Weeklong trial finally over!

Testimony wraps in civil trial investigating alleged misconduct on STRS board

by: Katie Millard

NBCi Columbus

Oct 31, 2025

COLUMBUS, Ohio (WCMH) — A trial investigating alleged misconduct on the state teachers’ pension fund wrapped up testimony Friday, but a decision is not expected until mid-November.

The state alleges State Teachers Retirement System (STRS) Chairman Rudy Fichtenbaum and former board member Wade Steen improperly tried to maneuver control of the $90 million teachers’ pension fund to an outside investor, QED. Fichtenbaum and Steen agree they met with QED and proposed a collaboration, but claim there was no wrongdoing. See previous coverage of the trial in the video player above. [Go HERE.]

The pension fund generates money for STRS, which is used to pay staff and to fund benefits for 500,000 current and retired teachers. When STRS discontinued annual cost of living adjustments, teachers told NBC4’s Colleen Marshall that they blamed poor pension fund performance. Fichtenbaum and Steen jointly proposed having QED manage the fund’s investments, and said they thought the investment firm’s investing plan would improve performance.

The case asks whether or not Steen and Fichtenbaum breached their fiduciary duty, meaning their legal and ethical responsibilities to the board. The state said part of that duty was to foster public confidence in the board, and pointed to board member codes of conduct. The defense said the duty was to the teachers, and that the pair were fulfilling that duty by coming up with new ideas to support the fund.

“When I think of STRS, I think of the beneficiaries, the teachers,” Steen testified Friday. “The rest of us are all support staff, whether we’re board, whether we’re investment staff, whether we’re helping process claims — whatever we do, we’re support staff to the teachers.”

Friday marked the fifth day of the trial, and the court heard from Fichtenbaum and Steen for a second time. The two men were called by the state on the first and second days of trial, and 

Earlier this week, Franklin County Judge Karen Phillips[sic] also heard from current and former STRS employees, consultants involved in the case and lobbyists for retired teachers organizations. Witnesses with retired teachers’ groups testified they felt Fichtenbaum and Steen were looking out for STRS. Some other witnesses, like a former external consultant who stopped working with STRS due to the QED complications, thought the pair had harmed STRS’ reputation.

The state alleges Fichtenbaum and Steen made a backroom deal with QED. Both men testified that they did not receive compensation from the firm. The state said some of their communications, including private Signal chats, indicated secrecy and possible misconduct.

Fichtenbaum testified Friday that he was denied the ability to appropriately present the idea of partnership with QED, saying there were interruptions that made it difficult to get the point through. He said it was his duty to explore options, especially as he had campaigned to improve the pension plan and restore benefits.I think they felt threatened by any change in investment strategy,” Fichtenbaum said.

Steen also testified that he had transparency concerns with the board. Fichtenbaum spoke about posts he had made about his concerns with STRS not fully considering QED. The state indicated the posts could have reduced public trust in the board, which they said violated his duty. Fichtenbaum said he felt it was part of his duty to keep the public informed.

The state had several witnesses testify that they felt Fichtenbaum and Steen’s actions harmed the board’s reputation and working relationships. All state witnesses testified in the first half of the trial.

At the trial’s close, Steen’s attorney, Norman Abood, tried for a second time to get the court to dismiss the case. The state is seeking to remove Fichtenbaum from his current position and bar both men from serving again. Among other arguments, Abood said the attempt was moot as Steen was no longer on the board and not eligible to be elected to it. The judge dismissed the attempt once again.

The court decided to have written closing arguments, which will be due in roughly two weeks. A decision will come after the arguments are submitted, likely in mid-November.

Read the original article here.