotion of her being a part of "OUR TEAM" by Point Judith Capital continues to raise concerns.

In 2020, Raimondo critic and Wall Street's biggest whistleblower Ted Siedle criticized Raimondo’s close ties to the firm while serving as Governor. “The leading form of marketing for a venture capital firm or private equity firm is their website,” Siedle, a columnist for Forbes, told GoLocal. 

“It raises ethical and federal securities issues. What is an investor to believe about the firm and Raimondo’s involvement?" questioned Siedle.

 

RI Exits Investment

GoLocal secured copies of communication between Rhode Island officials and PJC through an Access to Public Records Act Request. In those documents, PJC managing partner David Martirano, a close ally of Raimondo who she appointed to the governing body that oversees the University of Rhode Island, states that the state's investment delivered an internal rate of return of 5.11%. The investment in Point Judith was made in 2006, the Dow Jones was at 11,400 and today is at just under 31,000 -- a 171% increase.

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