Biden Administration

Rita Crundwell commutation draws angry reactions from Dixon officials

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The decision by President Joe Biden to commute the sentence of former Dixon comptroller Rita Crundwell sparked intense reaction Thursday.

Crundwell, who pleaded guilty to wire fraud in connection with a scheme in which she embezzled nearly $54 million from the community over a period of 20 years, had her sentence commuted by Biden on Thursday as part of a broad commutation that covered individuals who were released from prisons during the COVID pandemic.

Biden said the commutations were targeted at individuals who had integrated back into society, mostly serving the remainder of their sentences under house arrest, but the decision in Crundwell’s case was met by fierce criticism.

Dixon Mayor Glen Hughes described the reaction of residents as “stunned, and maybe even angry,” and called the commutation a “dark moment” in the city’s history.

“Although today’s news will be a dark moment in Dixon’s history, Dixon has recovered very nicely both financially, and developmentally, from the Crundwell days,” he said.

Illinois State Rep. Bradley Fritts, whose district includes Dixon, said that he was “outraged” by the decision.

“To say I am outraged by the commutation of the sentence of Rita Crundwell is a great understatement, as Ms. Crundwell stole more than $50 million from the good taxpaying citizens of the city of Dixon, violated the public’s trust, and used the stolen money to live a lavish lifestyle,” he said. “After pardoning his own convicted felon son for crimes dating back more than 10 years, President Biden doubled down on the corruption of his presidency and lifted Crundwell’s house arrest.”

Crundwell was sentenced to 19 years and seven months in prison after she pleaded guilty to wire fraud in connection with the embezzlement, which she used to fund a lavish lifestyle that included building a massive championship-winning horse reeding and show operation.

In addition to the prison sentence, Crundwell was also sentenced to pay restitution for the money she stole, with her estate and assets netting approximately $9.2 million. The city of Dixon also was awarded more than $30 million in settlements from a series of insurance companies, banks and auditors that allegedly did not take action while Crundwell was embezzling funds.

Those companies did not admit wrongdoing in the settlements, but Dixon used the money to pay off bills, invest in infrastructure and other programs, according to city officials.

The former comptroller was released from prison in 2021 as part of a CARES Act program that allowed for the release of individuals at high-risk of complications from the COVID pandemic, and she was released into a house arrest arrangement, according to federal officials.

Crundwell was one of nearly 1,500 individuals in similar circumstances who had their sentences commuted, with Biden ensuring that the individuals would not be required to serve the remainder of their sentences in prison.

He said that he specifically targeted individuals who “have successfully reintegrated into their families and communities,” focusing on non-violent offenders.

A commutation reduces or ends a sentence that is currently being served, but does not erase a conviction nor imply innocence, according to the Department of Justice.

More critically, a commutation can also include the lifting of financial obligations imposed as part of a sentence.

It is unclear how much more restitution Crundwell owed, or if those funds are impacted by the commutation.

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