The northern Illinois city has decided to take legal action in response to the Rita Crundwell case. The lawsuit says the accounting firms the city was using should have noticed that millions of dollars had gone missing.
Three bills stand out among those receiving attention Wednesday in the Illinois Legislature. One has to do with health-insurance costs for state retirees. Another is in response to the comptroller scandal in Dixon. The third seeks to end the scandal-plagued legislative scholarship program.
The city of Dixon may be out 20-million dollars more than originally thought in the case against its former comptroller. Federal prosecutors have now charged Rita Crundwell with stealing 53-million dollars over the past 22 years. In the original complaint against Crundwell, she was accused of embezzling an estimated 30-million since 2006 to “support her lavish lifestyle.”
The city of Dixon garnered the world’s attention this week with the arrest of the city’s comptroller. Rita Crundwell was charged in federal court with wire fraud, related to more than 3 million dollars missing from the city’s coffers since last Fall. Federal investigators also accuse her of embezzling more than 30-million dollars from the city over the past six years. WNIJ’s Susan Stephens has been following the story all week. She spoke with Jenna Dooley about the case and what she learned about the 58-year-old Dixon native while talking to people who know her.
Dixon Mayor James Burke held a news conference Wednesday morning in Dixon, Ill., to address several issues regarding the arrest of City Comptroller Rita A. Crundwell on a federal charge of misappropriating $3.2 million in city funds.
Burke thanked the FBI for its efforts and ann0unced that Crundwell is suspended without pay pending resolution of the charges against her. He said he "literally became sick to my stomach" while meeting with agents on the case.
The mayor declined to answer any questions from reporters in attendance, including WNIJ's Susan Stephens. Here is the text of Mayor Burke's statement: