MUNCIE, Ind. (WTHR) - Federal authorities arrested Muncie's building commissioner Wednesday morning on public corruption charges. Craig Nichols is accused of wire fraud, theft and money laundering.
The U.S. Attorney's office alleges Nichols "abused his position of trust by using sham bidding practices and submitting fraudulent invoices to steer work to his companies, and then bill Muncie more than $376,000 for work his company either never performed or performed at inflated prices."
FBI agents served search warrants at Muncie's City Hall on January 5. They took boxes of paperwork from the building commissioner's office and spent time in the city's IT offices. Nichols, 38, has been the city's building commissioner since 2012.
Wednesday's arrest is part of a year-long investigation by the FBI, U.S. Attorney and the IRS.
"Public servants need to serve the public instead of serving themselves," said U.S. Attorney Josh Minkler. "When someone betrays the public's trust by stealing tax dollars for personal enrichment, my office will identify, investigate and, if the evidence supports a charge, prosecute the individual who violates that sacred trust."
The investigation is ongoing. If Nichols is convicted of all charges, he faces up to 20 years in prison.
