A Chicago health club’s former controller has been convicted of embezzling more than $4 million from the club.
Peter Craig Savely, 58, of Chicago, pleaded guilty to one count of bank fraud Thursday, according to a statement released by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois. The conviction is punishable by a maximum sentence of 30 years in federal prison and a fine of up to $1 million, with restitution being mandatory.
The guilty plea was set in motion by U.S. District Judge Ronald A. Guzman, who scheduled sentencing for February 2, 2023, at 2:00 p.m.
Savely admitted in a plea agreement that from 2013 to 2020, he issued purported payroll checks on the club’s bank account to four employees. He signed the checks as the club’s controller and forged the CFO’s signature without their knowledge, according to the plea agreement.
Savely then forged the payees’ signatures to fraudulently endorse the checks and deposited them into bank accounts that he controlled. As a result of the fraud scheme, Savely converted more than $4.1 million for his own personal use.
The ex-controller attempted to conceal the embezzlement by making false entries in the club’s financial ledgers and causing the losses associated with the checks to be spread across multiple departments, making the losses harder to detect.
The government is represented by Assistant U.S. Attorney Elly M. Peirson. The guilty plea was announced in conjunction with Douglas Zloto, Special Agent-in-Charge of the U.S. Secret Service Chicago Field Office, and David Brown, Superintendent of the Chicago Police Department.
Savely faces up to 30 years in federal prison and a fine of up to $1 million. He is also required to pay restitution of more than $4.1 million.
Key Facts
- State: Illinois
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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