Charles Cui Charged in Federal Bribery Case

Charles Cui, a 48-year-old real estate developer from Lake Forest, has been indicted on federal bribery charges in connection with a redevelopment project on the Northwest Side of Chicago.

According to the indictment, Cui was the managing member of a company that owned property in the 4900 block of West Irving Park Road in the Portage Park neighborhood. In 2016, the Chicago City Council passed an ordinance that approved a redevelopment plan for the property and provided Cui’s company with $2 million in tax increment financing.

The indictment states that Cui submitted an application for a permit to use an existing sign at the property, but it was denied by the Department of Planning and Development. Cui then emailed the 14th Ward alderman, asking him to ‘look into the matter,’ stating that the retailer ‘really needs it, otherwise they will either cancel the lease, or ask for significant rent reduction.’

Cui’s email also stated that the rent reduction would cost his company a total of $750,000, according to the indictment. The indictment also states that Cui asked a real estate attorney to have the alderman take over the property tax work for the property, stating that the alderman was a ‘powerful broker in City Hall’ and that he needed his favor for the tax increment financing.

Less than two weeks later, Cui signed a contingent fee agreement with the alderman’s law firm that provided for Cui to retain the firm to perform real estate tax work, according to the indictment. The indictment also states that Cui falsely stated to the FBI in 2018 that he hired the alderman’s law firm ‘just because he is a good tax appeal lawyer.’

Cui is charged with one count of federal program bribery, one count of making a false statement to the Federal Bureau of Investigation, and two counts of using interstate commerce to facilitate bribery and official misconduct. The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Jeffrey S. Sallet, Special Agent-in-Charge of the Chicago office of the FBI.

The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.

Federal program bribery is punishable by up to ten years in prison. The false statement charge carries a maximum penalty of five years in prison.

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