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*** UPDATED x1 - Rauner calls report “baloney” *** Did Greg Hinz solve the mystery of the leak?

Tuesday, Oct 9, 2018

* Hmm

Political insiders are pointing to a senior aide to Cook County Treasurer Maria Pappas as the person who leaked a “confidential” report by county Inspector General Patrick Blanchard, a report that has thrown a big last-minute obstacle in the path of Democratic gubernatorial hopeful J.B. Pritzker.

The aide: Peter Karahalios, Pappas’ general counsel and a friend and appointee of incumbent GOP Gov. Bruce Rauner.

The report charged that Pritzker associates engaged in “a scheme to defraud” the county by yanking out toilets in Gold Coast mansion he owned and then claiming that he was owed hundreds of thousands of dollars of property-tax cuts because the building was become uninhabitable. Rauner, badly trailing in the polls, has seized on the issue with vigor, and yesterday launched a new TV ad blitz declaring, “Illinois can’t afford another governor going to jail.” […]

I’m told by multiple sources who say they are sure of their facts that the document was leaked to the Sun-Times by campaign aides to Gov. Bruce Rauner. Rauner’s campaign spokesman and Sun-Times editor Chris Fusco both declined to comment.

That makes the question of who gave it to the Sun-Times. And I’m told by someone with direct knowledge that it was Peter Karahalios, with a second source close to the matter indicating they, too, believe that is the case.

There’s more, so go read the rest.

*** UPDATE *** Gov. Rauner was asked today about Greg’s report about how the leak may have been from one of the governor’s friends

I have no idea, it sounds like baloney to me.

Rauner went on to ask why Cook County State’s Attorney Kim Foxx and Attorney General Lisa Madigan didn’t initiate an investigation a year ago.

“Why did it take, apparently, an inspector general in the assessor’s office?” the governor asked rhetorically. “That’s not even necessarily his role.”

Um, actually, it is precisely his role.

- Posted by Rich Miller        

29 Comments
  1. - Precinct Captain - Tuesday, Oct 9, 18 @ 9:32 am:

    ==In a video posted to YouTube—now removed—of Rauner’s acceptance speech at the group’s dinner, the governor describes Karahalios as a “dear personal friend” and a “great public servant.”==

    A corrupt cover up?


  2. - 47th Ward - Tuesday, Oct 9, 18 @ 9:33 am:

    ===That makes the question of who gave it to the Sun-Times.===

    I’ve read that a couple of times now. Shouldn’t it be, “who gave it to the Rauner campaign.”


  3. - anon - Tuesday, Oct 9, 18 @ 9:35 am:

    off topic, but, Rich, when will the fax email go out? I dont know today’s password.


  4. - Rich Miller - Tuesday, Oct 9, 18 @ 9:36 am:

    ===when will the fax email go out?===

    I’m kind of at my wit’s end about that question. I scheduled it a while ago and it never sent, so I resent it but it hasn’t gone out yet.


  5. - anon - Tuesday, Oct 9, 18 @ 9:37 am:

    sorry. didn’t mean to poke a wound. im just feeling in the dark without today’s fax!


  6. - A guy - Tuesday, Oct 9, 18 @ 9:40 am:

    At every level of government, the new version of the “press release” appears to be the “leak release”. Ugh.


  7. - wordslinger - Tuesday, Oct 9, 18 @ 9:43 am:

    Hinz is strangely obsessed by this, like a “confidential” Cook County IG report is subject to handling and secrecy like a national security document.

    A report like this was bound to leak. The whodunnit is pretty immaterial. It could have been any number of staffers or the proverbial 300 pound hacker in mom’s basement. I doubt that it took 007 to find it.


  8. - Roman - Tuesday, Oct 9, 18 @ 9:45 am:

    == Karahalios, who previously was Pappas’ chief of staff, was appointed by Rauner in 2015 to a vacancy on the Illinois Court of Claims…The judgeship pays $59,900 a year. Karahalios also has continued to work for Pappas, making $162,000 ==

    Wow. Double-dipping to the tune of more than $220k a year.

    Mr. Karahalios, let he without sin cast the first stone.


  9. - Chicago Cynic - Tuesday, Oct 9, 18 @ 9:59 am:

    I heard right away that this came from Pappas’ office. Now we see the early rumors were right.


  10. - JS Mill - Tuesday, Oct 9, 18 @ 10:01 am:

    This report should not have been confidential. I think that is the first issue.

    Two, Pritzker should have handled it better.


  11. - Oswego Willy - Tuesday, Oct 9, 18 @ 10:02 am:

    It’s a great read. Appreciate Rich pointing it out.

    It’s also like worrying who left the barn door open as the horse left, when the real question is why wasn’t this door securely closed with no chance of it being opened at all

    Three questions remain;

    Was there gross incompetence to Pritzker’s own oppo, and they didn’t “know” this existed?

    Was the gross negligence ignoring the competent self oppo and it backfired to “Scheme to Defraud”?

    Why wasn’t this taken care of months… not days or weeks… and months ago, so the campaign was inoculated?

    Be it Overseas Monies, not knowing if there are more Blago tapes, or this property tax reduction… a constant and repeated negligence has been visible.

    When you run against the most vulnerable and worst Republican governor in America, these mistakes shouldn’t impact the outcome, but…


  12. - Tropical Storm - Tuesday, Oct 9, 18 @ 10:02 am:

    Why would a reporter try to call out another reporter’s confidential informant?

    I think this will have a chilling effect on potential sources of information in the future.


  13. - Rich Miller - Tuesday, Oct 9, 18 @ 10:07 am:

    ===I think this will have a chilling effect on potential sources===

    Meh, if Greg is right (and he may very well be), the handoff to Tina was done by a Rauner campaign person who got it from a friendly insider. Exposing that likely won’t chill anything.


  14. - 47th Ward - Tuesday, Oct 9, 18 @ 10:16 am:

    Why is the county inspector general writing confidential reports? Shouldn’t that work be made public?

    And I have no use for Maria Pappas. She’s about 20 years past her sell-by date. But if her office leaked it, that doesn’t make me like her any less nor does it surprise me.


  15. - Three Dimensional Checkers - Tuesday, Oct 9, 18 @ 10:46 am:

    It kind of ruins Pappas’ chances for running for mayor. Can’t have someone in the big chair whose staff is helping out the Republicans.


  16. - Lester Holt’s Mustache - Tuesday, Oct 9, 18 @ 10:46 am:

    ==The aide: Peter Karahalios, Pappas’ general counsel and a friend and appointee of incumbent GOP Gov. Bruce Rauner.==

    I find this whole thing very hard to believe. First, I’ve been told on numerous occasions that the all-powerful Speaker Madigan controls every aspect of dem public officials’ lives and careers, and there’s no way he’d ever allow Pappas to hire a close personal friend of Rauner’s.
    Second, Rauner himself has complained numerous times about the corruption that is double-dipping by officials and has said it’s a practice that he’s focused on ending. Surely he doesn’t have one standard for his friends and another that he tells voters about.


  17. - Gooner - Tuesday, Oct 9, 18 @ 10:55 am:

    I’m sort of amused that Pappas put another Greek in a high position of authority.

    It is another reminder that Chicago is going to be Chicago (and Cook will be Cook).


  18. - Louis G. Atsaves - Tuesday, Oct 9, 18 @ 11:01 am:

    I just played the YouTube speech . . . on YouTube. Scrubbed?


  19. - JB13 - Tuesday, Oct 9, 18 @ 11:02 am:

    Would there be this much obsession over who leaked, if this report had damaged Rauner? Who really cares who leaked? Is the report real? Factual?

    Then why would a journalist want to expose a leaker, who is leaking a report that should have been public info to begin with? Hmmmm?


  20. - Roman - Tuesday, Oct 9, 18 @ 11:20 am:

    == chilling effect ==

    Under normal circumstances, a legit concern. But given the fact that the source is a Rauner political ally who is on both the state and county payroll at the same time, this is newsworthy,


  21. - Lester Holt’s Mustache - Tuesday, Oct 9, 18 @ 11:25 am:

    ==Would there be this much obsession over who leaked, if this report had damaged Rauner? ==

    A report that -only- republican officials had access to? Absolutely there would be. And if the report was leaked by a double-dipping, close personal friend of Speaker Madigan, who happens to be employed in a senior position by this supposed republican county official? Much, much more interest.


  22. - jim - Tuesday, Oct 9, 18 @ 11:29 am:

    I may be wrong. But just saying I think that guy did it doesn’t exactly constitute persuasive evidence.


  23. - Thomas Paine - Tuesday, Oct 9, 18 @ 11:45 am:

    That might be enoug to get an attorney dragged before the ARDC. He divulged priveleged information.


  24. - :0 - Tuesday, Oct 9, 18 @ 12:15 pm:

    Greg Hinz just outed a source, someone else’s source?? Smooth move.


  25. - Melido Perez - Tuesday, Oct 9, 18 @ 12:27 pm:

    “He won’t you know, he doesn’t stand for baloney.”

    https://www.youtube.com/watch?v=3RwxdzP8rG4


  26. - Anonymous - Tuesday, Oct 9, 18 @ 12:47 pm:

    My baloney has a second name: It’s R-a-u-n-e-r.


  27. - qualified someone nobody sent - Tuesday, Oct 9, 18 @ 2:11 pm:

    Leaked document unfortunately named an employee too. IG typing error or willful misconduct? Could this indiscretion pose a problem for IG’s office and/or the leakers employer?


  28. - wordslinger - Tuesday, Oct 9, 18 @ 2:24 pm:

    Well, if Rauner says it’s baloney, you know it’s true.

    Just like he didn’t have anything to do with those dark money spots against Schock, Dillard, Brady and Rutherford.

    Or stabbing Radogno in the back.


  29. - city girl - Tuesday, Oct 9, 18 @ 4:10 pm:

    Pappas has been dropping dimes on anyone and everyone for 20 years. The trick has always been sorting out truth from her reality. It used to be entertaining.


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