King considering joining investment scandal probe

Posted 5/01/2009 05:03:00 PM

King’s office has spoken with NY attorney general about the growing scandal, which has tentacles in New Mexico

The attorneys general of New York and New Mexico have been in touch about the possibility of expanding the investigation of a pension scandal in New York to include dealings in New Mexico.

While confirming that such a conversation has taken place, Lynn Southard, deputy communications director for N.M. AG Gary King, said no decision has been made by that office on whether to join the investigation into the growing scandal.

“We have been in touch with the New York AG,” Southard said. “At this point, we are looking into this, however, it is too early to speculate” about what King’s office will do.

She said the AG’s office might have more information mid to late next week.

The news comes a day after N.Y. Attorney General Andrew Cuomo’s office charged a founder of Aldus Equity with a fraud-related felony in New York. Aldus has been at the center of a pay-to-play controversy in New York that has tentacles in New Mexico, and Gov. Bill Richardson has ordered this week that the State Investment Council (SIC) and Educational Retirement Board (ERB) fire Aldus.

In filing the charge against Aldus founder Saul Meyer, Cuomo said on Thursday that he was “disclosing a national network of actors who often acted in concert and did this all across the country.”

Today, Cuomo issued more than 100 new subpoenas in the case and said he would be in touch with officials in other states -- and specifically mentioned New York and California -- as his probe reveals new information, according to the New York Times.

The FBI has already been questioning officials in New Mexico about Aldus.