Crestwood Officials Sentenced for Decades-Long Water Supply Cover-Up
Crestwood, IL – Two former Village of Crestwood officials were sentenced in November 2013 for a scheme spanning over two decades to deceive federal and state environmental regulators about the village’s drinking water supply. Frank Scaccia, 61, a retired certified water operator, and Theresa Neubauer, 56, former water department clerk, supervisor, and later Crestwood’s police chief, repeatedly lied about supplementing the village’s water with an unmonitored well, effectively obstructing the implementation of the Safe Drinking Water Act. The case, investigated by the U.S. Environmental Protection Agency (EPA) and prosecuted by the U.S. Attorney’s Office for the Northern District of Illinois, reveals a deliberate effort to prioritize political and financial gain over public health.
According to court documents, Crestwood began supplementing its Lake Michigan water supply, purchased from Alsip, with water from Well #1 as early as 1982. However, officials, directed by former Mayor Chester Stranczek (who was not charged), systematically concealed this practice from both the Illinois EPA and Crestwood residents. This deception allowed the village to avoid costly repairs to its leaking water distribution system and to evade higher water rates from Alsip. The lack of monitoring for contaminants in the well water put the health of Crestwood’s citizens at risk, as the village failed to comply with federal regulations requiring testing for organic, inorganic, and radiological contaminants.
Scaccia pleaded guilty in April 2013 to making false statements. He received a sentence of two years’ probation, with the first six months to be served under home confinement. Neubauer, convicted by a jury on eleven counts of making false statements following a week-long trial, was fined $2,000 and ordered to perform 200 hours of community service, also receiving two years’ probation. U.S. District Judge Joan Gottschall stated the case represented a “breach of the public trust” motivated by the desire to ensure the mayor’s continued re-election. The defendants falsified reports, including Consumer Confidence Reports and Monthly Operation and Chemical Analysis Reports, to create the illusion that Crestwood’s water source was solely Lake Michigan water.
Federal prosecutors emphasized the severity of the crime, highlighting the fundamental responsibility of local government to provide safe drinking water. Zachary T. Fardon, United States Attorney for the Northern District of Illinois, stated that the case should serve as a warning that obstructing the Safe Drinking Water Act for selfish purposes will be met with “vigorous federal prosecution.” Randall Ashe, Special Agent-in-Charge of the U.S. EPA’s Criminal Enforcement Program in Illinois, added that Scaccia and Neubauer denied Crestwood residents their right to know the source of their drinking water and whether it was properly tested, leaving a lasting question mark over the safety of the water consumed for years.
The scheme involved the manipulation of Annual Water Use Audit forms (LMO-2 forms) submitted to state authorities, failing to report water drawn from Well #1 or accurately account for water loss within the system. The defendants’ actions violated 18 U.S.C. 1001(a)(2) and 18 U.S.C. 1001(a)(1), which criminalize making false statements to the federal government. While the penalties – probation, fines, and home confinement – may seem relatively light, investigators argue they reflect the complexity of proving decades-old actions and the serious health condition cited by the judge in Scaccia’s sentencing. The case underscores the importance of transparency and accountability in municipal water systems and the potential consequences of prioritizing political expediency over public safety.
Key Facts
- Defendants: Frank Scaccia, Theresa Neubauer
- Location: Crestwood, Illinois
- Years of Deception: 1982 – 2008 (and beyond in terms of reporting)
- Statutes Violated: 18 U.S.C. 1001(a)(2), 18 U.S.C. 1001(a)(1) – False Statements
- Penalties: Scaccia – 2 years probation, 6 months home confinement. Neubauer – $2,000 fine, 200 hours community service, 2 years probation.
- Cover-Up Motive: To avoid costs associated with water system repairs and higher water rates, and to aid the mayor’s re-election chances.
- Unmonitored Water Source: Well #1, supplementing Lake Michigan water without proper testing for contaminants.
Source: EPA ECHO Enforcement Case Database
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