Joliet mayor says theater should get reimbursement over councilman’s profit in insurance deal

Joliet Mayor Robert O’Dekirk told the Rialto Square Theatre board they should be reimbursed for whatever profit a council member received over an insurance deal he brokered for the theater.

O’Dekirk spoke briefly to the board Wednesday after a report from the city’s inspector general that said council member Pat Mudron violated state and city law when his firm, Mudron Kane Insurance, provided an insurance policy to the theater.

Mudron, who attended the meeting, said to the Rialto board toward the end that the issue concerning the insurance deal was “just a political game.”

“Nothing was done irregularly, immoral,” Mudron said. “It was all above board. Everything’s fine. I’ve gotten assurances from a legal team that I talk to.”

O’Dekirk told the board that it is unethical for any city council member, including himself, to solicit business from the Rialto and then make a profit. Mudron has said he did not solicit business from the Rialto.

“My understanding – and maybe councilman Mudron can answer this – is that on a premium like this, the agent receives between 15 to 20%,” O’Dekirk said. “If that’s accurate, then Mudron Kane Insurance receives somewhere around $40,000 from your theater.”

O’Dekirk suggested when the Rialto requests money from the city in November that it should also ask to be “reimbursed that money that councilman Mudron profited from this deal.”

The Rialto receives a subsidy from the city every year and received $375,000 for operations this year.

“I’m only one of the nine votes there, but I don’t believe there will be support from the people of Joliet to pay for a councilman’s private company to profit,” O’Dekirk said.

None of the board members had questions or comments for O’Dekirk.

After Wednesday’s meeting, Mudron said his firm made a commission on the insurance deal, but he did not have the dollar amount. He said he didn’t think it would’ve been as much as $40,000. He said commissions are paid as the premiums are paid and he believed the Rialto is making those payments on a quarterly basis.

The city’s inspector general recommended the Illinois Attorney General or state’s executive inspector general investigate whether laws were violated.

Mudron said he was fine with those recommendations.

“Bring them on,” he said. “I’d be happy to talk to them.”

Drew Hill, deputy press secretary for the attorney general, declined to comment about the issue. Neil Olson, general counsel for the state’s executive inspector general, also declined to comment.

Board chairman Robert Filotto declined to comment on O’Dekirk’s remarks.

In his chairman’s report, Filotto said he thought Mudron did a “tremendous job as our liaison.” Following the inspector general’s report, O’Dekirk removed Mudron board liaison and put himself in that role when no one else on the council stepped forward.

“[Mudron] represented the city when we had very little city support, or attendance, let’s put it that way. You’re going to be missed, Pat,” said Filotto, adding he believed Mudron could still help the Rialto.

Mudron received applause from the board and audience.