COLUMBIA (WACH/AP) -- The FBI is investigating Columbia's Community Development Department at the city's request.
The State newspaper reported Friday that city manager Steve Gantt asked the FBI to handle the case after a former commercial loan officer in the department made allegations of criminal conduct.
The Housing and Urban Development Department sent two investigators to the Community Development office Nov. 14.
The Community Development Department uses federal and local funds to improve low-income communities with public programs and commercial and residential loans that banks are unlikely to make.
The U.S. Commerce Department has stopped the city from making new commercial loans with federal funds while it reviews up to 80 loans over the past several years.
City officials say no money is missing nor has it been misused.
(The Associated Press contributed to this report)
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