The SEC has issued subpoenas to San Diego city officials, seeking documents and testimony in connection with the city's alleged failure to fully disclose the San Diego City Employees' Retirement System's $1.2 billion deficit in bond disclosures, according to Maria Velasquez, press secretary to City Attorney Mike Aguirre. Mr. Aguirre would not release the names of those subpoenaed. The City Council is expected to discuss the matter at its Tuesday meeting, according to a memo issued today by Mayor Dick Murphy.
Mr. Aguirre also notified officials at the $3.6 billion pension plan that, in accordance with municipal code, he will assume the role of chief legal adviser to the fund, according to letters sent to pension plan board members and Lawrence Grissom, fund administrator. Until now, a separate legal counsel had advised the board. So far, Mr. Grissom and board President Frederick W. Pierce IV have refused to recognize Mr. Aguirre as chief legal adviser to the fund because they dispute his interpretation of the municipal code. Calls to Messrs. Grissom and Pierce, along with Laurie Shapin, the plan's general counsel, were not returned by press time.
