Feds Question KY Retirement Officials

Officials of Kentucky Retirement Systems have been subpoenaed to be interviewed by the U.S. Securities and Exchange Commission.

The move is part of the SEC’s informal inquiry into the use of placement agents to make certain investments. Placement agents are middlemen hired and paid by investment managers to secure investments from large groups.

William Thielen, who is interim executive director of Kentucky Retirement Systems, said one current and one former staff member have received subpoenas, according to The Courier-Journal and the Lexington Herald-Leader. Thielen says the agency said it also wants to talk to everyone who has served on the KRS board since 2007.

KRS manages about $14 billion in assets for retired employees of state and local governments.