
Embattled state Rep. Luis Arroyo has resigned just hours before a House committee was to try to force him out.
The resignation comes one week after he was arrested on a federal bribery charge, alleging he offered to pay a state senator $2,500 a month to sponsor legislation regarding electronic sweepstakes games.
And with Arroyo’s letter of resignation to Illinois House Speaker Mike Madigan, a Special Investigating Committee hearing scheduled for 1 p.m. in Chicago has been canceled. The committee was called to begin proceedings to force Arroyo out of office.
In a statement, Madigan said that “Arroyo’s resignation shouldn’t distract from the fact that the allegations contained in this criminal complaint go beyond anything that could be considered a lapse of judgment or minor indiscretion. These allegations are beyond extraordinary, which is why it called for the creation of the Special Investigative Committee and possible disciplinary action.
“While every circumstance will not require this process, the egregiousness of these particular allegations and the evidence demanded that every effort be taken to restore the public’s trust. Although the disciplinary process will no longer proceed, there is still a focus on strengthening our laws to prevent this unacceptable conduct.”
This fall’s legislative veto session was already expected to open under a cloud. Then the feds threw a new curve ball by not only filing a bribery charge against Arroyo, but by revealing that a state senator had been cooperating with the FBI on-and-off since 2016.
That senator wore a wire against Arroyo, according to the criminal complaint unsealed Monday. A source told the Chicago Sun-Times that senator was Terry Link, D-Vernon Hills. Link has denied it.
Regardless, Gov. J.B. Pritzker now has four Democratic lawmakers embroiled in federal investigations — with the possibility that two are involved in measures that were crucial to his big wins: a multi-billion capital plan and his sweeping expansion of gaming.
A federal jury hit state Sen. Thomas Cullerton with a 41-count indictment, including 39 counts of embezzlement, in August. A federal prosecutor told a judge this week it “sounds like we’re going to trial” in the Cullerton case, but the judge declined to set a trial date.
A raid of the Capitol building in Springfield in September also targeted the offices of state Sen. Martin Sandoval, who has not been charged with wrongdoing. Records show the search was part of a wide-ranging probe that included scrutiny of Illinois Department of Transportation officials, as well as officials at Exelon and ComEd.
The U.S. Securities and Exchange commission is now investigating Exelon and ComEd’s lobbying activities, records show. The companies have also fielded two grand jury subpoenas from the U.S. Attorney’s office in Chicago, including one revolving around Sandoval.
Sandoval’s daughter, Angie, has listed herself online as a senior account manager in government affairs at ComEd.
After his indictment, Cullerton was removed as head of the Senate Labor Committee and assigned instead to lead the Veterans Affairs Committee. However, Senate President John Cullerton noted his distant cousin “is alleged to have done something in the private sector.” Tom Cullerton has been accused of being a ghost payroller for the Teamsters.
Meanwhile, the criminal complaint against Arroyo alleges he tried to bribe a senator with six to 12 monthly payments of $2,500 to move sweepstakes legislation forward in Springfield. So Tuesday, House Speaker Michael Madigan filed paperwork initiating the process of removing Arroyo from office.
The case against Arroyo revolves around his lobbying work in Chicago as manager of Spartacus 3 LL. Arroyo signed a deal between Spartacus 3 and V.S.S. Inc. in August 2018 that promised $2,500 in monthly payments from V.S.S. to Spartacus. V.S.S. had hired Arroyo’s company to lobby the Chicago City Council for a sweepstakes ordinance, according to the feds.
Sweepstakes machines are not regulated by the Illinois Gaming Board but look like regular slot machines.