Suburban men accused of bilking insurance industry group

A Cook County judge set bond at $1 million each Friday for two suburban men accused of bilking an insurance industry association out of more than $1 million over the course of six years.

James Lurito, 63, of Algonquin, and Harvey Cruz, 46, of Plainfield were charged with felony theft in excess of $500,000 and with organizing a continuing financial crimes enterprise, prosecutors said. The latter is a class X felony punishable by up to 30 years in prison.

Prosecutors say Cruz serves as the information technology manager for the Million Dollar Round Table, headquartered in Park Ridge. Made up of more than 30,000 of the top insurance producers worldwide, the MDRT offers training seminars and supports a philanthropic foundation.

Prosecutors said Cruz, a nine-year veteran of MDRT, devised an embezzlement scheme and enlisted Lurito, who headed up an independent information technology consulting firm, as an accomplice, According to prosecutors, Lurito submitted phony bills which Cruz approved. Lurito then transferred 90 percent of the funds to Cruz or a company he controlled, keeping the remaining 10 percent for himself, prosecutors said.

The thefts, which occurred between 2003 and 2009, totaled about $1.1 million, prosecutors said.

The men next appear in a Skokie courtroom on Jan. 3, 2011.