The MBTA Retirement Board should adopt reforms to force disclosures of financial information and conflicts of interest among its employees, according to Attorney General Martha Coakley, while also subjecting itself for more transparency through public records disclosures.
“There is a strong public interest in the Board taking action to increase transparency because a significant portion of the MBTA’s overall revenues come from fares paid by transit riders, dedicated sales tax revenues, and assessments on cities and towns within the MBTA service area,” Coakley wrote in a letter dated Monday to MBTA Retirement Fund Chair Janice Loux.
While fund officials recently touted its overall investment performance, critics have pointed to a $25 million investment loss to support their call for reforms.
In her letter, Coakley said that loss was “compounded by the failure to disclose the loss in a timely manner and revelations of insufficient safeguards to protect against conflicts of interest.”
Coakley said her office would consider “other options,” including legislation, if the retirement board does not voluntarily adopt her recommendations.
Coakley's letter also went to retirement fund director Michael Mulhern and board members Jonathan Davis, James Evers, James O'Brien, James O'Connell and Darnell Williams.
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