Two Fox River Grove officials arrested

A pair of high-ranking Fox River Grove public works officials were accused Wednesday of trying to use taxpayer funds to buy hundreds of dollars in building materials for personal use.

Daniel Hughes, the village superintendent of water and sewer, was charged with two counts of official misconduct and two counts of attempted theft of government property, all felonies, after an investigation by McHenry County sheriff's detectives.

John Reese, the town's assistant superintendent of streets and parks, was charged with two felony counts of official misconduct for his role in the alleged scam, which investigators say would have cost the village about $1,500.

Both Hughes, 43, 100 South River Road, Fox River Grove, and Reese, 43, 513 Asbury Court, Fox River Grove, were arrested by sheriff's police Wednesday afternoon and taken to the McHenry County jail. Each was released on $2,000 bond with an Oct. 12 court date in Woodstock.

"It's two people placed in a position of trust who took advantage of the system," Sheriff's Lt. Donald Carlson said. "That takes advantage of the community."

Village Administrator Art Osten said both men are on unpaid leave pending further review and decision by the village board.

The village board's next meeting is scheduled for Sept. 20.

Hughes, who has worked for the village since 1984, earns $69,871, while Reese, who began his career with the village in 1992, earns $52,824.

"These are long-term employees who we have known for many years," Osten said. "It is disturbing and painful for them and their families, as well as the village and community of Fox River Grove."

Village President Kay Laube said news of the arrests would be difficult for the close-knit village.

"This is unfortunate," Laube said. "It is very sad because we are a very small town and they are very well liked. This will be hard for Fox River Grove."

Reese's attorney, Philip Prossnitz, said his client denies any wrongdoing and looks forward to having his side heard in court.

"He did not intentionally bill or try to slip through the system any improper charges against the village," Prossnitz said. "He is a longtime member of the community, a man of good character, and we look forward to having a full and complete hearing on this in a courtroom."

Hughes could not be reached for comment.

Sheriff's police began the investigation late last week when approached by village officials and asked to investigate allegations of impropriety involving Hughes and Reese. The investigation, Carlson said, found that in late August the officials bought piping and other construction materials in order to connect Reese's newly built home to the village's water and sewer lines.

When invoices for the materials arrived, police said, Hughes submitted them to the village for payment as a water line maintenance cost.

Carlson said Reese also rented equipment for the work from a local hardware store and charged the rental to the streets and parks department. When the bill arrived, sheriff's police said, Hughes approved it and submitted it to the village for payment.

Because of the investigation, the village never paid the bills. They were paid by Hughes and Reese on Monday, Carlson said, after police questioned them.

The charges against Reese and Hughes are all Class 3 felonies punishable by a maximum two to five years in prison if they are found guilty.