Two arrested in multi-year probe of Muncie public corruption

Agents and support staff with the FBI carry out documents and computers from the Muncie City Hall after raiding two Muncie Sanitary District offices , Tuesday. Several other locations across the city were also visited by the FBI. (AP photo)

MUNCIE (AP) — A Muncie city official and a local contractor have been indicted on federal charges that are the latest to come out of a probe of public corruption in the central Indiana city.

Federal prosecutors say 44-year-old Debra Nicole Grigsby of Muncie and 60-year-old Tony Franklin of Yorktown were arrested Tuesday. Both faced afternoon initial hearings.

They’re charged with conspiracy to commit wire fraud, wire fraud, making false statements and falsification of documents in a federal investigation.

Prosecutors say Grigsby agreed as the Muncie Sanitary District’s administrator to steer infrastructure contracts to Franklin in exchange for kickbacks.

Their arrests are the latest from a multi-year federal investigation of public corruption in Muncie.

Muncie’s former building commissioner was sentenced in January to two years in prison for money laundering and wire fraud.