Oak View Group CEO Leiweke charged with bid rigging in U. of Texas arena project-OxBig News Network

Oak View Group CEO Tim Leiweke has been indicted on a federal criminal conspiracy charge related to his alleged role in rigging the bidding to develop, manage and operate the University of Texas’ athletic arena in Austin.

Leiweke is accused in the indictment of conspiring with another would-be bidder on the arena project to induce that second company to drop out of the competition with Oak View Group in exchange for receiving lucrative sub-contracts at the arena.

The indictment says Leiweke later reneged on that promise to the other company after it dropped its effort to bid on the entire project.

CNBC has reached out to Oak View Group for comment.

Two people familiar with the matter told CNBC that the Department of Justice’s antitrust division is expected to announce two non-prosecution agreements in connection with the case with Oak View Group and Legends Hospitality.

Oak View is expected to pay a $15 million penalty, and Legends Hospitality is expected to pay a $1.5 million penalty, according to those people.

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