Former theater owner pleads guilty to tax evasion, fraud

The one-time owner of the Hollywood Blvd. movie theater in Woodridge and the Hollywood Palms cinema in Naperville pleaded guilty Wednesday to sales-tax evasion and financial institution fraud and must make up to $6 million in restitution.

The Illinois Department of Revenue began investigating Edwin C. "Ted" Bulthaup III, 59, of Woodridge in February 2014.

Eileen Boyce, spokeswoman for Attorney General Lisa Madigan, said Bulthaup, who currently is free on bond, will be sentenced Aug. 24.

Bulthaup could receive a prison term of three to seven years for financial institution fraud and four to 15 years for sales-tax evasion.

His restitution amount could be as much as about $1.3 million for tax evasion and up to about $4.7 million on the bank fraud charge, Boyce said.

Bulthaup initially was charged with 104 counts of wire fraud by prosecutors, but those charges were not part of the plea deal.

Bulthaup sold Hollywood Blvd., located at 1001 E. 75th St. in Woodridge, in February 2014 to Hobson Financial Group of Illinois.

Hollywood Palms, 352 S. Route 59 in Naperville, opened in 2009 as a cinema, bar and restaurant.

Hollywood Palms was sold to Houston, Texas-based Star Cinema Grill in April 2015.