BlackRock Gets Legal Warning Over ESG Funds From Mississippi (1)

BlackRock Inc. faces the prospect of being barred from offering securities in Mississippi after state officials accused the investment firm of making “fraudulent” statements regarding its climate strategy.

This marks at least the second time BlackRock has faced legal action from a Republican-led state over environmental, social and governance factors, joining Tennessee.

Mississippi Secretary of State Michael Watson issued an administrative “cease and desist” order released on Wednesday to the world’s largest money manager. In a 33-page document, Watson alleges that BlackRock is misleading investors in its funds about the firm’s climate-related efforts.

“Many of BlackRock’s acts, practices and courses ...