Former state Rep. Eddie Acevedo pleads guilty to tax charge stemming from ComEd probe

Chicago Tribune· Michael Tercha/Chicago Tribune

Former Democratic state Rep. Eddie Acevedo pleaded guilty Tuesday to a federal tax charge stemming from the ongoing federal probe into Commonwealth Edison’s lobbying practices.

Acevedo, 58, entered his plea to one count of tax evasion during a hearing via videoconference before U.S. District Judge Matthew Kennelly. Preliminary sentencing guidelines call for up to a year in prison when he’s sentenced March 9, though Acevedo could qualify for probation.

The plea scuttles a jury trial that had been set for Jan. 10.

Acevedo became the latest to be convicted as part of a wide-ranging investigation involving an alleged scheme by ComEd to bribe former House Speaker Michael Madigan to assist the utility with legislation it wanted in Springfield.

Acevedo previously told the Tribune he’d been interviewed by federal investigators as part of that probe.

The relatively minor charges he was indicted on, however, made no mention of the ComEd bribery or Madigan. His plea agreement reached with prosecutors on Tuesday also does not contain any deal to cooperate in the ComEd investigation.

Acevedo’s sons, Alex and Michael, also were indicted with similar tax charges earlier this year and are awaiting trial.

According to the agreement described in court Tuesday, Acevedo evaded taxes owed on income from his consulting business from 2015 to 2017, costing the Internal Revenue Service a total of about $37,000.

After Acevedo discovered he was under criminal investigation by the IRS, he had his accountants work up draft reports for the years in question that contained ”incomplete information” about his consulting business’ income and expenses, Assistant U.S. Attorney Amarjeet Bhachu said.

Acevedo spoke only briefly during the hearing, describing for the judge the many medications he takes for a variety of ailments, including a recent knee replacement, high blood pressure, anxiety and epilepsy.

He told Kennelly he was currently unemployed. Asked what he used to do for a living, Acevedo said, “I was a state legislature and also a Chicago police officer.”

His lawyers were not immediately available for comment Tuesday.

Acevedo had worked as a consultant paid by former state Rep. John Bradley, a Democrat from Downstate Marion and a onetime contract lobbyist for ComEd. Acevedo told the Tribune last year he had been paid as much as $5,000 a month by Bradley.

Before Bradley, Acevedo said, he had worked as a consultant for Shaw Decremer, a former Democratic House staffer and campaign operative ousted from Madigan’s political organization following complaints that he was abusive.

Federal authorities subpoenaed the secretary of state in 2019 for Eddie Acevedo’s lobbying records, as well as those of his two sons and their lobbying firm, Apex Strategy LLC.

Eddie Acevedo was also named in a grand jury subpoena served on Madigan’s office in July 2020.

Alex Acevedo’s attorney alleged in a recent court filing that it was clear investigators were after Madigan. During a proffer meeting between Alex Acevedo and prosecutors in February 2020, at least 75% of the questions asked by the government “pertained to Mr. Madigan and his associates,” attorney Ricardo Meza wrote.

“However, when (Alex) Acevedo’s truthful responses did not seem to align with what the government sought to hear, the IRS agent pivoted and began asking Mr. Acevedo questions about his 2016 and 2018 tax returns,” Meza wrote in the motion.

Michael Acevedo has pleaded not guilty and is set for trial in April, records show. His brother, Alex, is scheduled to have a jury trial in June.

ComEd, meanwhile, agreed in 2020 to pay a record $200 million fine as prosecutors unveiled a criminal complaint charging the company with a yearslong bribery scheme involving jobs, contracts and payments to Madigan allies.

Prosecutors said the utility attempted to “influence and reward” Madigan by providing financial benefits to some close to him, often through a key confidant and adviser at the center of the probe. In November 2020, that key confidant, former lawmaker Michael McClain, and three others were charged.

Madigan has not been charged with any wrongdoing and has denied doing anything improper. But the ComEd scandal helped end Madigan’s reign as the nation’s longest-serving speaker in January. Madigan later resigned from the Illinois House and as Illinois Democratic Party chairman.

jmeisner@chicagotribune.com

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