Prosecutor: Dealership owner had business torched for $529,000 insurance claim

Facing mounting business losses and increasing pressures from creditors, John T. Krawec torched his used car dealership in hopes of collecting more than a half-million dollars in insurance payouts, a prosecutor said Wednesday at the outset of the McHenry businessman's arson trial.

Krawec, 45, is facing charges of residential arson, arson, insurance fraud and two counts of conspiracy stemming from the fire that ravaged his dealership, All Truck Stop, and an apartment above it on April 24, 2006.

In opening statements Wednesday, Assistant McHenry County State's Attorney Sharyl Eisenstein said Krawec conspired with an occasional employee, Philip Brakefield, to burn down the business while Krawec, his girlfriend and her kids - who shared the attached apartment - were out of town.

Brakefield's reward, Eisenstein said, was between $50,000 and $100,000 of a $529,000 claim on Krawec's insurance policy.

"The defendant was in financial trouble," she added. "He thought the best way to get out of trouble was to start this fire and collect insurance."

Krawec's attorney said he does not dispute that Brakefield started the fire, but said his client had nothing to do with it.

"Mr. Krawec had no motive or incentive to burn down his business," defense lawyer Michael Johnson said. "It was his bread and butter. He knew nothing else."

Johnson noted that Brakefield, who has not been charged since he began cooperating with authorities, wore a wire four times for police in hopes of catching Krawec making incriminating statements, but none ever came.

Krawec's trial, being heard by Judge Sharon Prather instead of a jury, could end as soon as Thursday, If found guilty, he could face up to 15 years in prison.

His girlfriend, Anna Julecki, 29, of McHenry, is scheduled to face trial in September on insurance fraud and conspiracy charges.