Broadcast United

With a $33.5 million verdict, Dolton has few options

Broadcast United News Desk
With a .5 million verdict, Dolton has few options

[ad_1]

The Illinois Court of Appeals ruled affim The deadly police chase resulted in a $33.5 million verdict and an insurance policy that covered only a third of the verdict, attorneys said.

The payment was due months ago but could be devastating for a village already reeling from financial mismanagement.

As of Thursday, the village had not asked the court to reconsider its June 20 ruling, according to attorneys for one man who died and another who was seriously injured. 2016 Crash Involving Dalton Police.

A spokesman for the state court system confirmed Thursday that the village has not yet completed that step.

The village could ask the Illinois Supreme Court to hear its case, according to attorneys.

Dalton Village attorney Michael Kasper, of the Chicago law firm Kasper and Nottage, declined to comment on the village’s appeal plans because the case is still pending. Dalton Village trustees have also remained silent on the matter, though Trustee Jason House said Wednesday that the village is “awaiting additional legal guidance” before deciding its next steps.

Dalton’s insurance coverage is about $10.5 million, according to a payment request filed in January by the plaintiffs’ attorneys, but that amount has been dwindling as the village’s legal costs have mounted.

The petition expressed concerns about the village’s ability to deliver on the award, including the unpaid $23.5 million, which is considered “present and due” even during the appeals process because the village never sought a moratorium on payments.

“Plaintiffs’ judgment is at risk due to the Village’s internal governance failures. The Village has not issued financial reports for the past two years,” the petition reads. “If the injunction and other relief requested in this complaint are not granted, Plaintiffs’ chances of obtaining a judgment are remote because the Village’s accounting, internal controls, and checks and balances have completely broken down.”

One of the attorneys, Dan Stohl, in a statement directly linked Dolton’s financial problems to Mayor Tiffany Henyard’s decision. Under investigation Written by former Chicago Mayor Lori Lightfoot.

“Mayor Henyard’s continued use of city funds for personal purposes has directly impacted Dalton’s ability to pay the judgment,” Stoll wrote. “It is outrageous that Dalton can cry poverty while hiding his books.”

Under state law, municipalities are “powered and directed” to pay judgments owed and can do so by issuing bonds or levying taxes. Plaintiffs’ attorneys asked Dalton to issue municipal bonds so their clients would get paid up front, while the village would repay the bonds over multiple years at an interest rate lower than the court judgment.

The petition states that the village has accrued about $4 million in interest to date at a 6% interest rate, which they will also need to pay on top of the judgment amount.

However, Trustee House said the village is still deferring that payment for now.

“We haven’t gotten to that point yet,” House said. “There certainly haven’t been any public negotiations, but we think there are other legal issues that need to be resolved in the judgment.”

Dalton was also penalized for failing to honor a $220,000 settlement in a 2019 whistleblower lawsuit, even though the village board approved the payment. After a June 24 hearing, a Cook County court froze twice the settlement amount in the village account. An attorney for the plaintiff in the case said the check was “sitting on the mayor’s desk.”

ostevens@chicagotribune.com

[ad_2]

Source link

Share This Article
Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *