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A veteran Chicago Police Sergeant who served as President of the sergeant’s union was sentenced to prison today for embezzling over a million dollars in union funds, according to the office of Cook County State’s Attorney Anita Alvarez.

John J. Pallohusky, 56, who formerly served as President of the Chicago Police Sergeant’s Association, was charged with stealing over $1.1 million dollars from the association. Today, Pallohusky was sentenced to 12 years in prison after pleading guilty earlier this year.

According to prosecutors, Pallohusky engaged in a scheme in which he would steal the funds by making withdrawals and writing checks from the police sergeant’s bank account and making them payable to himself.  Pallohusky would then launder the proceeds of the thefts through his personal credit card and bank accounts and use the funds for personal purposes unrelated to the legitimate business of the Chicago Police Sergeant’s Union, according to court documents.

According to investigators, Pallohusky used the money to make lavish purchases of goods and services for his personal use, including frequent gambling trips to Las Vegas, the purchase of a home in Chicago’s Sauganash neighborhood, an Ameritrade account, and frequent stays at downtown Chicago hotels and dinners at Loop steakhouses and restaurants.

The investigation into the thefts began in 2010 when the Chicago Police Department’s Internal Affairs Division was alerted to potential illegal financial activity involving Pallohusky.  The investigation was conducted jointly by the Chicago Police Department’s Internal Affairs Division and the State’s Attorney’s Special Prosecutions Bureau.

At the time of his arrest, Pallohusky was assigned to the Area 4 Violent Crimes Division.  He joined the Chicago Police Department in 1988 and was promoted to sergeant in 2000.  Pallohusky was the elected President of the Chicago Police Sergeant’s Association, which acts as a fraternal organization and a labor union from 2006 to 2009.  The membership is comprised of active, inactive and retired Chicago police sergeants.

In April, Pallohusky pled guilty to one count of theft and today he was sentenced by Judge Diane Cannon to 12 years in prison.

“Anytime a police officer commits a crime it is disappointment to all of us and will be prosecuted to the fullest extent of the law,” said Alvarez. “What made this crime that much more bold and deplorable is the fact that this defendant was willing to steal from his fellow officers.”

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