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CPS official charged with lying to the FBI

Thursday, Aug 27, 2020 - Posted by Rich Miller

* Sun-Times

A key Chicago Public Schools official with close ties to the CEO has been charged with lying to the FBI about a controversial private custodial contract worth at least $1 billion, federal court records show.

Pedro Soto, the onetime chief of staff to CPS CEO Janice Jackson, allegedly made a false statement Dec. 17 about whether he had given out “nonpublic information” to an unnamed individual during a bidding process. He allegedly told the FBI, “he would want to get information but I don’t think I gave him anything.”

CPS had been soliciting bids in April 2016 for “custodial services, engineering operations and other trade services” worth up to $1 billion, with Soto on the committee evaluating the proposals. The company the FBI was asking about wasn’t named.

* Tribune

Defendants charged in an information as opposed to an indictment typically intend to plead guilty. Soto could not immediately be reached for comment, and no lawyer was listed for him on the criminal case docket. […]

At the time of the contract bid, Soto was chief of school operations, responsible for coordinating and implementing policy across all educational departments. His salary at the time was $161,000 a year, according to public databases.

So, reading between the lines, he’s going to plead guilty to this one count and potentially blow the lid off of insider dealing on that huge and controversial janitorial contract.

…Adding… Hmm…


…Adding… Sen. Rob Martwick…

Rich,

In reading the comments from readers in your blog post about the latest CPS corruption scandal, you replied to Kyle Hillman that “plenty of elected people have been convicted of corruption.” Very true. In fact, this is a line I use often when I talk about an elected school board. Nothing about an elected school board will stop someone from breaking the law. However, that’s not really the point. The point is that in addition to these brazen acts of corruption, there have been a ton of questionable decisions that have had a huge impact on the system of public education in Chicago. In fact, while this story is about corruption related to a contract for janitorial services, the actual move to privatize these services under the Emanuel administration was hugely unpopular, and in the end, a horrible decision. The shameful scandal involving special education services under Forest Claypool resulted in his complete withdrawal from public and political life in Chicago. The decision to close 50 neighborhood schools in the most economically disadvantaged neighborhoods was horrible, but not illegal. Finally (reaching way back to the beginning of this debacle), the appointed board skipped pension payments for a DECADE, leading a once overfunded pension system into near insolvency and putting the burden of fixing that incredibly stupid mistake on the back of every taxpayer in the City of Chicago for at least the next 2 generations. None of those mistakes are anything that result in a prison sentence. However, at the risk of repeating myself, that’s not the point. The point of the movement for an ERSB is that the system of democracy in this country guarantees accountability over the actions of the people who raise taxes, spend money, and make decisions. Given that you could almost set your watch according to the regular and persistent scandals at CPS, including both those worthy of prosecution and those that are not, it is high time that the residents, taxpayers, students and teachers had access to the elected accountability they deserve.

Regards,

Rob Martwick

       

33 Comments
  1. - Kyle Hillman - Thursday, Aug 27, 20 @ 1:01 pm:

    Can we get an elected school board bill passed now or is Springfield ok with an ever ongoing criminal investigation in CPS?

    An elected school board won’t stop everything - however maybe having independent board members scrutinizing these contracts would be a better idea then say the constant rubber stamping we have seen.


  2. - Rich Miller - Thursday, Aug 27, 20 @ 1:02 pm:

    ===Can we get an elected school board bill passed now or is Springfield ok===

    Um, plenty of elected people have been convicted of corruption.


  3. - Donnie Elgin - Thursday, Aug 27, 20 @ 1:03 pm:

    CPS looks so corrupt.From Forrest Claypool’s ethics scandal to Byrd-Bennett’s $22.5 million in no-bid contract fraud. I’m sure the kids are proud.


  4. - pool boy - Thursday, Aug 27, 20 @ 1:09 pm:

    Time to really clean house at CPS. This makes Byrd-Bennett look like a small time thief.


  5. - Oswego Willy - Thursday, Aug 27, 20 @ 1:11 pm:

    Don’t lie to the FBI.

    It’s a simple rule. Never deviate from it.

    ===… he’s going to plead guilty to this one count and potentially blow the lid off of insider dealing on that huge and controversial janitorial contract.===

    Coulda told the truth or worked immunity and had the same result, less the guilty plea.

    No one learns.


  6. - DuPage - Thursday, Aug 27, 20 @ 1:16 pm:

    This kind of stuff happens when actual school employees are replaced by “contractor labor”. Lots of opportunity for kickbacks, payoffs, and paying for services with padded hours and materials.


  7. - Frumpy White Guy - Thursday, Aug 27, 20 @ 1:17 pm:

    Illinois corruption is a statewide pandemic that will never go away.


  8. - Miriam - Thursday, Aug 27, 20 @ 1:18 pm:

    What did CPS Legal know and when did they know it?

    The original contract was up for renewal recently.


  9. - Montrose - Thursday, Aug 27, 20 @ 1:21 pm:

    That’s still only a fraction of the number CPS youth that were arrested for peacefully protesting the police presence in their schools.


  10. - 1st Ward - Thursday, Aug 27, 20 @ 1:39 pm:

    “Can we get an elected school board bill passed now or is Springfield ok with an ever ongoing criminal investigation in CPS?”

    Why should people in their 20’s with no kids be allowed to vote in these races? We really need to create more politicians? Ask yourself who benefits from this - students, parents, teachers, or CTU and political insiders?


  11. - Ed Equity - Thursday, Aug 27, 20 @ 1:44 pm:

    CPS shuts down schools, teachers aren’t coming to work/ simultaneously ask for a pay increase, then try to charge parents for child care services, followed by an indictment around procurement….all while polling remains high for public schools. I’m baffled.


  12. - Flapdoodle - Thursday, Aug 27, 20 @ 1:49 pm:

    “Why should people in their 20’s with no kids be allowed to vote in these races?”

    Wow — more restrictions on voting, eh? How about also allowing only property owners to vote? Or only property owners with children currently enrolled in CPS? And maybe also add a length of residence requirement? C’mon, I’m sure you can get real creative in finding ways to limit fundamental democratic rights. Sheesh.


  13. - Joe Bidenopolous - Thursday, Aug 27, 20 @ 1:53 pm:

    =Why should people in their 20’s with no kids be allowed to vote in these races? =

    Because they pay property taxes too, that’s why


  14. - Last Bull Moose - Thursday, Aug 27, 20 @ 2:00 pm:

    People who advocate for more government monopolies should consider CPD as an example of what you get. I think CPD with 400,000 students is way too big.

    On who should vote, I have always been worried about the effects of representation without taxation. Just not worried enough to try to change our current system.


  15. - Kyle Hillman - Thursday, Aug 27, 20 @ 2:11 pm:

    ===Um, plenty of elected people have been convicted of corruption.===

    Fair point.


  16. - Cook County Thinker - Thursday, Aug 27, 20 @ 2:25 pm:

    Stories like this don’t encourage confidence in public education. Gallup’s new poll claims 3.5 million students will be leaving Public Schools. Gallup estimates that 10% of students will be homeschooled which means not enrolled in any formal school but taught at home. Can CPS keep their 355000 student enrollment? Not with stories like this.


  17. - Oswego Willy - Thursday, Aug 27, 20 @ 2:32 pm:

    === Can CPS keep their 355000 student enrollment? Not with stories like this.===

    lol

    Unless there are vouchers for private schools…

    … and let’s be honest, shall we… how many parents of public school students are at the brink of leaving CPS… and a janitorial contract scandal will tip the scale? Laugh. Out. Loud.

    Then there are the kids at, say, Peyton Prep, those parents are gonna remove those students… because of a janitorial contract scandal? Parents were trying to clout kids IN, not get them out.

    Starting the weekend off early?


  18. - Huh? - Thursday, Aug 27, 20 @ 2:36 pm:

    “Why should people in their 20’s with no kids be allowed to vote in these races?”

    I’ll give up my right to vote in school elections when my property taxes no longer include assessments for schools.


  19. - Cook County Thinker - Thursday, Aug 27, 20 @ 2:43 pm:

    A 355000 number for the coming school year would be a major achievement. Hope springs eternal.


  20. - The Opinions Bureau - Thursday, Aug 27, 20 @ 2:47 pm:

    “Why should people in their 20’s with no kids be allowed to vote in these races?”

    Gosh, that’s a pretty silly way to think about how to fairly make collective decisions in our society.

    Counterpoint: Why should parents or teachers be allowed to vote at all? They have a massive conflict of interest. Put us DINKs in charge, we’re the only ones who can be impartial.


  21. - dbk - Thursday, Aug 27, 20 @ 2:53 pm:

    Hmm, something something … does everyone remember Lauren Fitzpatrick’s story on the outsourcing of CPS maintenance services?

    https://chicago.suntimes.com/2018/3/28/18452253/cps-inspections-blitz-finds-rat-droppings-bugs-filth-in-schools

    Privatizing core services - well, it has costs.

    Not really a surprise that contracting was awarded on the basis of insider information.


  22. - City Zen - Thursday, Aug 27, 20 @ 2:53 pm:

    ==Why should people in their 20’s with no kids be allowed to vote in these races?==

    CPS’s budget is “balanced” on the backs of people in their 20’s with no kids. Most of them move out of Chicago when their kids reach school age anyway, saving CPS more money.


  23. - Siriusly - Thursday, Aug 27, 20 @ 3:15 pm:

    Ms Jackson, if you’re nasty.


  24. - 1st Ward - Thursday, Aug 27, 20 @ 3:25 pm:

    The CPS board doesn’t set property taxes The local taxing bodies do. Property taxes pay for more than just schools as well.

    Someone in their 20’s with no kids has no skin in the game. If you look at what we vote on as a society regardless of if you are 18, 80, or in-between regardless of situation you have skin in the game in the outcome. The decisions of those bodies effect everyone. An elected school board does not have any effect over certain people so why should those groups have influence on an election?

    There are better ways than a fully elected school board to achieve better outcomes for CPS, parents, teachers, students, and unions.

    The Los Angeles Times concluded the city’s 2017 school board elections were the most expensive in U.S. history, as charter supporters and unions spent nearly $15 million to battle each other.

    “Almost no one votes, and it’s usually special interests that do,” Duncan said of school board elections. “In reality, almost no one pays attention and this is a huge enterprise of immense importance for the city. What I want is not diffuse accountability, I want direct accountability.”

    https://www.chicagotribune.com/news/ct-met-chicago-elected-school-board-debate-20190418-story.html

    There is no consensus among researchers about whether any particular form of school governance—including state takeovers, mayoral control, or elected local boards—leads to better student performance or fiscal management.”

    https://www.chicagomaroon.com/article/2019/4/30/state-bill-elected-chicago-school-board-could-soon/


  25. - retired 126 - Thursday, Aug 27, 20 @ 3:33 pm:

    So he lied to the G. What happens when the G lies to you.


  26. - Socially DIstant watcher - Thursday, Aug 27, 20 @ 4:00 pm:

    @1st: CPS isn’t a taxing body? Well, aren’t you silly.

    Silly silly silly


  27. - Left Leaner - Thursday, Aug 27, 20 @ 4:15 pm:

    ==the appointed board skipped pension payments for a DECADE==

    With all due respect to Sen. Martwick, an elected General Assembly has done a REALLY bad job of managing the State’s pension obligations over the last decadeS.

    Why should we believe that an ERSB would do better than an appointed one on this particular (very important) issue?


  28. - Yellow Dog Democrat - Thursday, Aug 27, 20 @ 5:23 pm:

    To the Update:

    It’s about Checks and Balances, there are none in the current system. It’s fertile ground for anyone with bad intentions.


  29. - Blue Beard - Thursday, Aug 27, 20 @ 5:35 pm:

    An elected school board would be bought by CTU. No thanks.


  30. - Flapdoodle - Thursday, Aug 27, 20 @ 5:49 pm:

    “An elected school board does not have any effect over certain people so why should those groups have influence on an election?”

    So you’re saying the public education of future citizens is irrelevant to the public as a whole? That the citizenry has no generalized interest in quality education? That quality public education does not affect the general welfare, government, and economics of society?

    Good Lord, how daft can one be?


  31. - Huh? - Thursday, Aug 27, 20 @ 7:29 pm:

    1st ward - CPS is likely a taxing body. As such, they set the levy for the property tax assessment.

    My property taxes have separate assessments for the county, county highway, municipality, elementary and high schools, community college, library, township. I may be missing one or two. That being said, each of the taxing bodies levy taxes on my property based on the assessed value.

    To determine the levy, the taxing body developes a budget for the coming year and divides that number by the total assessed value of the property in the taxing district. That is the rate applied to the assessed value of each property.


  32. - Three Dimensional Checkers - Thursday, Aug 27, 20 @ 11:14 pm:

    It’s too bad. Jackson had a pretty high star, but it looks like it may flame out now. I don’t think you can tell much about who is a register lobbyist for whom. That stuff is not worth the paper it is printed on.


  33. - I'm A Lawyer - Friday, Aug 28, 20 @ 12:52 am:

    https://chicago.suntimes.com/2017/7/22/18357779/rep-didn-t-list-source-of-income-because-form-was-hard-to-understand

    “When I get to the disclosures, I try to be as open as I can be,” Martwick says. “I’m a lawyer, but, looking at those questions, I don’t know what they’re asking.”

    “Why I disclosed this year and not any other year?” says Martwick. “Maybe I need to go back and amend those forms.”

    Not listing First Tuesday on his state ethics forms isn’t the only problem that attorney Martwick has had with following the rules regarding his company.

    According to state corporate records, First Tuesday was dissolved in 2009 and hasn’t been registered with the state to do business in Illinois since then. Martwick says that, too, was a mistake, one that his accountant caught earlier this year. He says he’s paying nearly $1,400 to the state to reinstate the company’s corporate registration and to make up for fees he should have paid the past eight years.

    Also, Martwick acknowledges not having a Chicago city business license. But he says he plans to go to City Hall and apply for one soon.


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