Trucking firm's owner 16th charged in probe
Ex-Palos politician accused in Hired Truck
inquiry
By Matt O'Connor and Mickey Ciokajlo, Tribune
staff reporters. Tribune staff reporters Ray Gibson and Dan
Mihalopoulos contributed to this report
Published January 26, 2005
In the latest charges stemming from the federal probe of the
city's scandal-plagued Hired Truck Program, a former
suburban Democratic politician has been accused of fraud for
falsely claiming his trucking business was women-owned.
The charges, unsealed Tuesday in U.S. District Court, also
accuse John Cannatello of paying cash bribes and making
campaign contributions to an indicted former high-ranking
city official to get lucrative work in the Hired Truck
Program.
According to the charges, Cannatello hid his role as the
principal operator and manager of GNA Trucking Inc. The
business took in revenue of about $6.6 million from the city
between 1997 and 2003 after it had been certified as a women
business enterprise.
Public records show that Cannatello's wife, Nicki, and
daughter Gina claimed to be in control of GNA Trucking's
day-to-day operations. Until 2000, Nicki Cannatello held a
full-time position as an administrative assistant at the
Cook County Department of Public Health, records show.
The charges allege that the city certified GNA Trucking as
women-controlled even after one of two city Hired Truck
Program officials who were each given $100 cash by
Cannatello in December 1997, reported the alleged bribe
attempts to higher-ups.
The charges also revealed that a city investigator had
suspicions about the company's claim to be women-controlled
after questioning Cannatello's wife--identified in the
charges only as "Individual A"--in 2002 and 2004. The
investigator recently told federal authorities that Nicki
Cannatello seemed to possess "sketchy" knowledge about GNA
Trucking's operations, the charges said.
After an unannounced visit last March, the investigator
intentionally made no recommendation concerning the
company's certification as women-owned, but GNA Trucking
kept its status as a women business enterprise until the
city later overhauled the Hired Truck Program.
Cannatello, 59, a former Palos Township Democratic
committeeman who lives in Palos Park, is the 16th individual
to be charged in the ongoing federal probe of the program,
in which the city hires private contractors to do trucking
work.
The charges also allege that Cannatello passed cash bribes
and campaign contributions to Donald Tomczak, the former No.
2 official in the city's Water Department, through two
Tomczak underlings.
Tomczak has been charged with earmarking the campaign
contributions for candidates he favored and using an army of
more than 100 city workers to do political work in return
for jobs, promotions and overtime.
One of Tomczak's subordinates, Roger McMahon, who is
cooperating in the federal probe, told authorities he
accepted cash and campaign contributions from GNA Trucking
and four other companies from the mid-1990s through 2003,
prosecutors alleged.
GNA Trucking consistently ranked in the top 10 in terms of
the Hired Truck Program work it received from the Water
Department, according to the charges.
Between 1996 and 2003, GNA Trucking and Cannatello
contributed more than $11,000 to five political campaigns
that had been among Tomczak's favorites, prosecutors
alleged.
State Board of Elections records show that Cannatello
contributed $1,000 in 2002 to Tomczak's son, Jeff Tomczak,
former Will County state's attorney. The younger Tomczak
lost a bitter re-election campaign in November, about two
weeks after his father was charged with bribery.
The campaign records show that between 1996 and 2003 GNA
Trucking also made contributions to the 8th Ward and 19th
Ward Democratic Organizations, House Speaker Michael
Madigan, former Gov. George Ryan and Ald. Edward M. Burke
(14th).
Another beneficiary was John Daley, a Cook County
commissioner and 11th Ward committeeman, whose campaign fund
and ward organization received $4,000 from the trucking
firm.
In an interview Tuesday, John Daley, Mayor Richard Daley's
brother, confirmed that GNA Trucking was also an insurance
client of his. Daley said he sold worker's compensation
insurance to GNA Trucking, dealing primarily with John
Cannatello.
Daley said he has known Cannatello, a Bridgeport native, for
years and that Cannatello had helped out his 11th Ward
organization before moving to Palos Park.
Cannatello made an initial appearance Tuesday in U.S.
District Court and was released on his own recognizance. He
was charged with two counts of mail fraud in a criminal
complaint.
Cannatello's lawyer, Edmund Wanderling, said he was
surprised and disappointed by the charges.
"Did he make a contribution to Tomczak's son's campaign?
Sure," Wanderling said. "But it had nothing to do with
getting work in the city trucking program. He had been in
the program for years before that."
The evidence will show that Cannatello was an employee of
GNA Trucking "and nothing more than that," Wanderling said.
Prosecutors didn't dispute that Cannatello's wife did some
work for GNA Trucking but contended a number of witnesses,
including the operator of a trucking repair business located
at the same address, would testify for the government that
Cannatello controlled the business operations. Cannatello
also dealt with the city, GNA Trucking's primary client, the
government said.
Since the city's overhaul of the Hired Truck Program last
year, GNA Trucking's application to rejoin the program
remains pending, said Lisa Schrader, a spokeswoman for the
city's Budget Department.
Cannatello and several of his family members have held
county jobs. Cannatello was a regional superintendent for
the Forest Preserve District from 1995 to 2001 , and his
wife worked in the Public Health Department. Another
Cannatello daughter, Nicki, works as an administrative
assistant in the county's Revenue Department.
In addition, Cannatello's twin brother, Frank W., works in
the county Highway Department, and two of Frank's son work
for the county.