Ex-pension Board Chairman Files Damage Lawsuit

New Mexico – SANTA FE, N.M. (KRWG) A former state pension governing board official has filed a lawsuit against financial firms and New Mexico's former state investment officer for damages because of an alleged pay-to-play scheme involving pension fund investments.

Bruce Malott, former chairman of the Educational Retirement Board, filed the lawsuit Tuesday in state district court in Santa Fe.

Malott said he brought the lawsuit to help clear his name and prove that he took no part in what he described as a conspiracy in which politically influenced investments generated fees for supporters and friends of former Gov. Bill Richardson.

Among the dozens of defendants is former state investment officer Gary Bland and Anthony Correra, a friend of Richardson.

Bland said the lawsuit is without merit and Malott is "trying to make a buck."

Copyright 2011 The Associated Press. KRWG