July 11 (Bloomberg) — Federico Buenrostro, the former chief executive officer of California Public Employees' Retirement System, pleaded guilty to conspiracy to commit bribery.

Buenrostro, who headed the the country's largest pension fund from 2002 to 2008, was accused of conspiring to trick Calpers into paying $14 million in fees to former board member Alfred Villalobos for arranging a $3 billion investment in funds managed by Apollo Global Management LLC. He appeared today in federal court in San Francisco to change his plea to charges filed last year.

He faces as long as five years in prison when he's sentenced Jan. 7.

Fees for middlemen were at the center of a corruption probe in which Villalobos, a Calpers board member from 1993 to 1995, was sued by state prosecutors while the pension system's head of private equity resigned.

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