FBI arrests Muncie, Indiana mayor amid city investigation
Muncie, Ind. — A central Indiana mayor has been arrested by FBI agents amid an ongoing federal investigation that's resulted in the city's former building commissioner pleading guilty to money laundering and wire fraud. An FBI spokeswoman says Muncie Mayor Dennis Tyler was arrested at his home Monday morning and was in custody.
FBI spokeswoman Chris Bavender referred questions to the U.S. attorney's office in Indianapolis, which said it would release information about charges against Tyler later Monday.
Tyler is a Democrat who's been mayor for eight years after serving in the Indiana House and didn't seek reelection this year.
Prosecutors alleged the city's building commissioner steered work to companies he owned and then billed the city more than $376,000 for demolition work that was either never done or performed at inflated prices.
CBS affiliate WTTV reports that in 2017, federal agents executed search warrants at City Hall in connection with Craig Nichols, the former building commissioner who owned a pair of contracting companies at the center of the federal investigation.
Nichols was accused of getting city contracts without a competitive bidding process; he was initially charged with 30 counts of wire fraud and money laundering. He eventually pleaded guilty and was sentenced to 2 years in federal prison.