Former CalPERS CEO Indicted in Fraud Scheme
A federal grand jury has indicted former California Public Employees' Retirement System (or CalPERS) Chief Executive Officer Federico Buenrostro on conspiracy charges in connection with a scheme to commit fraud, the U.S. Department of Justice said on Monday.
The grand jury also indicted Alfred Villalobos, a former member of the pension fund's board, in connection with the scheme involving fraudulent documents related to a $3 billion investment of the retirement system in funds managed by New York-based private equity firm Apollo Global Management.
The U.S. Securities and Exchange Commission last year charged the two men with scheming to defraud Apollo.
Current CalPERS leadership, in a press release issued following the grand jury indictments, called the Justice Department's actions against Buenrostro and Villalobos "another step on the road toward justice."
