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Anti-Corruption - University of Illinois at Chicago

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political work for the mayor and his allies. All together over 40 people were indicted or<br />

convicted as a result <strong>of</strong> this investig<strong>at</strong>ion. The estim<strong>at</strong>ed cost <strong>of</strong> this scandal is $10 to $15<br />

million per year for <strong>at</strong> least 10 years.<br />

Incub<strong>at</strong>or and City Contracts<br />

Oper<strong>at</strong>ion Incub<strong>at</strong>or was a federal investig<strong>at</strong>ion into city contracting, particularly<br />

granting a City <strong>of</strong> <strong>Chicago</strong> parking fine collection contract from one New York company<br />

to another. This probe revealed rampant corruption and use <strong>of</strong> bribery to win city<br />

contracts for collecting unpaid parking tickets and w<strong>at</strong>er bills. Four aldermen, a former<br />

st<strong>at</strong>e sen<strong>at</strong>or, a deputy w<strong>at</strong>er commissioner and an aide to former Mayor Washington<br />

were among the convicted individuals. The Incub<strong>at</strong>or corruption scandal cost citizens<br />

over $239,000.<br />

Licenses for Bribes (Oper<strong>at</strong>ion Safe Roads)<br />

A f<strong>at</strong>al truck accident in 1994 and a government whistleblower led to an investig<strong>at</strong>ion<br />

into a scheme to trade truck oper<strong>at</strong>ors’ licenses for political contributions. The massive<br />

investig<strong>at</strong>ion, Licenses for Bribes, resulted in 79 people charged, including former<br />

Governor George Ryan. The probe revealed th<strong>at</strong> the examiners <strong>at</strong> the secretary <strong>of</strong> st<strong>at</strong>e’s<br />

<strong>of</strong>fice were selling truckers’ licenses for bribes, with money funneled to Secretary <strong>of</strong><br />

St<strong>at</strong>e George Ryan’s campaign. The investig<strong>at</strong>ors discovered th<strong>at</strong> the Inspector General<br />

was obstructing investig<strong>at</strong>ions and th<strong>at</strong> Governor Ryan accepted free vac<strong>at</strong>ions and other<br />

favors while giving out st<strong>at</strong>e contracts to his friends. The George Ryan scandal cost<br />

taxpayers almost $5 million.<br />

Silver Shovel<br />

Federal authorities conducted a massive corruption investig<strong>at</strong>ion, named Oper<strong>at</strong>ion Silver<br />

Shovel, into <strong>Chicago</strong> city government regarding suspicions about public <strong>of</strong>ficials<br />

misusing their <strong>of</strong>fices by permitting illegal landfills and other environmental abuses to<br />

occur. The probe revealed th<strong>at</strong> corrupt aldermen accepted bribes to allow illegal dumping<br />

in their wards. At its conclusion in 1996, Silver Shovel had uncovered everything from<br />

labor union corruption to drug trafficking and organized crime activity and resulted in 18<br />

convictions and guilty pleas from public employees and six aldermen. Besides costing<br />

taxpayers $5.4 million, this investig<strong>at</strong>ion caused more tangible harm to low-income<br />

wards where tons <strong>of</strong> debris were illegally dumped.<br />

Conclusion<br />

<strong>Corruption</strong> is not funny and it is not free. It costs <strong>Illinois</strong> taxpayers more than<br />

$500 million a year. The Hired Truck Program included a hidden “waste and stolen<br />

services bill” estim<strong>at</strong>ed to be $10 to $15 million annually for more than 10 years. The<br />

City Inspector General found th<strong>at</strong> Sanit<strong>at</strong>ion Department garbage collectors worked 25%<br />

less time than they were paid for – costing the city more than $20 million for work not<br />

done by employees. Governor Blagojevich’s well publicized corruption lowered the<br />

st<strong>at</strong>e’s bond r<strong>at</strong>ing and cost more than $20 million more for the last st<strong>at</strong>e bond issue. And<br />

so it goes – in a time <strong>of</strong> deep recession we are wasting taxpayer money and raising taxes<br />

and fees on citizens who can ill afford to pay for corruption any longer. A corruption tax<br />

<strong>of</strong> $500 million a year is too high.<br />

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