Grimy Times has learned that ALICE SHERROD, a former North Chicago school board member, has been sentenced to 30 months in federal prison for her role in a bus contracts fraud scheme.
According to court documents, Sherrod, 63, of North Chicago, received at least $566,000 in kickbacks from three co-defendants who controlled several transportation companies that received more than $21 million in student bus contracts over nearly a decade.
The scheme, which began in 2001 and continued until 2010, involved Sherrod and her co-conspirators, including Gloria Harper, who was the former President of the North Chicago school board, soliciting and accepting gifts and cash from transportation companies in exchange for favorable official action regarding student transportation contracts.
Initially, Sherrod and Harper received kickbacks of approximately $4,000 to $5,000 a month, but by 2003, they were collecting approximately $20,000 a month. The scheme ultimately resulted in more than $9.6 million in profits for the co-conspirators.
U.S. District Judge Sharon Johnson Coleman imposed the sentence on Sherrod, who pleaded guilty in September 2013 to one count each of wire fraud and filing a false federal income tax return. Judge Coleman also ordered Sherrod to pay approximately $7.2 million in restitution.
Sherrod’s co-conspirators, including Gloria Harper, Tommie Boddie, Derrick Eubanks, and Barrett White, have also been sentenced for their roles in the scheme. Harper received a 10-year sentence, Boddie received a one-day term of imprisonment followed by a three-year term of supervised release, Eubanks received six months’ imprisonment, and White received a one-day term of imprisonment followed by a one-year term of supervised release.
The North Chicago School District has one of the highest low-income populations in the state, and the scheme deprived the district of an estimated $21 million in student bus contracts over nearly a decade.
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Key Facts
- State: Illinois
- Category: Public Corruption|White Collar Crime
- Source: DOJ Press Release â†â€â€
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