Settlements Offered In NM Pay To Play Case

Apr 19, 2013

The State Investment Council would receive approximately $525,000 in settlements with several financial investment agents if a judge agrees to dismiss allegations of a pay-to-play scheme.

The Albuquerque Journal reports thee placement agents and their firms would pay amounts ranging up to $300,000. Two other agents wouldn't have to pay any money.

Under the settlements, the agents agreed to testify in claims alleging that investments were steered to political supporters of former Gov. Bill Richardson.

Those defendants include former State Investment Officer Gary Bland, Richardson political associate Anthony and his son, investment broker Marc Correra.

The state lost its investments in mortgage securities when values dropped sharply because of a credit crisis and financial market meltdown.

No criminal charges have been filed, and Richardson and others have denied wrongdoing.

Copyright 2013 The Associated Press.