Three-Year Investigation by FBI Leads To Two Arrests in Muncie

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Three-Year Investigation by FBI Leads To Two Arrests in Muncie

Debra Nicole Grigsby and Tony Franklin have been indicted on multiple charges, including conspiracy to commit wire fraud and making false statements.

MUNCIE, Ind. -- Federal authorities have arrested the district administrator of the Muncie Sanitary District and a local businessman, in the latest chapter of a three-year investigation into corruption at Muncie City Hall.

The Muncie Star Press says Debra Nicole Grigsby, 44, of Muncie, and Tony Franklin, 60, of Yorktown have been indicted by a U.S. District Court grand jury on charges of conspiracy to commit wire fraud, wire fraud, making false statements, and falsification of documents in a federal investigation.

Federal authorities said Tuesday’s arrests were part of an ongoing investigation by the FBI and the Internal Revenue Service. They say Grigsby agreed to steer work for Muncie Sanitary District projects to Franklin's company, Franklin Building and Design LLC, "in exchange for kickbacks" and other corruption-related matters in Muncie.

Grigsby had been the district’s administrator since 2013. She was “responsible for approving the selection of contractors to perform work on MSD infrastructure projects,” according to Tuesday's release.

“The indictment and arrest of these two individuals is one more step in an ongoing investigation to identify any and all public officials or private citizens who have committed federal crimes and victimized the tax-paying citizens of Muncie, Ind.,” Grant Mendenhall, of the FBI’s Indianapolis division, said.

If convicted on all counts, Grigsby and Franklin would each face up to 20 years in prison.

(Photo by: Thinkstock/Moxe)

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