A federal grand jury has indicted Timothy J. Leiweke, Co-Founder and CEO of Oak View Group (OVG), for allegedly orchestrating a conspiracy to rig the bidding process for an arena at a public university in Austin, Texas. This announcement was made by the Justice Department’s Antitrust Division.
The indictment, filed in the U.S. District Court for the Western District of Texas, claims that from February 2018 through June 2024, Leiweke conspired with a competitor's CEO to manipulate the bidding process for a multi-purpose arena on the university campus.
Assistant Attorney General Abigail Slater stated, "As outlined in the indictment, the Defendant rigged a bidding process to benefit his own company and deprived a public university and taxpayers of the benefits of competitive bidding." She emphasized that law enforcement will hold accountable those who avoid competition.
U.S. Attorney Justin R. Simmons commented on unfair business practices: “Unfair business practices, like those employed here, make it very difficult for the American people to pursue prosperity like our founders intended.”
FBI Assistant Director Christopher G. Raia noted that Leiweke allegedly aimed to secure entertainment services contracts at the university's arena for his company by sidestepping fair competition principles.
Special Agent Jonathan R. Mellone highlighted their commitment to investigating corruption: “An important part of the mission of the Office of Inspector General is to investigate allegations of corruption and illegal influence in the American workplace.”
The indictment details how Leiweke sought to dissuade a competitor from bidding on the project by offering them subcontracts instead. Consequently, OVG submitted the only qualified bid and won the contract. The arena opened in April 2022, with OVG continuing to earn significant revenues from it.
Leiweke faces charges under Section 1 of the Sherman Act. If convicted, he could face up to 10 years in prison and fines potentially exceeding $1 million.
The case is being investigated by several agencies including the U.S. Department of Labor’s Office of Inspector General and FBI’s New York Field Office.
The Antitrust Division’s New York Office is prosecuting with assistance from the U.S. Attorney’s Office for Western District of Texas.
Individuals with information related to this investigation are encouraged to contact authorities via provided channels.
It should be noted that an indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in court.
