ALBUQUERQUE, N.M. (AP) — The State Securities Division has launched an inquiry into Bernalillo County’s investment practices.
The Albuquerque Journal reports (http://bit.ly/1aMI0R8 ) the agency is trying to determine if a turnover of the county’s $300 million investment portfolio was the result of a misguided effort in pursuit of higher interest rates or something more sinister.
The newspaper reports the treasurer’s office shifted millions of dollars into long-term bonds and cut cash reserves to just over 5 percent in less than 18 months, resulting in potential losses of more than $22 million.
Division investigators have interviewed Treasurer Manny Ortiz, his securities adviser and investment officer Patrick Padilla and others.
Ortiz and Padilla were unavailable for comment.
Last week, county commissioners approved a “no confidence” vote in Ortiz over his investment practices.