Court told of Cicero ties to mob

Court told of ties to Cicero mob
Accountant details his role in scheme to conceal payoff

By Matt O'Connor
Tribune staff reporter
Published March 19, 2002

Former IRS agent Gregory Ross, who became an accountant to the Chicago mob, came face to face in a federal courtroom Monday with the best man in his wedding--Michael A. Spano Sr., the reputed head of organized crime in Cicero.

Testifying at the theft and bribery trial of his one-time best friend, Ross said he helped complete tax returns that concealed payoffs to Spano as well as co-defendants James Inendino, another reputed mob figure, and former Cicero Public Safety Director Emil Schullo.

The charges allege that Schullo steered a nearly $76,000 contract to an investigative firm secretly controlled by Spano in return for kickbacks of 10 percent.

Ross, who pleaded guilty in the case last month and has worked out plea deals with prosecutors in two additional federal indictments, said he is likely to be sentenced to at least 30 months in prison for his wrongdoing.

Ross revealed his close personal and business ties to Spano, saying the two talked daily between the early 1990s and 2000 and that Spano had been his best man.

Ross also testified that Spano had introduced him to Schullo and that he saw those two together "on numerous occasions."

Ross testified that at Spano's direction, he prepared false tax returns in 1995 and 1996 for Sam Rovetuso, a private detective whose firm was used as a front in the Cicero contract scheme.

The returns made it appear all the money from the Cicero contract--to investigate whether several police officers lived outside of town--had gone to Rovetuso, thus concealing the alleged bribes shared by Spano, Inendino and Schullo.

But Rovetuso turned out to be working undercover for the government, secretly taping conversations. He died in 1999, but his tape-recordings have been a key part of the government evidence at the federal trial.

In a tape played Monday of a breakfast meeting in July 1997, Rovetuso complained that he was going to be socked with a hefty tax bill as a result of the scheme.

Ross, meeting at a pancake restaurant in Hillside with Spano, Inendino and Rovetuso, explained that each could kick back money to Rovetuso to help him pay the taxes or the others could file amended returns of their own and report their receipt of the income.

"Yeah, but those in--individuals don't exist," Inendino said in the taped conversation, referring, Ross testified, to the scheme to keep their identities out of the deal.

Ross testified he complained to Spano that on worksheets Rovetuso had listed the initials of the participants by the amounts of money they had received.

At Spano's suggestion, Ross said he had Rovetuso sweep his Bloomingdale office and two cars for "bugs"--electronic surveillance.

Who were you concerned might be monitoring you? Assistant U.S. Atty. Mitchell Mars asked Ross.

"The government," Ross said.

Ross also testified that after he helped hook up an architect friend to do some work for the Town of Cicero, he was surprised to learn from Spano that the friend had to kick back 15 percent of the money to Spano.

Ross said that Spano told him that anyone who obtained a contract from the Town of Cicero had to pay 5 percent each to him, "President Maltese," a reference to Town President Betty Loren-Maltese, and "Chief Schullo," according to the testimony.

The allegation was first aired in government papers late last year, bringing strong denials from Loren-Maltese's lawyer. She is scheduled to go on trial in May on charges of looting the town in an insurance deal.