Forensic Audit of Pension Fund
A great idea:
- We, the Retirees of the Chicago Police Department, Widows, Widowers, and active Police Officers are requesting a complete forensic audit of the Retirement Board of the Policemen's Annuity and Benefit Fund of Chicago going back to 1991. We are extremely worried the 22% funding is lower than announced at the June 2019 Investment Meeting,
Since FOIA requests are not being answered, we also request a forensic audit of all financial records paid to the Chief Legal Advisor of the Pension Fund, David R, Kugler and other attorney's, past and present, including ALL their personal and respective law firm accounts
Here's the link to the petition. We're not sure what sort of legal traction it actually has, but what have we got to lose?
Labels: pension
posted by SCC at 12:03 AM
69 Comments:
The whole system will brake down if the pension system goes broke. Why would anyone call me on the job or continue to work hard. The DemocRATS really messed this place up.
Can anyone sign the petition or does it have to be a retiree ?
Pension fund loosing 1% every year .
Dean and Rahm agreed to push payments down the road . Dean's guys voted to NOT object to the law being passed .
Every single person needs to sign this petition and demand an investigation. This is scary beyond words and with Chicago’s infamous track record of corruption, there’s a better chance than not something illegal occurred. The Feds need to step in, because anything “Chicago” can not be trusted involving money. This is a terrible situation that Chicago politicians let happen. SCC..maybe you can re-post the terrible comment former alderman John Arena made regarding our pension fund. Something along the lines of “enjoy your 26% funded pension.” He said it to a police officer. This comment coming from a Chicago politician that makes financial decisions for taxpayers. This is a prime example of what’s wrong with Chicago.
Forward the petition to everyone. Wives and husbands need to sign this too. Put it up in the stations. FOP needs to spread this around too. Something needs to be done. This is an emergency. The whole situation is very shady. This is Chicago. Corruption is the norm here.
Why can't the pension put out a simple chart that reads like this for each year?
It's very easy to read, and to understand why we are underfunded and whose fault it is.
Year:
Amount Owed by Officers:
Amount Paid By Officers:
Amount Owed By City:
Amount Paid By City
Yes it is a good idea but it needs a little more explanation of allegations. FOIA requests are usually blown off by government entities because they don't want to release any information that may be incriminating to them. The only way to get them, the FOIA requests, answered is to file suit against them in court. Perhaps you have heard of Judical Watch which is a conservative watchdog, activist group which files suits against government where they believe corruption or malfeasance is occuring. They have been successful on the National scene. Tom Fitton is their President, maybe they could give them a call as they might get some pointers.
How about a forensic audit of the city of Chicago going back 20 years.
A lot of house hold names would be indicted.
Talk radio business reports Police-Fire-and Teachers pension will be drained by 2021.They say ILL. state funded means nothing since State is broke.Is this true ?
Shouldn't the useless FOP be doing this or something similar? FOP needs to go.
Are you fucking joking. Look who started that petition. I am sorry but in my opinion you long ago gave up your right to question the fund.
I think this is a great idea, and have just signed. I believe that every current and retired police officer should sign. I don't know is family members are able to.
Any pension system that doesn’t have regular forensic audits conducted by credible third-parties is a pension system that’s in serious freaking trouble.
Where’s the 300 million balloon payment that was suppose to be made ?
Lawyer did that letter?
its called a lawsuit. FILE it
1st lawsuit oh FOIA request.
being cheap and fighting the government dont mix.
Petitions are thrown away. Lawsuits aren't.
Nothing says “take me seriously” like a petition written using 4th grade grammar.
And in our ranks, we can’t believe that people laugh at us.
Next time, run a petition past an actual lawyer before posting it and embarrassing us. Goofs.
Also, Chicago’s only hope was to be included in the downstate pension fund, and every suburban pension board summarily voted “no” to that idea. They aren’t sinking with Chicago.
Everyone may sign it.
How about do a forensic audit on the useless people who work inside in forensics
Good idea but isn’t the person who started this on disability but used to run 5K races?
The pension fund should be making money not losing money especially in our current economy.
I know that the city has not paid but with the money that is already in the fund, they should still be making money.
How about a forensic audit of the FOP? I think you may be shocked what these dudes make. Then check out the trustees there. OR, the $80,000 per year lobbyist, Mark Donahue.
What good would signing do. It won’t bring back the money that Daley the first gave to the cps to fund teacher raises. Then the millions he gave to prevent a cta strike. Jump ahead several decades, will it bring back the money given to Daley the second’s nephew vanecko? For too long it’s been the Daley piggy bank it’s controlled by the politicians. The elected members to the pension board are soon compromised by perks and other goodies.
Is it true that any pension shortfalls are made whole
by the Feds? Or is that just for corporations?
Every year the city of Chicago receives approximately 8 billion dollars from taxes paid by the citizens of Chicago. Under mayor Daley approximately 25% was siphoned off into his personal bank account call Tax increment financing district also known as TIF. That was about 2 billion a year, every year. Under Rahm the amount was raised to believe it or not 40% a year that is about 3.2 billion a year, every year. Remember Rahm had no problem giving Lincoln yards 1.4 billion and the builder at Roosevelt and the river another 600 million in TIF funds as he walked out the door. End TIFs now. Put money into pensions at least until the are stable. Wow I just solved the pension crisis. At least the unions should sue to get the money they are owed from tifs before they are given to the friends of our mayors so they can become even wealthier. End TIFs now.....
Some boss is a jerk and SCC getS 280 comments.
Our pension is at stake and SCC will get 65-80.
Our collective focus is in the wrong place!
Police have half of the votes on the Fund. So how do the police allow the Fund to hire the GRANDSON OF ITS LONG-TIME LAWYER!?!?!? What are his unique qualifications outside of the obvious nepotism? What a bunch of clowns we have for trustees: Lappe, Beyna, Wright, Wadnicki. Thanks for NOTHING.
I'd agree but only if the cost if the audit did not come from the fund. It is really, really expensive. I'd also know what is expected to be uncovered with a forensic audit rather than a regular audit. Has an accountant disputed the annual report in any way? If you know whose been hired, you don't need a forensic accounting to uncover their salary.
Why don't we start with an external accountant going over the annual report and having denied FOIA requests forwarded to the Public Access Counselor in the Illinois Attorney General's office for review. Lets focus on what, if any, irregularities are uncovered there before calling out the very, very expensive big guns.
NOTE- the person starting this petition is the same person who filed a lawsuit and had the original Second City Copper message board taken down in 2002.
You can appeal a denial of an FOIA request through the Illinois Attorney General.
Forensic audit of Chicago’s budget
End gold braid pension , end rank of Captain
Police Officers should retire at last rank that they earned , not appointed to .
You can give Commanders a bonus for accomplishments made , but pension should be based on a Lieutenant salary .
Remember Captain is an exempt appointed rank , Captain pension should not be more than a Lieutenant salary .
I am not too confident that a petition would be taken seriously or acted upon. A high profile lawyer needs to be hired to force the pension board to comply. Court orders will be necessary. Time to start a fund for attorney and court fees.
How about cease the gold braid pensions
Forensic audit of Chicago’s budget
End gold braid pension , end rank of Captain
Police Officers should retire at last rank that they earned , not appointed to .
You can give Commanders a bonus for accomplishments made , but pension should be based on a Lieutenant salary .
Remember Captain is an exempt appointed rank , Captain pension should not be more than a Lieutenant salary .
Many a private pensions were raided, failed and bankrupted over the decades by weasels in the actuarial sectors, if not outright absconded, then by crazy investment schemes where only deal brokers made decent returns, leaving pensioners penniless.
Chicago hopes for the same.
The IL gubmint is too busy looking and funding Sanctuary entitlements and leave pensions for the politicians to oversee.
Takes a legitimate IL Rev Dept and a cooperative IL Atty General (some we haven’t had in at least 50 years) to get that audit rolling.
Don’t expect any CookCo circuit court to advance any lawsuit either.
The only pension change(s) will come when JB Toilets gets his taxing proposal pushed through and further allows home-rule to dictate contributions. By that time there will be no pension left to audit and the same crooks running the Fund will be immune.
Advice to youngsters - Deferred Comp and get a non confrontational part-time that pays into Soc Security. Don’t rely or depend on arrest/court overtime, Dept initiatives if you can, CTA is a good alternative if you can get it.
Railroad is another and better option but scarce.
When could the results of the audit be expected? And is it going to be creditable? Best have 2 audits done
Anonymous Anonymous said...
Why can't the pension put out a simple chart that reads like this for each year?
It's very easy to read, and to understand why we are underfunded and whose fault it is.
Year:
Amount Owed by Officers:
Amount Paid By Officers:
Amount Owed By City:
Amount Paid By City
They do it’s the annual report. You can also go on their website and get the yearly info
It’s absolutely worth the effort.
There’s a lot of guilty parties that don’t want that rock lifted and the flashlight shone very bright underneath that rock.
Anonymous Anonymous said...
How about a forensic audit of the city of Chicago going back 20 years.
A lot of house hold names would be indicted.
7/08/2019 02:37:00 AM
That would cause Shortshanks to suffer from Fedheimers again.
Howabout a class action law suit against the city?
Worried about are Pensions is a waste of time, One day at a time, until the city Pols make the Contributions they stole, are hearts and money, that’s what’s happens to the WarmHearted CHICAGOs Finests, City Of lights
Chicago mobsters at their finest elected by “the people” should be dealt with in the true mob style, but they seem to be exempt.
What happened to the new casino money being used to payoff the pension mess?
With the stock market at record levels why is the pension fund only getting back 5/6%. I got my quarterly 401 K results back Saturday. I am getting 16.8% return for the second quarter. The first quarter I received 14.6%. The last quarter of 2018 was a disaster but still got back 12%. Trust me I am not by any means a financial genius but it I could get back these returns why can't the pension fund get much better returns.
Simple question...The Pension Fund is supposed to be the watchdogs for the funds, why is the fund short? And who is at fault? Please clear the air. ♠️
This is what the cook county pension fund needs immediately. Please, please Inspector General Blanchard release the report about the fraud that is occurring with the Cook County Pension Fund.
Paul E. Cox
Anonymous Anonymous said...
Every year the city of Chicago receives approximately 8 billion dollars from taxes paid by the citizens of Chicago. Under mayor Daley approximately 25% was siphoned off into his personal bank account call Tax increment financing district also known as TIF. That was about 2 billion a year, every year. Under Rahm the amount was raised to believe it or not 40% a year that is about 3.2 billion a year, every year. Remember Rahm had no problem giving Lincoln yards 1.4 billion and the builder at Roosevelt and the river another 600 million in TIF funds as he walked out the door. End TIFs now. Put money into pensions at least until the are stable. Wow I just solved the pension crisis. At least the unions should sue to get the money they are owed from tifs before they are given to the friends of our mayors so they can become even wealthier. End TIFs now.....
7/08/2019 09:01:00 AM
The city absolutely could have fixed this problem many years ago and even today. They have the money and could do the right thing but they don’t due to greed and taking care of their friends in return for votes. This is the most obvious example of what they really think about their police officers and families. When we were hired they made us agree to withholding our money for the pension every paycheck. We had no say in the matter. This was a contractual agreement with the city. It’s too late in life now to plan otherwise. We also are deprived of social security. If we would have known the city was lying to us who would have taken the job? No one! Fix the pension fund and end gold braid!
Pension board sold us out, same with FOP, in bed with the city. Commence sharpening pitchforks and lightning torches preparatory to storming the Bastille.
Audit of TIF Districts too there is plenty of money time to abolish all of them!
Audit Donahue and his co-whores going back 20 years. Didn't Donahue forgive Daley paying back the money he borrowed from the fund? What did Donahue get out it? I
Anonymous Anonymous said...
With the stock market at record levels why is the pension fund only getting back 5/6%. I got my quarterly 401 K results back Saturday. I am getting 16.8% return for the second quarter. The first quarter I received 14.6%. The last quarter of 2018 was a disaster but still got back 12%. Trust me I am not by any means a financial genius but it I could get back these returns why can't the pension fund get much better returns.
7/08/2019 01:18:00 PM
It’s apparent you do not understand investing in a pension fund. 5 to 6 percent is not that bad considering the pension is limited to what it can invest in and how much in each area. They have to have stocks, bonds, fixed investments and a cash reserve. Simply put, the fund cannot have all its eggs in one basket cash has to be available at all times. As you said the last quarter in 2018 was a disaster, but was softened because the fund was not invested 100% in stocks. The problem the fund faces is that during a correction in the market the fund has to continually pay the annuitants even when the market is down. During the 4th quarter the fund is losing big stock money plus paying out the monthly checks. You can’t just ride out the correction in the market
The percentages given are deceiving. For example you have a mutual fund the drops 50% one year, but goes up 50% the next. You are even after 2 years. Wrong. Here’s why. If you start with 100000 and lose 50% at the end of one year you will have 50000. The next year it makes 50%. 50% of you 50000 is 25000. Add your 50000 plus the 25000 you just made and at the end of 2 years you have 75000 , the original 100000. Plus with a fund they have to use money from that to pay the retirees which further depletes your funds
I believe the person who started the petition spent most of her career on disability. Her and another disability copper have a hard on for Lappe, especially the male who administers a facebook retiree group. Hauser was the one on the board for 30 years and should bare the brunt for the Vaneko/Davis thievery. The main question is how can they not be making at least a 7% return on investments in a booming economy. A board member is on the record stating they lost money on investments last year. How much and to who are they paying exorbitant fees to?
Anonymous said...
Is it true that any pension shortfalls are made whole
by the Feds? Or is that just for corporations?
If that were true the people in Detroit would not have taken a haircut Detroit has a balloon payment coming up, last I heard was the pols gave bad info to the actuary so they will need about 80% more than was originally stated if my memory is right. State and muni pension are not governed by the same laws as public sector if they were we would have been in receivership long ago. Mayor Lightfoot may just pull the pin on Bankruptcy = everyone will have to drastically re plan their retirement, if retired perhaps move in with the kids
Why is lori and Rahm’s boy fake phony crooked Ferguson who sold his sound for a new contract in lieutenant scandal allowed to skate here? He is supposedly the inspector general and all he does is the bidding of Lori and Rahm. Why didn’t he look into the pension disaster? He also let corrupt democrats slide his entire term.
Appealing a denied FOIA request to the Illinois Attorney General is a joke. But trust me chad fornoff and Stephen rotello are both political hacks who will only do the bidding of the dummycrats. Your request for appeal will be denied by the Public Access Bureau. They have covered up countless requests for appeal.
Pension Fund....
These usually have a "covenant" and the fund is set up with
the primary purpose of asset preservation first of all, then
asset growth and/or income second.
Like a private brokerage would classify you as a client:
Conserative
Moderate
Aggressive
******
Another reason for low returns: too high an allocation to bonds,
too little exposure to stocks. "Cash" is an asset class, but should
not be very large: only a sufficient amount to cover redemptions.
Kicker: excessively high fees; too many "cooks": too many hands
out for consulting fees. This is unnecessary. You need a
professional review of the fund.
Usually pension funds have to submit a yearly statement:
Inflows, outflows. Types and number of assets. Return on those
investments.
When a conservative investor like Warren Buffett now owns
Apple and Amazon, does your pension fund hold at least some
of these equities. They have become "mainstream" as GM and
Ford used to be: it's modern times!
Look up the term "The Spanish Prisoner"
It's a book/screen play by David Mamet.
The movie started Steve Martin in a very serious role.
It's all about a con game.
We, the police and widows, are being conned. Furthermore,
we are told this is the way it must be, and therefore we must
accept it, otherwise it's US who are being unreasonable.
Bullshit! Don't buy this crap, where they always get the high
side of the table and we get the low.
They want you to feel grateful that you are being screwed.
This is a CON! Don't buy into it. That's the only way it
empowers them.
https://www.forbes.com/sites/ebauer/2019/07/08/chicago-pensions-are-no-longer-27-funded-its-now-23/
Has anybody demanded that the elected trustees appear a the FOP, Sgts Association and the Capt and Lt meeting to give a explanation? Maybe the feds should be looking at these do nothing ass kissers.
How are the other 3 city pension plans doing?
How much will it cost and who is going to pay for it?
What FOIA requests have been made and what information have they refused to release?
Guys if a FOIA is denied you sue, don’t appeal. Get smart.
RE: 08:07:00 PM
("The Spanish Prisoner")
Source: Epsilon Therory (free financial website)
Monday, July 7, 2019 article by Ben Hunt
Summary: The confidence game anology is valid.
ALSO noted by author (remember this well):
"There are no timeless and universal relationships
between asset performance and ANYTHING."
(all-caps emphasis by author)
Fuzzy math Criminal???
lots of 20 somethings working at the pension board clout there too
The pension has a audit completed each and every year. It's published and it is posted in the pension web site.
I talked to some of the board members and they would welcome a audit. However, you pay for it.
The retired girl cop who is pushing for it worked 3 years in the 24th district, claimed she hurt herself, did a year on the medical then 18 years collecting disability. But she was well enough to move out of town, sell real estate. Sadly, she was to disabled to answer a phone back in the CPD.
FOIA her file. It's public record.
Anonymous Anonymous said...
Why is lori and Rahm’s boy fake phony crooked Ferguson who sold his sound for a new contract in lieutenant scandal allowed to skate here? He is supposedly the inspector general and all he does is the bidding of Lori and Rahm. Why didn’t he look into the pension disaster? He also let corrupt democrats slide his entire term.
7/08/2019 07:21:00 PM
True he got a nice new cushy office, more staff and a big pay raise the old pay to play the Chicago way!
Anonymous Anonymous said...
Has anybody demanded that the elected trustees appear a the FOP, Sgts Association and the Capt and Lt meeting to give a explanation? Maybe the feds should be looking at these do nothing ass kissers.
7/08/2019 09:30:00 PM
Probably not, but you can
The city is on the hook for everyone on the job right now,unless they try to declare bankruptcy which is not allowed at this time. Bankruptcy will allow federal over sight of all $$, the pols don't want that. The answer is going to be large tax raises and maybe arbitration for cpd and cfd in the hope of winning on medical,pay,and other costs they will say the city cant afford,buckle up!
NOTE- the person starting this petition is the same person who filed a lawsuit and had the original Second City Copper message board taken down in 2002.
7/08/2019 09:30:00 AM
Ahh, I always wondered why it disappeared so suddenly.
The person who should push for the investigation into the pension fund the most is our new “reformer” mayor Lightfoot. She inherited a bag of garbage from Daley and Rahm. It’s her mess now and she should fix it. If she’s true to her word. Go get em Lori!
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