Arraignment scheduled for former Lincoln-Way superintendent

NEW LENOX – Arraignment for a former Lincoln-Way District 210 superintendent indicted on federal fraud charges has been scheduled for Sept. 25.

The arraignment for Lawrence Wyllie, 79, of Naperville, is slated for 9:45 a.m. at Dirksen Federal Building in Chicago. His case will be before U.S. District Judge Gary Feinerman.

Wyllie faces five counts of wire fraud and one count of embezzlement. Each count of wire fraud is punishable by up to 20 years in prison while embezzlement carries a maximum sentence of 10 years, if convicted.

Wyllie was charged following a federal investigation into allegations of misappropriating school funds for his own benefit and concealing the true financial condition of District 210 from the public.

Wyllie has a government pension of more than $321,000 a year. Dave Urbanek, spokesman for theTeachers’ Retirement System of the State of Illinois, said based on what TRS understands from the indictment, Wyllie could lose the pension if convicted per state law.

Wyllie, who retired in 2013 after 24 years of leading District 210, was once considered an “absolute genius in school financing” by former Board President Ron Kokal. He is now alleged by federal prosecutors to have engaged in a scheme that caused the district to assume at least $7 million in additional debt. He also allegedly misused at least $80,000 in district funds for his own personal benefit.

District 210 has weathered a financial storm in recent years that led to the controversial closing of Lincoln-Way North High School for the fall 2016 semester to stave off crippling budget deficits. North and West schools were built in the late 2000s thanks to a $225 million referendum to accommodate growing student enrollment that never materialized.

In response to the news of the indictment, district officials have said in a statement Thursday that parents and taxpayers should be “assured that the [board] is committed to protecting taxpayer dollars.”

Liz Sands, founder of the now-disbanded Lincoln-Way Area Taxpayers Inc. group, has said the indictment is a vindication for the community and everyone who worked hard to uncover information alleged by prosecutors.

“Every single piece, from what we can see, is absolutely everything we uncovered and turned over to the FBI almost two years ago,” Sands said.

Two mayors in the Lincoln-Way area found the news of the charges against Wyllie a “sad situation” and if the allegations are true, “unfortunate.”

New Lenox Mayor Tim Baldermann, who’s also a superintendent for Union School District 81, said he believes the criminal justice system process “has to play itself out” and people are innocent until proven guilty.

“I do think [Wyllie] knew an awful lot about education and about running a school district. Only he knows why he made the decisions he did,” Baldermann said.

He said one lesson from the situation for government leaders is the need to be upfront and honest about issues.

A downside is the divisions in the community as a the result of the controversies at the district, he said. He thought it was disappointing to see some people celebrating the indictment.

“Certainly we all want justice to be done and if he’s guilty of committing these acts, then he should be punished accordingly but anybody taking pleasure in that is disheartening,” Baldermann said.

Frankfort Mayor Jim Holland, whose wife, Stacy Holland, was once a district spokeswoman, said the news of the indictment is a “sad situation for our whole community.” He said the current district board is working to correct financial issues at the district.

“I think the high school district is continuing their academic excellence and that’s the most important thing for people of the community,” he said.