Currently, about 9 percent - or $270 billion - of America's $3 trillion public pension fund assets are invested in private equity firms. With the financial industry's standard 2 percent management fee, that quarter-trillion dollars generates roughly $5.4 billion in annual management fees for the private equity industry - and that's not including additional performance" fees paid on investment returns. Public officials are overseeing this enormous payout to Wall Street at the very moment many of those same officials are demanding big cuts to retirees' promised pension benefits. "With billions of public worker and taxpayer dollars put at risk in the highest-cost, most opaque investment schemes ever devised by Wall Street for a decade now, investigations that hold Wall Street profiteers accountable are long, long overdue," said former Securities and Exchange Commission attorney Ted Siedle. In a 2014 speech, the SEC's top examiner, Andrew Bowden, sounded the alarm about undisclosed fees in the private equity industry, saying the agency had discovered "violations of law or material weaknesses in controls over 50 percent of the time" at firms it had evaluated. To date, however, the SEC has taken few actions to crack down on the practices, but some states are starting to step up their oversight.