Elliott Broidy resigned Thursday from the board of the $9.5 billion Los Angeles Fire & Police Pension System, according to a statement by Mr. Broidy to P&I Daily.
Mr. Broidy, co-founder and chairman of private equity firm Markstone Capital Group, has served on the board for seven years. His resignation was submitted hours after the May 7 board meeting at which board Chairman Sean Harrigan also resigned.
Both men have received letters from the SEC requesting information and documents concerning possible ties to third-party marketers and placement agents working for investment managers that run assets for the pension system. Neither has been charged with wrongdoing.
My continued service on the board has become a distraction and risks overshadowing the good work that the fund is doing, Mr. Broidy said in the statement. I hope that my resignation will help facilitate a full and fair examination of the facts about the pension funds activities.