Ex-Joliet Township trustee loses bid to dismiss pandemic relief fraud case

A former Joliet Township trustee must still face 16 felony charges accusing him of pandemic relief fraud and other financial crimes after a judge denied a pretrial motion that alleged prosecutorial misconduct.

Will County Judge Jessica Colón-Sayre denied the motion on Tuesday after hearing arguments from Jeff Tomczak, attorney for Karl Ferrell, 45, of Joliet, and Michael Casson, a Will County assistant state’s attorney.

Tomczak may appeal Colón-Sayre’s decision. Ferrell’s case, which has been pending for two-and-half years, was given a July 21 status date.

Tomczak argued prosecutors violated the law when they presented information to a grand jury that is deemed confidential under the Illinois Unemployment Insurance Act.

That information were records allegedly revealing Ferrell received state unemployment benefits at the same time he received money from federal Paycheck Protection Program, according to an excerpt of a grand jury transcript that Tomczak filed in Ferrell’s case.

One of the charges against Ferrell alleged he received $11,230 in unemployment benefits in 2021 during a time he received $39,623 from the Paycheck Protection Program.

Tomczak contends information about Ferrell’s unemployment benefits is confidential under law and cannot be used in a court proceeding. The unauthorized disclosure of such information is a misdemeanor in Illinois, he said.

Casson filed a response to Tomczak that said the statute for state benefits fraud provides a “law enforcement exception” to the disclosure provisions of the Unemployment Insurance Act.

“If not for the provisions of [state benefits fraud], there could be no possible prosecution of state benefits fraud involving unemployment benefits,” according to Casson’s response.

Ferrell was elected to the Joliet Township board in 2021.

He was part of a Democratic slate that included former Joliet Township supervisor Angel Contreras, Joliet City Council member Suzanna Ibarra and former trustee Cesar Escutia.

Will County State’s Attorney James Glasgow’s Office later discovered Ferrell had prior felony convictions that disqualified him from holding township office.

After Ferrell refused to step down, Glasgow’s office filed a lawsuit to kick him off the board in 2022.

A Will County judge and an appellate court ruled Ferrell was not qualified to hold township office because of his felony convictions.

Ferrell stepped down in 2023.