Ennis Knupp on-board, actively working with BWC to review investments Print E-mail
Private equity manager being investigated

COLUMBUS – The Bureau of Workers’ Compensation (BWC) has announced that Ennis Knupp has begun working with the bureau’s investment staff this week. Effective immediately, Ennis Knupp will assume responsibility for comprehensive monitoring of all BWC investment managers, including the emerging manager program.

“I am extremely pleased that Ennis Knupp is on-site and already actively working with our staff to identify and address issues with our investments operation,” Administrator Kielmeyer said. “Through their expertise and analysis, I am confident we will be able to modernize our investments department and successfully implement controls that provide more security to monies in the State Insurance Fund.”

Also, BWC has initiated its own investigation of a report that the SEC is investigating Brantley Corporation’s valuation of its investment in Flight Operations, LLC. Ennis Knupp is reviewing all aspects of the Bureau’s investment with Brantley Corporation and will provide the bureau with results of the evaluation within 30 days.

Brantley Corporation has been a private equity manager for BWC since February 5, 2001. The bureau has allocated $12,684,411.96 to them during that time. The current market value is $12,077,885.

Ennis Knupp will be responsible for determining the value of each investment, comparing that performance to appropriate benchmarks, and review compliance issues. They will also determine what internal activities need to cease and identify any additional oversight that may be needed.

Ennis Knupp has no affiliations with any brokerage, investment management or investment banking firms. In operation since 1981, they serve more than 140 clients with aggregate assets of $480 billion.

BWC also is continuing to work with the Management Review Team to review each and every investment made. The Management Review Team will report their initial findings back to the Governor around August 1.

The members of the Management Review Team are:

Tom Hayes: director of the Ohio Lottery Commission and team leader;
Laurie Fiori Hacking: executive director of the Ohio Public Employee Retirement System (OPERS), which manages approximately $65 billion in retirement assets;
James Nichols: treasurer of The Ohio State University (OSU) since 1981.

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MEDIA CONTACT: Jeremy Jackson, Ohio Bureau of Workers’ Compensation, (614) 752-7558 or Emily Hicks at (614) 728-6197