May 28, 2009 – Ald. Isaac (Ike) Carothers (29th) has been indicted on federal bribery and fraud charges. Ald. Carothers and Calvin Boender, a real estate developer, are accused of participating in a scheme to defraud the City of Chicago beginning in 2004 and continuing until Feb. 2007 involving a West Side 50-acre site called Galewood Yards.
According to the federal indictment, Carothers, who is Chair of the City Council’s Police and Fire Committee and a member of the Zoning Committee, influenced zoning changes for Galewood Yards in exchange for improvements to his home valued at $40,000 and free tickets to professional sporting events including a skybox seat to the White Sox’s playoff game in 2005.
The government claims that Boender’s company pocketed $3 million on the sale of portions of Galewood Yards, a former railroad and industrial site that spans the 29th and 37th Wards, under favorable zoning changes that Ald. Carothers either introduced or supported.
According to the 11-count indictment, Ald. Carothers asked Boender for his support of a congressional candidate in 2004 identified in the indictment as Candidate A. Prosecutors say Boender directed two associates to donate $2,000 each to the candidate, then reimbursed the amount.
Ald. Carothers and Boender will be arraigned in federal court at a later date.