FBI queries North Texas Tollway Authority: document

Reuters News
Posted: Oct 25, 2011 4:04 PM
FBI queries North Texas Tollway Authority: document

NEW YORK (Reuters) - Several officials from the North Texas Tollway Authority have been interviewed by the Federal Bureau of Investigation, the authority said, just days before it taps the market with a big municipal bond sale.

The federal investigations questioned tollway officials "regarding any knowledge the officials may have concerning the conduct of certain current and former Board members, including possible conflicts of interest pertaining to Authority business," the authority said in marketing materials for the debt offering.

"The Authority has no reason to believe that it is the target of the investigation or that the investigation will materially adversely affect the operations or financial condition of the Authority or the transaction contemplated by the bond resolution," the tollway added in its preliminary official statement for the new debt.

Kim Jackson, a spokeswoman for the authority, referred inquiries for more information to the FBI. An FBI spokesman was not immediately available.

The authority, a prominent issuer of municipal bonds, next taps the market with a $674 million debt sale that will be negotiated by JPMorgan during the week of November 2, Jackson said.

The preliminary marketing materials were issued on Friday, Jackson said. Fitch Ratings on October 14 rated the debt offering at AA-minus.

(Reporting by Joan Gralla; Editing by Andrea Ricci)