Wyllie Fraud Trial: Status Hearing Delayed Again

NEW LENOX, IL — A federal judge has once again delayed a status hearing in the fraud and embezzlement case against former Lincoln-Way Community High School District 210 Superintendent Lawrence Wyllie, according to court records.

Judge Gary Feinerman of the United States District Court for the Northern District of Illinois Eastern Division ordered that a status hearing originally scheduled for Sept. 22 be rescheduled for Jan. 11, according to court documents. Status hearings in Wyllie's case have been delayed since December 2017, the same year he was indicted, according to court records. Wyllie's trial was supposed to start in November 2018, according to court records.

A court filing dated Sept. 14 requesting the most recent delay for the status hearing shows that Wyllie's attorneys informed prosecutors that "Mr. Wyllie’s serious and ongoing medical conditions remain unchanged." Wyllie is represented by Winston & Strawn LLP, according to court records.

Feinerman's order states that attorneys will have to file a joint status report by Jan. 4 to update the court on "what work remains before they will be in a position to determine how this case will proceed," and whether the Jan. 11 status hearing should be rescheduled again or if a change of plea hearing should be set.

Wyllie has been charged with five counts of wire fraud and one count of embezzlement. The Department of Justice accuses Wyllie of fraudulently inflating District 210's financial health, when in 2009 the district issued $29 million in bonds, $10 million of which was to go toward capital improvements of the district's four schools — Lincoln-Way Central and Lincoln-Way West in New Lenox, and Lincoln-Way East and the now-closed Lincoln-Way North in Frankfort.

The DoJ alleges that "Wyllie knew that he would spend the money on the district’s general operating expenses and payroll,"and "Wyllie transferred millions of dollars from a bank account where the district maintained its bond funds to a separate account that the district used for paying general operating expenses," costing the district approximately $7 million in additional debt.

It is further alleged by the DoJ that Wyllie used at least $50,000 in district funds to create Superdog, a dog-training school that had no connection with the district; that he used at least $16,500 to pay himself a retirement stipend that was not in his contract; and that he falsely took $14,000 from district funds as compensation for unused vacation days.

Wyllie retired as superintendent of Lincoln-Way D210 in 2013. The district was placed on the State's financial watch list in 2015, which led to the closing of Lincoln-Way North in 2016.

If convicted, Wyllie could face up to 20 years for each of the wire fraud charges and a maximum of 10 years on the embezzlement charge.

Related:

• Former LW 210 Superintendent Lawrence Wyllie Indicted
• Former Lincoln-Way Superintendent's Hearing Postponed Again
• Ex-Superintendent's Status Hearing Set For September
• Wyllie's Hearing Delayed Again To December
• Wyllie Fraud Trial: Status Hearing Delayed Again To June

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