Contractor accused of prevailing wage fraud
NEWS-SUN STAFF REPORT October 18, 2012 6:52PM
Updated: November 20, 2012 10:54AM
A contractor has been charged with allegedly running a kickback scheme that defrauded several area municipalities of more than $400,000 for public works projects.
Alan Harris, 46, of Niles, was formally charged Thursday in Cook County Circuit Court with theft of government property, a Class X felony, and mail fraud, a Class 3 felony, for illegally obtaining the construction contracts in 2010 and 2011 with the villages of Buffalo Grove and Volo in Lake County, along with Glenview, Mount Prospect and Palatine in Cook County. In addition, he worked on a project for dlai Stevenson High School in Lincolnshire.
An investigation by the Illinois Attorney General’s Office office uncovered the alleged scheme in which Harris forced his employees to kickback money out of their paychecks each month. Under the Illinois Prevailing Wage Act, employers must pay workers fair and honest wages for publicly funded projects.
Madigan said Harris’ scheme violated the Illinois Prevailing Wage Act after repeatedly submitting falsified, certified statements to the local agencies stating he was paying his employees at a rate in compliance with state law. Madigan’s criminal complaint alleges Harris’ actions constitute theft of public funds and fraud.
Harris is currently out on a $100,000 bond and due in court for an arraignment hearing Oct. 25.