Downers Grove Man Indicted in $1M Counterfeit Check Scheme

A Downers Grove man is among 12 Chicago-area residents who have been indicted for allegedly creating more than $1 million in counterfeit personal and corporate checks, according to the United States Attorney's Office.

The defendants created hundreds of counterfeit checks between August 2010 and December 2012, and presented them to various banks to be cashed, according to an indictment released Thursday. The group obtained more than $700,000 and shared the proceeds.

The lead defendant, Kenneth Pearson, was arrested Thursday by U.S. Secret Service, who conducted the investigation with assistance from the Downers Grove Police Department and other suburban police departments.

Pearson, 39, of Chicago, was charged with 32 counts of bank fraud and one count of aggravated identity theft, according to the indictment. He remains in federal custody pending a detention hearing Tuesday morning.

Co-defendant David Kotlicky, 23, of Downers Grove, was ordered detained without bond after he was arrested Nov. 27 on a criminal complaint, according to the U.S. Attorney's Office. Defendant Antione Mahone, 24, of Chicago, was arrested Friday and released on bond, and an arrest warrant has been issued for Eric Jackson, 24, of Chicago.

The U.S. Attorney's Office said Latrese Leshore, 30, of Chicago, stole bank customers' authentic checks and account information through her job processing individuals' health insurance applications and payments. She allegedly made copies at work, and provided them to a co-defendant in exchange for cash, knowing that the victims' accounts would be compromised, authorities said.

The indictment alleges that Pearson, Kotlicky and Jackson then used the stolen checks and account information to create counterfeit checks. Pearson and Kotlicky then made and caused others to falsely make changes to the bank customers' account information so they could monitor the customers' accounts, intercept bank employees' questions about account activity and prevent immediate detection of the alleged scheme, the U.S. Attorney's Office said.

Pearson, Kotlicky and Jackson—along with Stacey Sanders, 38, of Chicago, and Deangria Wells, 27, of Chicago—allegedly recruited runners to take the counterfeit checks to branches of American Chartered Bank, Chase Bank, Citibank, Fifth Third Bank, First Midwest Bank, BMO Harris Bank, and U.S. Bank to be cashed, according to the indictment.

Those same defendants then allegedly collected proceeds of the cashed counterfeit checks from the runners, paid the runners a fee for cashing the checks and distributed the remaining proceeds to Pearson, the U.S. Attorney's Office said.

Also indicted are Roger Elam, 48; his sister Rosie Elam, 59; Lynada Mahone (Antione Mahone's cousin), 34; Tovise Stone, 34; and Starlinda Stubbs, 21, according to the U.S. Attorney's Office. All five are from Chicago.

All 12 defendants face at least one or more counts of bank fraud, the U.S. Attorney's Office said. Pearson, Kotlicky, Jackson, Sanders and Leshore were each charged with one count of aggravated identity theft, and Kotlicky alone was charged with one count of passing $80 in counterfeit currency.

The indictment also seeks the forfeiture of approximately $1 million from Pearson and Kotlicky.

Each count of bank fraud carries a maximum penalty of 30 years in prison and a $1 million fine, according to the U.S. Attorney's Office. Aggravated identity theft carries a mandatory consecutive sentence of two years in prison and a maximum $250,000 fine, and passing counterfeit currency carries a maximum of 20 years in prison and a $250,000 fine. 

Looking for more Downers Grove police news?

• Nativity Figures Stolen from Downers Grove Church

• Police: Man Tried to Lure 13-Year-Old Girl in Downers Grove

• Downers Grove Man Faces Up to 3 Years in Prison for Impersonating Cop

• Downers Grove Man Accused of Child Pornography

- - - - - - - - - - - - - -

There are plenty of ways to keep up on Downers Grove news:

• Sign up for our daily email newsletter

• Like us on Facebook for a slightly different take