The Associated Press
New Mexico’s highest court has temporarily put on hold a lawsuit by a state agency seeking to recover money for investment deals it contends were influenced by political considerations during former Gov. Bill Richardson’s administration.
The move by the Supreme Court came earlier this week at the request of former pension fund investment officer Frank Foy, who brought whistleblower lawsuits in 2008 and 2009 alleging a pay-to-play scheme involving state investments.
Victor Marshall, Foy’s lawyer, said Thursday that the latest dispute raises open-government questions that go beyond the investment case. He’s asking the high court to take further action, including forcing the State Investment Council to change how it handles settlements with brokers, money managers and other investment officials sued by the agency in 2011.
Foy went to the Supreme Court after a district court judge in Santa Fe approved settlements of $525,000 reached by the Investment Council with four investment executives, who also are among the defendants in one of Foy’s whistleblower cases. The executives have denied any wrongdoing.