FBI serves search warrants on Durham-owned companies

The FBI on Tuesday afternoon executed search warrants at two companies led by high-profile executive Tim Durham—Indianapolis-based
Obsidian Enterprises Inc. and Akron, Ohio-based Fair Finance Co.

FBI agents arrived at the
headquarters of Obsidian, a leveraged-buyout firm, on the top floor of Chase Tower downtown around 3
p.m. and began going through documents and carrying them to two FBI trucks awaiting on Monument Circle.

Michael S. Welch, FBI special agent in charge in Indianapolis, said the agents were executing
search warrants. But he said those warrants are sealed and that the FBI would not provide additional comment.

In
an investigative story
last month, IBJ raised questions about whether Fair Finance had the financial wherewithal
to repay Ohio investors who had purchased nearly $200 million in investment certificates.

The story reported that
since Durham bought the business in 2002, he had used it almost like a personal bank to fund a range of business interests,
some of them unsuccessful. The story noted that he and related parties owe Fair more than $168 million.

This story
will be updated at ibj.com.