Illinois Business Owner Pleads Guilty to Defrauding City

December 14, 2012

A federal prosecutor says the owner of a southwestern Illinois hauling company has pleaded guilty to conspiracy to defraud the city of East St. Louis and to money laundering.

U.S. Attorney Stephen Wigginton on Wednesday said Stephen Carraway of Cahokia also admitted he gave the city a falsified certificate of insurance when he didn’t have an existing liability insurance policy.

Carraway’s company did demolition work for East St. Louis.

Authorities say Carraway admitted he was told to make a cash payment in the form of a kickback to a city of East St. Louis official. Prosecutors say, in exchange, Carraway was told how much to bid in order to be awarded a demolition contract.

Carraway faces up to 15 years in prison when he’s sentenced March 20.

Was this article valuable?

Here are more articles you may enjoy.