Ford Claims Risky City Investment Made During Corker Term
2006-10-12
Source: Chattanoogan.com
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rss feedThe Harold Ford Jr. for Senate campaign said the administration of Mayor Bob Corker made a risky pension investment that has not paid off.
The Ford statement says Chattanooga city workers "have been left holding the bag thanks to Bob Corker’s administration’s efforts to invest $1 million of city pension funds in a risky and speculative business managed by a Corker campaign contributor."
It says Don Mundie, managing partner of Delta Venture Partners, contributed $2,000 to Mr. Corker’s Senate campaign in 2005, the year after the Chattanooga Pension Board, on which Mr. Corker sat, invested $1 million in pensioners’ savings.
Delta subsequently has lost 12 percent, or $120,000, of that investment, according to a June 30 performance report from the city, it was stated. By contrast, the Dow Jones Industrial Average declined only 1 percent over the same period, the statement says.
Ford campaign senior advisor Michael Powell said, "Bob Corker put city workers' pensions at risk so his business partner could get rich. When that deal was closed, Corker got paid back with campaign contributions. It was a win-win, but for one thing: the people who go to work every day for Chattanooga got stiffed."
He said Mr. Corker "did not disclose his relationship with Mundie and Delta to his fellow Pension Board members prior to their investment in Delta."
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