This article below is about three officials, including the President and two Directors, in a Chicago area Park District (i.e. like Parks & Recreation) that siphoned off $144,000 in district funds using district credit cards plus instructing a vendor to provide kickbacks. There were no details about why they were able to do so, or the quality of the District accounting controls or audit functions.
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Date posted online: Friday, August 31, 2007
from:
http://www.thetimesonline.com/articles/2007/08/31/news/top_news/docba312002de2d415a862573480001e6db.prt
Feds: Harvey Park District (Chicago area) officials misused money
3 park leaders accused of using taxpayer money for personal expenses
BY CHRIS KELLER
and LAURI HARVEY KEAGLE
The Times
CHICAGO | Three Harvey Park District officials Thursday pleaded not guilty in federal court, hours after the FBI arrested them at their south suburban homes on charges of using $144,000 of taxpayer money to pay for personal expenses.
Park District President Julius Patterson, 51, of Harvey; Park District Director Kendall Parrott, 48, of Markham; and Park District Assistant Director Linda Hudson, 47, of Harvey, entered the pleas before U.S. District Judge Charles Norgle at the Dirksen Federal Building in Chicago. (Read the indictment.)
Each are charged with three counts of wire fraud and one count of theft of government funds following the release of an 11-count indictment returned by a federal grand jury Tuesday.
"It is a sad state of affairs when citizens of a community, particularly youths, are cheated out of already scarce funds meant for playgrounds, ballparks and recreational programs by the people chosen to be entrusted with those funds," U.S. Attorney Patrick Fitzgerald said in a news release.
All three defendants were released on their own recognizance, U.S. attorney's office spokesman Randall Samborn said.
As a condition of their bonds, Parrott and Hudson agreed to step down from their positions, the spokesman said.
Patterson, as a condition of his bond, is prohibited from being within a block of the parks headquarters. But he can confer with district board members via teleconferencing, Norgle ruled.
Following the court appearance, Patterson's attorney extolled his client's family life and work for Harvey and its residents.
"Julius Patterson is an excellent husband, an excellent father and has spent his life helping people in the city of Harvey," said Michael J. Petro, a Chicago attorney representing Patterson.
The three defendants are accused of using parks credit cards to purchase personal items such as automotive parts, clothing, campaign materials and prescription medication.
In addition, Patterson is accused of instructing a parks vendor to deliver a kickback after it received an inflated payment, or to raise its charges before then delivering a kickback, according to the indictment.
The indictment also details attempts made to conceal the activities.
A longtime supporter of Harvey Mayor Eric Kellogg, Patterson also is Harvey's 1st Ward alderman and a member of the Thornton Township High School District 205 School Board, which oversees Thornwood High School in South Holland, Thornridge High School in Dolton and Thornton High School in Harvey.
"The district had no knowledge of Harvey Park District board proceedings," Thornton Township High School District 205 spokesman John Arrington said. "However, Mr. Patterson has been an exemplary District 205 board member."
The Rev. Dr. Carl King, a District 205 School Board member, had not had a chance to learn the details of the indictment Thursday afternoon, but he had heard the news of Patterson's indictment from a district official.
"It is unfortunate, and it puts us in an uncomfortable position at a critical time for our school district," King said. "My prayers are with him and his family during this time."
Times correspondent Becky Schlikerman contributed to this report.
About the accused
According to an 11-count indictment returned by a federal grand jury Tuesday, Julius Patterson, Kendall Parrott and Linda Hudson are charged with three counts of wire fraud and one count of theft of government funds.
Patterson, 51, of Harvey, was first elected to the Harvey Park District board in 1999 and became president in 2001. He also is Harvey's 1st Ward alderman, the president of the Harvey Public Library District board of trustees and is a Thornton Township High School District 205 School Board member.
Kendall Parrott, 48, of Markham, was appointed director of the Harvey Park District in 2001.
Linda Hudson, 47, of Harvey, who joined the Harvey Park District in 2003, was appointed assistant director in 2004.