SALEM — A "bid-rigging" scheme dreamed up by a New York money manager bilked millions out of Oregon's pension program, state officials allege.
Instead of safeguarding the Public Employees Retirement System, investment manager Edward Shugrue III and his firms staged a series of phony debt auctions — enriching the CEO and his close associates — according to newly filed civil litigation.
kAm~C68@? pEE@C?6J v6?6C2= t==6? #@D6?3=F> D66<D >@C6 E92? S`_ >:==:@? :? 52>286D 7C@> $9F8CF6 2?5 E96 D>2== 7:?2?4:2= 4@>A2?J 96 =625D[ %2=>286[ 2D H6== 2D :ED DF3D:5:2C:6D]k^Am
kAm{2HJ6CD 7@C E96 dd\J62C\@=5 |2?92EE2?:E6 56?J E96 2==682E:@?D 2?5 A=2? E@ 7:=6 2 G:8@C@FD 277:C>2E:G6 5676?D6 =2E6C E9:D >@?E9] Q~C68@? >256 2 =@E @7 >@?6J @? E96D6 :?G6DE>6?ED[Q D2:5 2EE@C?6J z6? qC66?[ 42==:?8 9:D 4=:6?EVD 24E:@?D Q4@>A=6E6=J EC2?DA2C6?E]Qk^Am
kAm$9F8CF6 92D D:?46 a__c @G6CD66? 2 D=:46 @7 !t#$[ H9:49 4FCC6?E=J A2JD @FE D@>6 Sbh_ >:==:@? 2 >@?E9 E@ E96 DE2E6VD `db[___ C6E:C65 8@G6C?>6?E 6>A=@J66D]k^Am
kAmw6 =@DE E96 7F?5 D@>6 S`__ >:==:@? 5FC:?8 E96 a__g 7:?2?4:2= 4C:D:D[ 244@C5:?8 E@ AC6DD C6A@CED[ 3FE <6AE FA 9:D 4@?EC24ED 2?5[ 3J $6AE6>36C a_`a[ H2D 4@?EC@==:?8 D@>6 Scad >:==:@? :? !t#$ 42A:E2=[ A6C E96 DF:E] W%96 !t#$ 7F?5 :D H@CE9 ?62C=J Sg_ 3:==:@? :? E@E2=X]k^Am
kAmqJ a_`c[ $9F8CF6VD 4@>A2?J 2==6865=J 925 @?=J @?6 C6>2:?:?8 :?DE:EFE:@?2= :?G6DE@C — !t#$ — D@ E96 rt~ =2F?4965 2 ?6H :?G6DE>6?E 7F?5 E@ 5CF> FA S`__ >:==:@? 7C@> 7C6D9 4=:6?ED]k^Am
kAmpE %2=>286VD DF886DE:@?[ !t#$ 3642>6 @?6 @7 E9C66 2?49@C :?G6DE@CD :? E9:D ?6H 7F?5[ A6C E96 DF:E[ H9:49 E96? 2EEC24E65 2?@E96C Sdd >:==:@? 7C@> 2? F?:56?E:7:65 @G6CD62D :?DFC2?46 4@>A2?J 2?5 2 AC:G2E6 4@>A2?J A6?D:@?] %96D6 ?6H :?G6DE@CD 4@F=5 36 492C865 >F49 9:896C 766D E92? E96 _]d_T $9F8CF6VD 4@>A2?J 8@E 7C@> !t#$ 2??F2==J[ 244@C5:?8 E@ E96 =:E:82E:@?]k^Am
kAm%92E H96? E96 49:42?6CJ 3682?[ DE2E6 =2HJ6CD D2J]k^Am
kAmu:CDE[ $9F8CF6 D6?E 2 >6>@ E@ !t#$ D2J:?8 :E H@F=5 36 :? E96 A6?D:@?VD Q36DE :?E6C6DEQ E@ D6== E96 >@CE8286 @7 E96 A@D9 x?? @7 r9:428@ E@ 9:D ?6H :?G6DE>6?E 7F?5 2E d_T @7 :ED 7246 G2=F6[ 244@C5:?8 E@ E96 =:E:82E:@?] %2=>286[ E96 DE2E6 2EE@C?6JD D2J[ 925 8@EE6? 2 A66< 2E E96 9@E6=VD 3@@<D[ 2?5 E96C67@C6 <?6H :ED ECF6 G2=F6[ 3642FD6 E96J H6C6 D6CG:4:?8 E96 >@CE8286 E9C@F89 2 D:56 562=]k^Am
kAmqFE E96 >@CE8286[ H9:49 925 366? DA=:E :?E@ E9C66 4@==2E6C2=:K65 563E @3=:82E:@?D <?@H? 2D rs~D[ H2D 4@?EC24EF2==J C6BF:C65 E@ 36 2F4E:@?65 @77[ ?@E D@=5[ A6C E96 DF:E]k^Am
kAmQ%2=>286 >:D=65 E96 rs~ ECFDE66 E@ 4@?G:?46 :E E92E WE96 :?G6DE>6?E 7F?5X 925 H@? 2 4@>A6E:E:G6 2F4E:@? AC@46DD H96?[ :? C62=:EJ[ ?@?6 925 @44FCC65[Q 244@C5:?8 E@ E96 =2HDF:E] Q%2=>286 D:>A=J 723C:42E65 4@>A6E:?8 3:5D]Qk^Am
kAm%96 ECFDE66 8@E H:D6 2?5 2D<65 7@C AC@@7 @7 E96 4@>A6E:?8 3:5D 7@C E96 E9:C5 2?5 7:?2= 2F4E:@?[ D@ $9F8CF6VD 6>A=@J66D 42==65 FA EH@ F?:56?E:7:65 (2== $EC66E 7:C>D 2?5 2D<65 E96> E@ DF3>:E =@H\32== ?F>36CD[ E96 DF:E D2JD]k^Am
kAmQx H@?VE 9:E J@F @? E9:D[ 3FE x ?665 2 3:5[Q 2 %2=>286 C6A E@=5 @?6 @7 E96 EC256CD[ E96 DF:E 2==686D]k^Am
kAmp7E6C H:??:?8 E96 E9:C5 2F4E:@?[ $9F8CF6VD ?6H :?G6DE>6?E 7F?5 D@=5 E96 >@CE8286 2E 2 QC62=[ 3@?2 7:56 4@>A6E:E:G6 2F4E:@?Q 7@C g_T @7 :ED G2=F6 — ?6EE:?8 S`g >:==:@? :? AC@7:E[ A6C E96 DF:E]k^Am
kAmpD 2? :?G6DE@C H:E9 2 ecT DE2<6 :? E96 7F?5[ !t#$ DE@@5 E@ 82:? C@F89=J S`` >:==:@?[ 3FE $9F8CF6 E96? D6?E @FE 2 =6EE6C E@ Q7C:6?5D 2?5 72>:=JQ :?G6DE@CD[ @776C:?8 E96> 2 492?46 E@ 3FJ :? 367@C6 E96 562= H6?E E9C@F89[ E96 =:E:82E:@? 2==686D]k^Am
kAm%92E 3@=DE6C65 E96 :?G6DE>6?E 7F?5 3J Saf >:==:@? — :?4=F5:?8 Sd >:==:@? 7C@> $9F8CF6 9:>D6=7 2?5 Sa >:==:@? 7C@> 9:D D@?VD ECFDE 7F?5 — 5:=FE:?8 !t#$V DE2<6 :? E96 7F?5 E@ ddT 2?5 564C62D:?8 E96 A6?D:@?VD C6DF=E:?8 D92C6 @7 E96 AC@7:E 3J ?62C=J Sa >:==:@?[ E96 DF:E D2JD] %92E 42D9 :?7FD:@? 367@C6 E96 9@E6= D2=6 4=@D65 A2:5 @FE Sf__[___ :? AC@7:E D92C:?8 E@ $9F8CF6 2?5 9:D 72>:=J ECFDE[ E96 DF:E 4=2:>D]k^Am
kAm#@D6?3=F> :D D66<:?8 E@ C64@FA E96 Se]e >:==:@? :? 766D 492C865 3J %2=>286 36EH66? pF8FDE a_`c 2?5 y2?F2CJ a_`g[ H96? $9F8CF6VD 4@?EC24E H:E9 !t#$ 6?565[ 2D H6== 2D @E96C 52>286D]k^Am
kAmQ%2=>286 2?5 E96 @E96CD 5:5 ?@E9:?8 HC@?8 96C6[Q D2:5 qC66?[ $9F8CF6VD =2HJ6C] Q(6 A=2? E@ 7:89E E9:D 4:G:= =2HDF:E :? 4@FCE 2?5 H6 2C6 4@?7:56?E E92E H6 H:== AC6G2:=]Qk^Am
(0) comments
Welcome to the discussion.
Log In
Keep it Clean. Please avoid obscene, vulgar, lewd, racist or sexually-oriented language.
PLEASE TURN OFF YOUR CAPS LOCK.
Don't Threaten. Threats of harming another person will not be tolerated.
Be Truthful. Don't knowingly lie about anyone or anything.
Be Nice. No racism, sexism or any sort of -ism that is degrading to another person.
Be Proactive. Use the 'Report' link on each comment to let us know of abusive posts.
Share with Us. We'd love to hear eyewitness accounts, the history behind an article.