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MBTA Pension Fund Loses $25 Million Investment04:48
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An MBTA train pulls into a stop on Commonweath Avenue near Boston University in Boston. (Elise Amendola/AP)
An MBTA train pulls into a stop on Commonweath Avenue near Boston University in Boston. (Elise Amendola/AP)

Big questions about oversight and accountability in light of the disclosure that the MBTA pension fund may have lost a staggering $25 million.

According to the Boston Globe, the investment may have been victim of a Ponzi scheme by a New York hedge fund called Fletcher Asset Management.

The former head of the T's pension fund, Karl White, joined the hedge fund and then pitched a new investment opportunity to the T pension board. The board agreed to invest $25 million dollars in 2007, and now that money is gone and the FBI and SEC are investigating.

WBUR's Sacha Pfeiffer speaks with a certified public accountant about the situation.

Guest

Mary Connaughton, director of finance and administration, the Pioneer Institute

This segment aired on December 20, 2013.

Sacha Pfeiffer Twitter Host, All Things Considered
Sacha Pfeiffer was formerly the host of WBUR's All Things Considered.

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