A US government watchdog has asked lawmakers to investigate whether billionaire investor Carl Icahn should have been subjected to disclosure laws when he advised President Donald Trump on overhauling the country’s biofuels programme.
Public Citizen allege Icahn Enterprises, CVR Energy and their related affiliates are in violation of the Lobbying Disclosure Act of 1995 (LDA), according to a complaint filed with Congress
The complaint says there is no record of either entities’ past or current compliance with the LDA.
Carl Icahn serves as chairman of the board of Icahn Enterprises and CVR Energy, Inc. He controls 90 percent of Icahn Enterprises’ depositary shares, and Icahn Enterprises in turn owns 82 percent of CVR.
Icahn Enterprises is a holding company engaged in an array of industries, including energy, investment, automotive, railcars, gaming, metals, mining, food packaging, real estate and home fashion.
Last month then President-elect Donald Trump named Icahn special adviser to the president on regulatory reform.
Reports have detailed Icahn’s advocacy within the Trump administration to make changes to the existing Renewable Fuel Standard (RFS).
Reports also suggest that Trump may issue an executive order making significant changes to the credit structure of the RFS, which is administered by the US Environmental Protection Agency (EPA).
The changes would shift responsibility for blending ethanol and biodiesel from companies like Icahn’s CVR Energy oil refiners to wholesale gasoline distributors.
CVR’s compliance cost with the current RFS cost the company more than $200 million in purchasing needed credits last year alone.
Icahn has said that the change would benefit not just his company, but the entire refining industry.
The White House has said it is reviewing Icahn’s proposal and has not yet taken a position.