Documents Show Chicago PD Secretly Using Forfeiture Funds To Buy Surveillance Equipment

from the no-accountability,-no-oversight dept

The Chicago Reader has put together a massive, must-read investigation into the Chicago Police Department's secret budget. The Chicago PD has -- for years now -- used the spoils of its asset forfeiture program to obtain surveillance equipment like Stingrays. This discretionary spending is done off the city's books, allowing the CPD to avoid anything that might prevent it from acquiring surveillance tech -- like meddling city legislators… or the public itself.

Since 2009, the year CPD began keeping electronic records of its forfeiture accounts, the department has brought in nearly $72 million in cash and assets through civil forfeiture, keeping nearly $47 million for itself and sending on almost $18 million to the Cook County state's attorney's office and almost $7.2 million to the Illinois State Police, according to our analysis of CPD records.

The Chicago Police Department doesn't disclose its forfeiture income or expenditures to the public, and doesn't account for it in its official budget. Instead, CPD's Bureau of Organized Crime, the division tasked with drug- and gang-related investigations, oversees the forfeiture fund in what amounts to a secret budget—an off-the-books stream of income used to supplement the bureau's public budget.

The Reader found that CPD uses civil forfeiture funds to finance many of the day-to-day operations of its narcotics unit and to secretly purchase controversial surveillance equipment without public scrutiny or City Council oversight.

It sounds like a lot of money -- $72 million in civil forfeiture funds -- and it is. But it's not like this money comes from a few large busts that have seriously affected the city's drug trade. That may be the rationale for the PD's convictionless seizing of property and cash (just like "terrorism" is often cited when acquiring surveillance tech ultimately destined for plain vanilla law enforcement use). But in reality, the forfeiture's rarely do anything more than financially cripple a large number of individuals who have little to anything to do with drug trafficking. The Chicago Reader reports that the median seizure in Illinois is only $530 -- hardly an amount one associates with criminal empires. In fact, the normal cash seizure probably sounds more like the following than a breathtaking dismantling of a local drug-running crew.

Ellie Mae Swansey, a 72-year-old retiree living on a fixed income, had her 2001 PT Cruiser seized two years ago when Chicago police arrested her son for drug manufacturing. The costs of simply beginning the long, circuitous, extremely-frustrating battle to reclaim her vehicle were prohibitive.

In order to have a chance at getting their property returned, claimants must put down a bond toward their asset when first submitting the official paperwork. This means that Swansey had to pay $140 (10 percent of her car's value) just to start the process. Then, to appear in court, she had to pay an additional $177 fee.

To Swansey, who lives on a $655-per-month social security check, these costs are substantial. Successful claimants will have 90 percent of their bond returned; unsuccessful claimants get nothing back.

The extensive investigation, compiled from dozens of FOIA request (more on than in a bit), notes that 90% of the seized funds spent by the CPD went to expected, above-board expenses: vehicles, cellphones, etc. But the rest of it went other places, obscured by redactions and withheld documents. Payments to cellphone forensics companies like CellBrite were uncovered, as were purchases of a license plate reader installed near the CPD's infamous Homan Square detention center black site, and $417,000-worth of cell tower spoofers.

The Chicago PD will continue to roll over retirees like Swansey because the laws governing forfeiture in Illinois have completely corrupted the incentives. It's not about law enforcement or crime prevention. It's about autonomy, power, and a steady flow of spendable cash.

When a government agency is allowed to handle the forfeiture proceeds it brings in—as is the case with both CPD and the Cook County state's attorney's office—it controls both "the sword and the purse," like an army that is also its own taxing authority. This is according to Lee McGrath, legislative counsel for the Institute for Justice, which seeks to reform civil asset forfeiture laws across the country.

And for what? What has been the end result of this massive amount of supposedly drug-focused seizures and spending?

[T]he prices of many drugs have decreased and purity has increased since the [drug] war began.

The second part of this story is just as interesting. It details how the Chicago Reader managed to get its hands on this stash of documents. It began with a FOIA request for Stingray documents from the Chicago PD. In between the redactions, the PD accidentally gave up its quasi-"black budget" account numbers.

On October 13, 2014, Christopher Kennedy, from CPD's Gang Investigations Division, wrote to Nicholas Roti, then chief of the department's Bureau of Organized Crime:

"Because this equipment will be used for [REDACTED] investigations in to [sic] [word missing] [I] recommend that it be paid for with both 1505 and 1505ML funds in equal amounts," he wrote.

Several requests later, Lucy Parson Lab (government transparency activists) and the Chicago Reader confirmed that these accounts were tied to asset forfeiture. Moving on from there, however, required some outside assistance. The Reader was going to be asking for a lot of documents and it would have been easy for the Chicago PD to deny such a request from a single entity as "unduly burdensome."

But several public records requesters, each using their own name? Not as easy.

To get over this hurdle, Lucy Parsons Labs launched a collaboration with MuckRock, a FOIA and transparency website, asking ordinary users to send FOIA requests on our behalf.

Lucy Parsons Labs drafted a sample FOIA request for users to download and submit. We also managed the responses from CPD—MuckRock's platform automatically followed up with CPD when the department was late responding to a request. Once checks came back from CPD, Lucy Parsons members collected the data in a centralized location and classified each purchase as being either part of routine police activities or as part of broader surveillance efforts. Eleven of our 13 community requesters used the MuckRock FOIA platform to submit and manage their requests.

This is how you beat a system predisposed to telling you "no." A "burdensome" request split 20 ways is no longer a burden. Sure, the Chicago PD might have experienced a bit more of a crunch fulfilling these, but it couldn't use the law to deny releasing documents it almost certainly would have preferred to keep under wraps.

Filed Under: asset forfeiture, chicago, chicago police department, illinois, spying, surveillance


Reader Comments

Subscribe: RSS

View by: Time | Thread


  • identicon
    Anonymous Coward, 19 Oct 2016 @ 5:37pm

    Not at all surprising

    Finding out that the Chicago police were trained by Nazi concentration guards wouldn't surprise me at this point. They seem to honestly believe all of their secrecy and corruption are justified. At some point, we are going to find out literally everything they are hiding and I would not be surprised if hundreds of current and former officers and officials will be publicly hanged as a result. They seem to be proud of their torture and racism history and are doing their best to keep it going.

    reply to this | link to this | view in chronology ]

  • identicon
    Anonymous Coward, 19 Oct 2016 @ 6:17pm

    Can't wait to see how Whatever defends this practice. Or expresses his usual mock outrage.

    reply to this | link to this | view in chronology ]

  • icon
    cryophallion (profile), 19 Oct 2016 @ 6:58pm

    This could backfire

    So, while their approach was spot on, you all know what is going to happen again, right? Yup, using the "Mosaic Effect" as an excuse to withhold more information, and them being all the more evasive because if it. People in charge for some reason do not like egg on their face, and their egos usually bristle at "common" folks attacking the force who are entirely engaged in "making the world a safer place".
    Of course, your definition of what makes the world a better place likely differs just a lot from what theirs does, especially when they think common people are morons who have no idea of the "wars" they have to fight every day. And the fact that making the world a safer place doesn't mean a police state (well, police city in this case) is all too often lost on them.
    But yes, I expect that now CPD has learned their lesson, and will now attempt to beat the NYPD at the game. I expect LAPD to make it a "rap" war and then add in Atlanta for good measure, just because.
    Sadly, the more that they are held accountable, the more angry they get, and more evasive they get. This is what temper tantrums and unchecked authority and misplaced goals look like...

    reply to this | link to this | view in chronology ]

  • identicon
    Anonymous Coward, 19 Oct 2016 @ 7:15pm

    Thousands being killed, massive drug trade, people afraid of going outside. This is what the Chicago PD has accomplished.

    reply to this | link to this | view in chronology ]

  • identicon
    Anonymous Coward, 19 Oct 2016 @ 8:47pm

    Chicago PD are highway bandits

    reply to this | link to this | view in chronology ]

    • icon
      That One Guy (profile), 19 Oct 2016 @ 9:27pm

      Re:

      Worse actually. Both parties are liable to rob you at the gunpoint but you are legally allowed to defend yourself from the bandits without badges, you're not so lucky when dealing with those with.

      reply to this | link to this | view in chronology ]

  • icon
    That One Guy (profile), 19 Oct 2016 @ 9:31pm

    What could go wrong?

    Allowed to steal anything that catches their eye and do whatever they want with the money? Oh yeah, I'm sure that will never be abused.

    ...

    Would you look at that, it already is, who could have possibly seen that coming?

    reply to this | link to this | view in chronology ]

  • identicon
    Anonymous Coward, 20 Oct 2016 @ 4:24am

    CPD's Bureau of Organized Crime...oversees the forfeiture fund

    At least they're being honest with the naming of the department.

    reply to this | link to this | view in chronology ]

  • icon
    Padpaw (profile), 20 Oct 2016 @ 7:21am

    Isn't this the same PD that has a "secret" torture site where they don't allow lawyers or things like prisoners basic rights to get in their way of torturing them.

    reply to this | link to this | view in chronology ]

    • icon
      Padpaw (profile), 20 Oct 2016 @ 7:24am

      Re:

      I have to say If some nut decided to start killing dirty cops in Chicago I might actually root for them this time.

      The system itself is choosing to be a crime syndicate. They murder, torture, assault, spy on everyone. They steal bribe, coerce, and use protection rackets among other crimes to keep the money rolling in.

      They are a state operated and protected Criminal organization. The citizens are more likely to get actual better protection from the local gangs than the boys in blue.

      reply to this | link to this | view in chronology ]

      • identicon
        Anonymous Coward, 20 Oct 2016 @ 7:52am

        Re: Re:

        This is why I hate the default assumption that anyone resisting the police/government should be automatic criminals.

        It has become clear that you cannot receive a fair or just trial now. I think people will begin to realize that the police are becoming worse than the criminals due to their position/authority and that if you don't want to go to jail or get put away as an innocent you have no choice but to shoot your way out to freedom or just take it laying down.

        "Give me Liberty or Give me Death!" might make a resurgence once again!

        reply to this | link to this | view in chronology ]

    • identicon
      Anonymous Coward, 20 Oct 2016 @ 7:27am

      Re:

      Isn't this the same PD that has a "secret" torture site where they don't allow lawyers or things like prisoners basic rights to get in their way of torturing them.

      Yep. Oh, and it's not "torture", it's "enhanced interrogation" or "information retrieval process", take your pick.

      reply to this | link to this | view in chronology ]


Add Your Comment

Have a Techdirt Account? Sign in now. Want one? Register here



Subscribe to the Techdirt Daily newsletter




Comment Options:

  • Use markdown. Use plain text.
  • Remember name/email/url (set a cookie)

Close

Add A Reply

Have a Techdirt Account? Sign in now. Want one? Register here



Subscribe to the Techdirt Daily newsletter




Comment Options:

  • Use markdown. Use plain text.
  • Remember name/email/url (set a cookie)

Follow Techdirt
Techdirt Gear
Shop Now: Techdirt Logo Gear
Advertisement
Report this ad  |  Hide Techdirt ads
Essential Reading
Techdirt Deals
Report this ad  |  Hide Techdirt ads
Techdirt Insider Chat
Advertisement
Report this ad  |  Hide Techdirt ads
Recent Stories
Advertisement
Report this ad  |  Hide Techdirt ads

Close

Email This

This feature is only available to registered users. Register or sign in to use it.