Carmen’s Union calls for audit of MBTA pension plan

Source: Boston Globe

By Beth Healy

Two top officers of the Boston Carmen’s Union, Local 589, who serve on the MBTA pension fund board, issued a statement Thursday calling for “an immediate, open and complete audit” of the retirement system for transit workers.

According to the statement, by president James O’Brien and treasurer James Evers, the Local “remains supportive” of a review of the $1.6 billion fund in the wake of a critical report by Wall Street whistleblower Harry Markopolos, alleging as much as $470 million in questionable accounting and reporting practices.

“While we have not seen nor read the outside audit by analyst Harry Markopolos and Boston University Professor Mark Williams, which generated the recent concern, we want to make absolutely clear that we stand with former state Treasurer Steve Grossman and others in favor of an independent review, which will either verify or refute the audit’s findings,’’ the statement said.

The Markopolos-Williams report, which the Globe reported on last Sunday, questioned the accuracy of the fund’s posted investment returns, as well as the methods used to calculate its assets and its long-term obligations.

FULL story at link.



AP/FILE
The T pension fund’s status as a private trust makes it unique among Massachusetts plans for public workers.

Read more: https://www.bostonglobe.com/business/2015/07/02/boston-carmen-union-local-calls-for-audit-mbta-pension-plan/fxZ4P8aECqVwuUiIXDlORJ/story.html