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updated: 12/5/2013 10:37 PM

Ex-Chicago police officer admits to fraud

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Associated Press

A former Chicago police lieutenant who quit the force last month after he was indicted on charges that he took part in a mortgage fraud scheme has pleaded guilty.

The Chicago Sun-Times reported that as part of a plea bargain with federal prosecutors, 52-year-old Erroll Davis admitted Thursday he didn't pay taxes on a $30,000 payoff he took to help a friend receive an illegal property loan.

Davis did not identify the friend in court. But he is accused of teaming up with bank owner Robert Michael to help former Country Club Hills Police Chief Regina Davis fraudulently get a $650,000 loan. Michael has pleaded not guilty. Davis has not been charged in the case. She has pleaded guilty to charges in a separate state grant-fraud scheme.

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