Walter Kevin Scott, chief benefits officer of the $11 billion Indiana Public Employees Retirement Fund, Indianapolis, resigned after admitting he had served time in federal prison in the 1990s on banking fraud and other charges. Mr. Scott allegedly used someone elses Social Security number to pass a background check when he was hired in November.
Gov. Frank OBannon ordered a forensic audit to be conducted by Forrest Bowman Jr., an Indianapolis attorney with a reputation for such investigations, to help account for the funds assets, said Mary Dieter, the governors press secretary. The state also plans to hire an accounting firm to assist in the audit, she said.
Indiana State Police are investigating Mr. Scott for possible wrongdoing because his job gave him access to participants Social Security numbers and other personal information, Ms. Dieter said.
Mr. Scott wasnt involved in investing the funds assets. He reported to E. William Butler, PERF executive director. Mr. Scotts resume said he was working at Procter & Gamble Co. during the time he was actually in prison, Ms. Dieter said.
Mr. Butler and other fund officials couldnt be reached for comment.