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* My statewide syndicated newspaper column…
The federal complaint charging seven people in Chicago last week in an alleged bribery conspiracy is 42 pages long. Former state Sen. Rickey Hendon is mentioned 21 times in those 42 pages, although never by name.
It’s pretty clear from the document that the U.S. attorney’s office has been looking at Hendon, a Chicago Democrat, for at least four years.
In July 2008, the Chicago Tribune published an exposé on state grants steered to local groups by Hendon. The Tribune claimed that half of the 48 grant recipients “were running dubious programs or declined to show how they spent the money.”
Conveniently, that same month, the feds busted a Chicago police officer during an investigation into gun trafficking and public corruption. The cop quickly offered to cooperate to reduce his sentence.
It doesn’t take much reading between the lines to see that the corrupt cop may have been given the task of helping federal agents nab Hendon. One of the officer’s longtime friends was Dean Nichols, a close friend of Hendon.
Just a month after that cop was busted, the FBI recorded Nichols talking about another Hendon pal, Reggi Hopkins. A partial transcript provided by federal prosecutors purports to show that Hendon and Nichols steered a $170,000 state grant to a group that Hopkins ran but only on the condition that Hendon’s nephew and Nichols shared the spoils.
Nichols was recorded by the feds quoting Hendon as telling Hopkins, “whatever you’re gonna do, I want you to include” the nephew. Nichols was recorded as saying that Hendon’s nephew would “split the salary part” of the grant.
Hopkins’ group also received a $20,000 grant from the state in 2008, and it submitted a budget showing that Hendon’s nephew was getting $3,250 in salary, according to the government.
In June 2010, Hopkins was recorded telling the Chicago cop that he had been “donating 15 percent” of what he made off the grants to Hendon’s campaign. However, state campaign records “do not show significant contributions from Hopkins” to the campaign, the charges say.
A few months after that conversation with Hopkins was recorded, a federal grand jury subpoenaed state records of grants that Hendon had steered to various West Side groups from 2006 to 2008.
Hendon abruptly resigned from the Senate four months after the grand jury subpoena was issued, but prosecutors were apparently still interested.
In September 2011, seven months after Hendon resigned, the FBI recorded Hopkins complaining that Hendon’s nephew and Nichols “literally did nothing” for the money they were given from the state grant he had obtained.
The following month, a Hendon friend named Elliott Kozel told the officer/informant that he had received a state grant via Hendon and that Nichols had been paid “a couple of grand.”
So, what do we have here?
Well, what appears to have been a big break for the feds in 2008 obviously didn’t have any immediate benefit. Nobody was busted, after all. The 2010 subpoenas of Hendon’s grants after Hopkins’ admission that he paid Hendon’s nephew haven’t yet produced any high-level indictments, either.
But then in July 2011, five months after Hendon resigned, federal agents set up a sting operation. They had the police officer tell Nichols that he had “run into a friend” who could dole out $25,000 federal grants almost at will in exchange for $5,000 off the top.
Nichols allegedly brought Hopkins and Kozel into the scheme along with four others. They were the seven charged last week with conspiracy to commit bribery.
Sometimes, when standard investigations don’t work and informants don’t work and subpoenas don’t work, the feds resort to setting up smaller players for a fall in the hope that the small fish will flip on the bigger ones, such as Hendon.
The way the federal case against the seven is written, it’s obvious whom federal prosecutors are really targeting or desire to publicly shame if they can’t get him.
The government is extremely careful about how it outlines a criminal case and the wording used, so it seems highly unlikely that it would mention Hendon 21 times without trying to send a message to all.
* Meanwhile, the Sun-Times looks at the ties to Hendon of the nine people arrested or indicted last week…
◆ Nichols, 62, of Oak Park, an accountant who also has notarized Hendon nominating petitions.
◆ Hopkins, 43, of Chicago, who was paid $200 for a logo for Hendon
◆ Anthony Johnson, 59, of Chicago, who has circulated nominating petitions for Hendon and has been paid $1,055 by Hendon’s campaign fund.
◆ Elliott Kozel, 51, of Chicago, a Cook County corrections officer who has circulated Hendon nominating petitions and has contributed $170 to Hendon’s campaign fund.
◆ Regina Hollie, 48, of Chicago, who has been paid $550 by Hendon’s campaign fund.
According to federal prosecutors, the seven who were charged last week thought that the U.S. Department of Health and Human Services was handing out $25,000 federal grants “like candy” to those who would kick back $5,000 to what turned out to be a fictitious HHS official. An informant — a crooked cop who made a deal to work for the government — secretly recorded conversations detailing the scheme.
That same informant also proved key in a separate criminal case filed last week that also has ties to Hendon, who formerly worked for the Cook County Board of Review. In that case, two employees of Board of Review Commissioner Larry Rogers Jr.’s staff were accused of accepting a $1,500 bribe in 2008 to reduce property-tax assessments for the informant.
Records show that one of the men charged — Thomas D. Hawkins, 48, of Chicago — has circulated nominating petitions for Hendon, who also worked for Rogers until he left the Board of Review staff in 2006.
posted by Rich Miller
Monday, Jul 23, 12 @ 12:17 pm
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Looks like the Feds have started a new game show, “Roll on Rickey.” We’ll see which of these contestants is first (or next) to play…
Comment by Ron Burgundy Monday, Jul 23, 12 @ 12:25 pm
I think the IRS is probably going over a lot of records looking into Nichol’s 15% claim, especially since it doesn’t appear that campaign contributions were reported. If Nichols is telling the truth in this instance, and the feds can prove it, there will likely be a case for under reporting of income.
Rickey, you got some splaining to do.
Comment by 47th Ward Monday, Jul 23, 12 @ 12:44 pm
You mentioned last year he was in the admaking business and posted a few of his ads. I heard one that sounded like the one you posted, only this time it was for an education reform group on WLS-is he still in the business?
Comment by Shore Monday, Jul 23, 12 @ 12:47 pm
Can you imagine ol Rickey in Federal Court with Sam Adams Jr as his counsel… what a show!!!!!
Comment by PQ's Primary Opponent Monday, Jul 23, 12 @ 12:53 pm
Sigh — Is there no end to this crap?
Comment by lincolnlover Monday, Jul 23, 12 @ 1:40 pm
According to many commenters in past threads. This type of corruption isn’t worthy of one minute of the feds time.
I am not one who agrees. Hang’em all until the message is received that this way of doing business never was acceptable and now will not be tolerated.
Comment by Leave a Light on George Monday, Jul 23, 12 @ 1:45 pm
I had to go watch a few “The Wire” episodes with the Clay Davis character last week just to prepare myself for what’s to come.
Comment by Dirty Red Monday, Jul 23, 12 @ 2:23 pm
The feds spend countless hours and taxpayer money on these folks. It is like drug dealers. Put one in jail and two more pop up. It’s a cultural thing.
Comment by Mad man Monday, Jul 23, 12 @ 2:36 pm
I had a good laugh thinking about PQ’s comment.
I remember Adams, Jr. saying a court room is a show, he who puts on the best show wins. I can only imagine he and Hendon together.
Comment by Regular Reader Monday, Jul 23, 12 @ 2:37 pm
===According to many commenters in past threads. This type of corruption isn’t worthy of one minute of the feds time.===
Seems like a drive-by comment to me. I’m for pursuing all public corruption. There’s plenty to be found on both sides of the aisle, and from one end of the state to the other.
Comment by PublicServant Monday, Jul 23, 12 @ 3:13 pm
For this sting to not set off major alarm bells to these folks begs the question ” How much of the Iceberg has not been exposed”.
There are those who make a decent living as grant writers because they know the system. What I know about all this is limited to the low income housing construction type grants. As I understand it you pretty much need someone hooked in to help you write a grant app that will score well enough to get you in the mix. You are then scored and those at the top get the grant. It is a small group of developers who pair with not-for-profits that dominate this field. For those involved to not think this was odd is sad.
Comment by Bemused Monday, Jul 23, 12 @ 3:56 pm
Wonder if Ricky learned the less of Willie Cicci: “Buffers, the family was big on buffers.”
Comment by wordslinger Monday, Jul 23, 12 @ 4:33 pm
@ Public Servant- Nothing drive by about it. Go back and look at the comments made the day Rich posted the story on the indictments.
Comment by Leave a Light on George Monday, Jul 23, 12 @ 4:47 pm
In the immortal words of Kool and the Gang…
“Hollywood…Hollywood’s Swingin!”
Comment by Six Degrees of Separation Monday, Jul 23, 12 @ 5:48 pm
Sure it was George. No one said it wasn’t worth a minute of the feds time. They were saying don’t forget to prosecute the lasalle street banksters, while you’re going all out for the little illinois crooks.
Comment by PublicServant Monday, Jul 23, 12 @ 6:32 pm
Oh come on, it’s just Ricky being Ricky…
Comment by Holdingontomywallet Monday, Jul 23, 12 @ 7:35 pm
Not surprising at all and perhaps more to come. I believe a certain State Senator from Cicero is just happy the spotlight is not on him…..yet!
Comment by Not in the Know Tuesday, Jul 24, 12 @ 7:39 am
18USC $ Title 18>Part1>chapter63> 1342 & 1346 may put both “mole” and federal entrapment officials on wrong side of law! Why would it be right to rob Santa Claus @ gunpoint, just to prove he pocketed a piece of peppermint from Macy’s Tree?
Comment by coolerheadprevails Tuesday, Jul 24, 12 @ 10:23 pm