Home of Illinois Official Jailed in Insurance Scheme on Auction Block

For sale: House in sleepy-looking Chicago suburb steeped in mob history since the days of Al Capone where a mayor lived before moving into a federal prison for her role in a mob-related insurance scam. Lunch included.

The Chicago Sun-Times reports that the small brick house that once belonged to former Cicero Town President Betty Loren-Maltese is heading for the auction block on July 28. And Loren-Maltese, who was released from prison, told a local television station that she’d be willing to have lunch with the winning bidder.

The auction is the latest chapter in Loren-Maltese’s legal odyssey that has included a 2002 conviction for bilking residents out of more than $12 million in a scam, and a six-year stint in federal prison.

The 1,200 square-foot house is pretty basic and is nowhere near as impressive as some of the other properties the $12 million paid for, including an island golf course in Wisconsin, a horse farm and summer home for reputed mob boss Mike Spano, who went to prison along with Loren-Maltese.

The government has already seized four of Loren-Maltese’s properties, including another house in Cicero, one in Las Vegas and two properties in Indiana. And in March, a federal judge ruled that authorities can auction the home that will go to the highest bidder.

Whatever the price, the winning bidder will get a house that is proof that Loren-Maltese’s affinity for the flamboyant went beyond her trademark hairdo. It remains to be seen, though, whether the new owner will keep touches like the lavender drapes and mirror-walled living room.

If one of those who toured the place over the weekend is any indication, the house may be in for a makeover.

“The inside really needs updating,” said Connie Schafer, of nearby Darien.

Information from: Chicago Sun-Times

Topics Illinois