FBI arrests Muncie mayor amid city corruption investigation

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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 said 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. He 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.

The investigation began almost four years ago. Last January, Craig Nichols, Tyler’s building commissioner at the time, pleaded guilty to wire fraud and money laundering, and was sentenced to two years in federal prison.

At least five other people have been charged in the probe, including two city officials and three local businessmen.

It wasn’t immediately known whether Tyler had a lawyer.

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