McHenry American Legion is alleged theft victim of Crystal Lake man awaiting sentencing on $8m Ponzi scheme

The McHenry American Legion Post 491 reached out to police when it found financial discrepancies earlier this year, Post Commander Chad Miller said.

“We found indiscretions and turned everything over to the McHenry Police Department” for further investigation, Miller said.

Authorities say that investigation led to Alan Hanke, 60, of Crystal Lake, being charged on Sept. 11 in McHenry County court with theft by deception and using a debit card with intent to defraud, court records show. According to the charging documents, Hanke is accused of using a Sons of the American Legion debit card “to make cash withdrawals and purchases totaling over $10,000,″ including at various restaurants, retail stores, and websites between January 2023 and March 2024.

Miller confirmed the allegations are related to the McHenry American Legion post, noting that once the investigation was turned over to the McHenry County State’s Attorney, authorities “found reason to charge and arrest” Hanke. Miller declined to comment further on the allegations.

Hanke is awaiting sentencing on Oct. 31 in a Brooklyn federal courtroom on allegations he defrauded investors out of more than $8 million. He pleaded guilty to the federal charges in June.

It’s not clear who is representing Hanke in the new county charges. He was granted release from custody while he awaits trial.