#553 Aug 4, 2014
It is apparent that Genova has not learned his lesson. Harvey should not pay him a single penny. This sounds like another Letke- Genova scheme. Genova needs more jail time, according to the following article.
A cash-strapped city
Besides the SEC complaint, Harvey and Letke are co-defendants in another federal lawsuit, filed April 2012 by former Calumet City Mayor Jerry Genova.
If the name sounds familiar its because Genova was once a Golden Boy of suburban Democratic politics, elected mayor fresh out of Notre Dame law school.
Genova waged an unsuccessful campaign for state treasurer, and his ascension hit a wall when he was convicted in 2001 on federal charges he accepted $125,000 in kickbacks and used city workers on city time to aid his political campaigns.
After his release from prison, Genova worked for one of Letkes companies for an annual salary of $100,000 plus a quarterly bonus of at least $10,000, according to the complaint, filed in U.S. District Court.
Genova alleges in that lawsuit that Letke fired him around April 2010 under pressure from Harvey Mayor Eric Kellogg who threatened to remove Letke as Harvey Comptroller if Plaintiffs employment continued because Genova had supported one of Kelloggs mayoral opponents.
After two years of legal wrangling the two sides appeared to be close to a settlement that, sources say, involved Harvey paying Genova up to $400,000.
But the Harvey City Council recently rejected the deal, raising the possibility that Genovas case will go to trial.
We rejected it based on the fact that he was asking for too much, Harvey Ald. Joseph Whittington says.He doesnt deserve that. Were a cash-strapped city.
Genova declined to comment.
#554 Aug 5, 2014
The actions of the Jawa Board members and associates are consistant with other collapsed projects involving these same individuals.
#555 Aug 6, 2014
January 15, 2009
By Casey Cora, Staff writer
Soaring water prices in Chicago and debt from a $5.4 million booster station in Oak Lawn mean water bills in a number of Southland towns will be on the rise.
The Oak Lawn Village Board has approved increases in the rates it charges other suburbs that Oak Lawn supplies with Lake Michigan water from Chicago.
Water rates rising
Town 2008 ($) 2009 ($)
Oak Forest 1.854 1.940
Tinley Park 1.859 1.940
New Lenox 0.1134 0.1139
Mokena 0.1134 0.1139
Chicago Ridge 1.811 2.083
Palos Hills 1.811 2.083
Orland Park 1.70 1.93
Ctry Club Hills 1.70 1.93
Matteson 1.70 1.93
Olympia Fields 1.70 1.93
Orland Hills 2.375 2.605*
Palos Park 1.755 1.985
Bridgeview 2.000 3.015
Source: Oak Lawn
Oak Lawn supplies several Southland communities with Lake Michigan water it gets from Chicago. The village has increased the amount it will charge communities for water this year. Rates are in dollars per 1,000 gallons of water.
* Oak Lawn officials said they were waiting for more information to determine a final rate.
The board on Tuesday approved rate hikes for Oak Forest, Tinley Park, Mokena and New Lenox, adding to the eight communities for which it approved rate increases last month.
Tinley Park, Mokena and New Lenox use booster stations paid for by Oak Lawn, which is on the hook for the remaining $5.2 million borrowed to build a new station at 163rd Street and Central Avenue in 2006.
"They're paying their fair share," Oak Lawn village manager Larry Deetjen said.
The rate increases charged by Oak Lawn will mean water bills across the Southland will increase.
And Oak Lawn officials insist it's not their fault, saying the move was largely based on expected rate increases from Chicago, which supplies Lake Michigan water to Oak Lawn.
The village then sells water to other municipalities. It also provides Illinois American Water Co., which in turn supplies Orland Hills, and sells a tiny amount to Bridgeview.
Chicago last year raised the rate it charges Oak Lawn for water by 15 percent in 2008, and has increased the rate for 2009 another 15 percent. A 14 percent increase is slated for next year.
"The village can't take that on," village finance director Brian Hanigan said. "We've got to pass that on."
And that applies to the village's own residents, too. The board last month increased the water rates for Oak Lawn residents.
The small portion of Oak Lawn households that use less than 10,000 gallons per quarter, mostly senior citizens, will pay $3.76 per 1,000 gallons, a 6.5 percent increase from 2008.
The village this year created a new class of customers, those who use more than 10,000 gallons but less than 30,000 gallons per quarter. This group, which makes up the majority of the village's households, will pay $3.86 per 1,000 gallons, an increase of a little more than 4 percent.
That means most village households will see their water bills increase between $1.60 and $4.80 per quarter.
And in an effort to promote water conservation, households using more than 30,000 gallons per quarter will pay $3.96 per 1,000 gallons, a 7 percent increase from 2008.
Commercial water customers in Oak Lawn also will see their rates increase.
Those using up to 4,000 gallons per month will be charged $3.76 per 1,000 gallons, an increase of 6.5 percent. Those using between 4,000 and 10,000 gallons monthly - a new rate class - will be charged $3.86 per 1,000 gallons, an increase of a little more than 4 percent.
And those commercial customers who use more than 10,000 gallons per month will pay $3.96 per 1,000 gallons, a 7 percent increase.
All of the rate increases, including those approved Tuesday night, are effective Jan. 1 of this year.(2009)
#556 Aug 6, 2014
Two years later; Jawa financial records have been subpoenaed, PNC Bank bailed, nearly half of the funds have been distributed for services not/never rendered or double and triple dipping.
#557 Aug 18, 2014
Attorney Mayor Vargas, what a mess you got Blue Island involved in. And what are you doing about it?
Harveys ex-comptroller took the Fifth 178 times
Federal regulators call it a fiasco.
But the City of Harveys former comptroller, Joseph Letke, didnt want to talk under oath about his leading role in an unfolding scandal that has left the poor and crime-plagued south suburb close to financial ruin.
I respectfully decline to answer on the basis of my Fifth Amendment right to remain silent, the 55-year-old said.
It was a phrase he repeated a staggering 178 times during a deposition in April, recently filed court papers show.
A lawyer for Harvey was in the room as Letke took the Fifth time and time again. Yet Letke continued to advise Mayor Eric Kellogg for months.
The deposition grilling by an attorney for Harveys firefighters pension fund happened on April 7, 17 days before Letke wrote a memo to Kellogg warning that Harvey was suffering a cash flow crisis.
But it wasnt until the end of June after the Securities and Exchange Commission filed a civil lawsuit against Letke and Harvey that the city says it finally fired Letke.
Now the SEC wants U.S. District Judge Amy St. Eve to consider Letkes deposition as evidence that Harvey should be banned from issuing municipal bonds.
St. Eve, who is due to hear evidence about Letkes role in an alleged $14 million bond fraud at a preliminary injunction hearing next month, last week ordered Letke to undergo a second deposition, this time at the hands of an SEC attorney.
The SEC says Letke helped Harvey defraud investors about how it intended to use cash it raised in the bond market between 2008 and 2010.
The money was supposed to be used to develop a Holiday Inn Hotel, which would then generate tax revenue to repay bond holders. But after taking huge sums of cash, developer Satish Gabhawala allegedly fled to India, leaving the unfinished hotel to rot.
Harvey used at least $1.7 million of the remaining bond funds to illegally paper over cracks in its general accounts, including to make payroll for city workers, the SEC alleges.
And Letke, who says he cannot afford an attorney and is defending himself, was handed $269,000 in undisclosed payments by Gabhawala at the same time he was being paid $540,000 in consultants fees for marketing the bonds by Harvey, its alleged.
Letke took the Fifth when asked in April if that was a conflict of interest, and when asked if he was responsible for Harveys impending financial ruin.
He also took the Fifth when quizzed about his friendship with Kellogg, his knowledge of an $88,000 payment the City paid to Kelloggs son to set up a Facebook and Twitter account, and about allegedly corrupt payments made to businesses owned by a Harvey alderman and Dixmoor Mayor Donald Luster.
Harvey spokesman Sean Howard declined to answer questions last week about why Kellogg continued to employ Letke even after Letke took the Fifth. Calls to Letke were not returned.
But the stakes appear to be rising for Letke, whose government role in a number of south suburbs and the South Suburban Joint Action Water Agency is also under federal investigation.
Notably, Letke was employed by the suburb of Riverdale when it, in 2012, gave convicted fraudster John Thomas $900,000 in Tax Incremental Financing to redevelop its marina.
Thomas a former federal mole, who wore a wire against former Gov. Rod Blagojevichs disgraced fundraiser Tony Rezko pleaded guilty in federal court in May to looting the Riverdale TIF money for his own use.
Thomas was also involved in raising financing for the Harvey Holiday Inn project and, sources say, wore a wire for the FBI at a meeting with Gabhawala and Letke.
Contributing: Better Government Association
#558 Aug 18, 2014
Together Jawa directors, advisors, and participants; collaborated to gain access and distribute six million dollars. Specifically, Jawa Directors knowingly repeatedly voted to approve bills that paid for fraudulent services.
#559 Aug 18, 2014
Any chance Letke had a wire for his JAWA buddies?
#560 Aug 18, 2014
Perhaps Letke had a wire for his JAWA buddies?
#561 Aug 18, 2014
Perhaps Letke had a wire for his JAWA buddies?
#562 Aug 18, 2014
Perhaps; Letke wore a wire for his JAWA buddies.
#563 Aug 18, 2014
Any wonder, why there is a Peloquin connection?
#564 Aug 19, 2014
Well funded with taxpayer dollars; this is really a sign of something much bigger; rounded out by a large group of the very well connected.
#565 Aug 19, 2014
Federal regulators call it a fiasco.
#566 Aug 20, 2014
A big Than You to The Persons informing the residents, and Authorities about the JAWA SCAM.
#567 Aug 20, 2014
Waiting in the wings is another company ready to sign on and milk the cash cow.
#569 Aug 31, 2014
The scam is revealed,finally.
#570 Aug 31, 2014
All of the SSJAWA participants need to be prosecuted; "To the Full Extent of the Law" with "All of the Ill Gotten Gains Returned to the Taxpayers".
#571 Aug 31, 2014
Blah blah blah
#572 Aug 31, 2014
Judge limits Harvey from misusing water cash
A Cook County judge took the rare step Friday of imposing limits on how a south suburb spends its revenue from selling water amid complaints that officials for years misused $20 million it was supposed to pay Chicago for supplying its water.
Associate Judge Rita Novak ruled that scandal-plagued Harvey must use its water collections to pay only for water-related expenses, as state law requires. Harvey officials have said the town has been using the cash to cover multimillion-dollar budget shortfalls among the many woes the Tribune has chronicled in a town with high rates of violence, subpar policing and insider deals that have helped drain town coffers.
The city of Chicago sued Harvey in 2012, accusing it of failing to pay for water it purchased from the city. Harvey sells the water to its residents as well as to neighboring municipalities but began falling behind in its payments to Chicago in 2008. It hasn't made a payment since March, and now it owes $20 million plus $4 million in late fees, court records show.
Chicago and the suburbs buying Harvey water Homewood, East Hazel Crest, Hazel Crest, Posen and Dixmoor had asked Novak to issue an emergency order naming a trustee to ensure that money coming in now was not misspent while the lawsuit is pending.
Shelly Kulwin, a private attorney who represents Chicago, told the judge that the city has no choice but to supply water to Harvey, so the cash-starved suburb was, in essence, forcing Chicago to be the "bank of last resort." He said Harvey's government was in such "disarray" that it couldn't be trusted to not misspend the $1 million a month it collects for water.
Harvey's lawyer, Benjamin Jacobi, argued against limits for now because the case was pending, with all of the evidence not yet gathered and presented. He said the case was merely a "contract dispute."
The judge struck a middle ground, ruling that Harvey had to spend its water collections on water-related items only but stopping short of appointing a trustee. As part of a previous ruling, Harvey has until Friday to file records showing the court how it has spent the money it has collected.
A Chicago spokesman said the city was "pleased" with a ruling it felt would stop Harvey's "unlawful conduct." A spokesman for the suburb said it was "satisfied" with the ruling and looked to resolve the case.
Friday's order sets the stage for a November trial over whether to broaden the oversight of Harvey's water collections, as Chicago wants. Until then, if the judge determines that Harvey or its officials exceed the limits imposed Friday, she could hold the town or its officials in contempt of court.
#573 Aug 31, 2014
...."ruling that Harvey had to spend its water collections on water-related items only but stopping short of appointing a trustee. As part of a previous ruling, Harvey has until Friday to file records showing the court how it has spent the money it has collected."
Add your comments below
|Alderman Hawley and his misinformation program (Feb '14)||1 hr||Dominga Vagina||177|
|I'm glad I moved away (Apr '10)||3 hr||still relevant||20|
|Haunted Houses (Oct '08)||3 hr||x-trustee||18|
|$1 Bottles at SS Tonite (Aug '08)||3 hr||Cleveland Steamrer||14|
|Scott Schaal scam (Nov '12)||3 hr||bump||15|
|Review: Public Moving and Storage||4 hr||joyce smith||135|
|Ridgefest 2011 (Feb '11)||4 hr||Rusty Tromboine||94|
Find what you want!
Search Dixmoor Forum Now
Copyright © 2016 Topix LLC