Anti-Corruption - University of Illinois at Chicago

Operation Haunted Hall 1993 to 1999
Four aldermen, the Cook County Treasurer and an Illinois state senator were among the
convicted in the federal investigation of ghost payrolling at City Hall, the government
office building shared the City of Chicago and Cook County. The investigation, named
Operation Haunted Hall, resulted in 38 indictments and 35 convictions. 37
Aldermen John Madrzyk, Joseph Martinez and Ambrosio Medrano were convicted for
putting relatives and cronies on the city payroll in jobs that required no work. 38 Former
Alderman Anthony Laurino was indicted in 1995 but he died in 1999 before his trial
which was delayed because of poor health.
Before the investigation was completed, 34 officials and employees pleaded guilty
including Illinois State Senator Bruce Farley. Marie D’Amico, who at various times had
ghost jobs at the Cook County Sheriff’s Office, the Clerk’s Office and the Chicago City
Council Finance Committee, pleaded guilty as did and her husband, John D’Amico. 1
Cook County Treasurer Edward Rosewell pleaded guilty but died before sentencing. 39
Former State Representative Miguel Santiago was acquitted in a jury trial. 40
Most of those convicted were Democrats but the probe began with an investigation of the
hiring practices of the Cook County Sheriff’s office run by Republican James O’Grady.
His undersheriff, James Dvorak was convicted. 4
The Chicago Sun-Times reported that the ghost payrolling schemes cost the taxpayers an
stimated $3 million. 4
37
“Operation Haunted Hall,” Chicago Sun-Times, June 26, 1997
38
James L. Merrriner, Grafters and Goo Goos, Corruption and Reform in Chicago 1833-2003,
Southern Illinois University Press, Carbondale, 2004
39
Matt O’Connor, Roswell makes deal in ghost-job probe,” Chicago Tribune, Nov. 26, 1998
40
Scott Fornek and Cam Simpson, “Probe still a 35-1 success, Lassar says,” Chicago Sun-Times, Jan. 28,
1999
44