A.W. "Dub" Riter

A.W. Riter

A.W. "Dub" Riter

Vital Stats

Campaign Contributions:

-Bush: $117,000

Years as Regent:

February 1997-February 2003

Residency: Tyler, Texas

A Bush appointee and member of the UTIMCO board, Riter is a lifetime banker and 49 percent partner in Pinstripe Investments. He served as a member of the board of directors of TCP Cable TV, Inc., until their merger with Cox Communications in 1999. He still enjoys his large investments in Cox Communications and appreciates UTIMCO using public money to fund this Texas-based media giant, a company on the cutting-edge of homogenized and monopolized media worldwide.

Riter donated $7,000 to Bush’s gubernatorial campaign, but he became a "Pioneer" during the 2000 presidential elections by raising over $100,000 for Bush’s campaign. He also gave $5,000 to the Bush recount fund. Another millionaire good ol' boy, he sits with several other regents on the Governor's Business Council. He has also served on the Governor's Business Council Charter School Task Force, created by George W. Bush, with regents Woody Hunt and Charles Miller to promote charter schools. While charter schools typically have bad reputations with people outside of the pro-privatization, pro-business ring, Riter is one of the current regents who continues to push an agenda with their regental position. And as for higher education, Riter has little to offer.

TGF

The Texas Growth Fund (TGF) was established in 1987 and adopted by a constitutional amendment the following year. In essence, it acts much like UTIMCO: it was a creation of the state and handles public money but invests in the private sector. The Employees Retirement System (ERS), the Teachers Retirement System (TRS), the Permanent School Fund (PSF), the Permanent University Fund (PUF), and all other state pension funds are authorized to invest up to 1 percent of the book value of their assets in the TGF.1 As of December 31, 2002, the combined market value and book value of the PUF’s investment in the Texas Growth Funds were $3,355,429 and $8,526,748, respectively.2 Riter currently sits on the board of trustees for the TGF since the Board of Regents elects one member to serve on it. Scott Caven also has personal connection with the fund since he was its founding chairman and stayed there for 10 years, between 1989 and 1999.

The TGF is based in Austin, Texas and manages three private equity funds with committed capital in excess of $575 million.3 The TGF has been set up to invest mostly in large Texas businesses while looking to buy out small and middle market companies.4 In August of 1999, Four Corners Capital Partners LLC announced its "strategic alliance" with the TGF to offer its advising to the fund.5 However, three of the four partners of the Dallas-based firm had substantial experience with Arthur Andersen, which is now famous for its role in the collapse of the two largest bankruptcies in US history, Enron and WorldCom, and has had numerous lawsuits filed against it (Peregrine Systems, for example). In December of 2000, the TGF earned an estimated $42,000 from insider trading. It sold 22,342 stock shares of Classic Communications less than a year before the company went bankrupt. Big businesses have been searching for large UTIMCO investments to boost their portfolio, and since 1989 they've had another way to get large investments through taxpayer dollars. That opportunity comes from the TGF, advised by those with questionable experience and rife with personal business connections that have more to do with routing money to friends in big business than acting in public interest.

Bibliography

Board and Executive Positions

Pinstripe Managements Co., L.C.:
General Partner

Pinstripe Investments:
Managing Partner

Executive Committee of the Chancellor's Council of The University of Texas System:
Member

A.W. Riter, Jr. Ltd:
General Partner

The A.W. Jr. and B.J. Riter Charitable Remainder Trust:
Trustee

A.W. Riter, Jr. Family Foundation:
President and Trustee

Jolly Green Investment Club:
General Partner

The University of Texas Health Center at Tyler:
Chairman, Development Board

East Texas Communities Foundation:
Board Member

East Texas Medical Center Regional Health Care System:
Board Member

Regional East Texas Food Bank:
Board Member

Salvation Army:
Advisory Board Member

Tyler Area Chamber of Commerce:
Past President and currently Advisory Board Member

The Fair Foundation:
Board Member

East Texas Mental Health Association:
Board Member

Governor's Business Council:
Member

Junior Achievement of Tyler:
Advisory Board Member

TISD Foundation:
Board Member

Tyler Rose Museum, Inc.:
Board Member

Tyler Jr. College Foundation:
Board Member

East Texas State Fair Association:
Vice President and Board Member

United Way of Tyler/Smith County:
Board Member

University of Texas Investment Management Co. (UTIMCO):
Chairman of the Board

UTIMCO Audit and Ethics Committee:
Chairman

Texas Growth Fund Management Corp.:
Director

Texas Taxpayers & Research Association:
Director