May 14,2009

Grassley, Kennedy, Baucus, Enzi call for further investigation of PBGC contract awards

WASHINGTON --- Four U.S. senators have asked the Inspector General for the Pension Benefit Guaranty Corporation to continue investigating the corporation’s former director, based on findings reported in a draft Inspector General report made public today.

The draft report indicates possible interference in contracting decisions by the former director in awarding a total of $2.5 billion in assets held by the PBGC for real estate equity and private equity investments. The draft report is posted with this news release at and

The letter urging further investigation was signed by Senators Edward M. Kennedy of Massachusetts, Max Baucus of Montana, Charles E. Grassley of Iowa, and Michael Enzi of Wyoming. The senators have conducted oversight of the PBGC in their positions as Chairmen and Ranking Members of the Senate committees on Finance and Health, Education, Labor, and Pensions. The text of the letter is attached in a Printer-Friendly Version.