Former Gary Mayor Jerome Prince sentenced after taking plea deal for illegal use of campaign funds

Former Gary Mayor Jerome Prince was sentenced Thursday at the U.S. District Court in Hammond for using campaign funds to buy a home in the city’s Miller neighborhood.

U.S. District Judge Philip Simon handed Prince one year of probation and a $26,750 fine, the amount of funds he used to buy the home.

Prince on Oct. 9 admitted to one count of wire fraud in exchange for federal prosecutors not pressing more charges against him and anyone else involved in the scheme.

The former mayor doesn’t have to pay restitution to donors, Simon decided Thursday. Assistant U.S. Attorney Kevin Wolff told the judge it would be impractical to request restitution because Prince had dozens of donors over the years, and it would be difficult to decide who gets paid back.

“This case is pretty straightforward,” Wolff said before Prince’s sentencing. “He admitted to everything pre-indictment … the probation and fine are appropriate.”

Prince didn’t comment at his sentencing, but his attorney, Kevin Milner, said the guidelines in the plea were appropriate.

After his Oct. 16 hearing, Prince released a statement, according to Post-Tribune archives.

“After careful consideration, I have made the difficult decision to accept a plea agreement in relation to the investigation into my use of campaign finances,” Prince told the Post-Tribune via text. “I understand the seriousness of the situation and the importance of taking responsibility for my actions. I sincerely apologize to my donors, constituents, and everyone who placed their trust in me over the past 24 years.”

Simon asked Wolff if the actions were still considered public corruption, and Wolff said they were because Prince was entrusted with the funds for a political purpose.

Simon told Prince it’s important to send a message to the community and other elected officials. He called the offense “pretty egregious.”

“This felony will stay with you until your dying day,” Simon said. “This stain will haunt you. … That’s punishment enough.”

On Oct. 10, 2019, Prince wrote a $7,000 check to cash from the Committee to Elect Jerome Prince for Mayor, he admitted. The next day, he used $5,000 in a cashier’s check to a real estate brokerage as the initial payment for a personal residence, according to records.

The $7,000 withdrawal was not included on the required report of campaign committee expenses, and Prince in 2019 was the only signatory authority on the account.

On Oct. 14, 2019, Prince wrote another check from the committee to an unnamed company for $19,750, which also wasn’t listed on committee expenses, according to case information. The funds were transferred from the company to an unnamed individual, and on Nov. 21, 2019, Prince caused a wire transfer of $31,100 from the personal bank account of that individual to Chicago Title Company.

Prince was elected mayor in November 2019. Gary Mayor Eddie Melton defeated him in the May 2023 Democratic primary when Prince ran for re-election.

Prince previously represented the city’s Fifth District on the Gary Common Council, was a member of the Lake County Council, and served as county assessor.

Simon told Prince in court Thursday that he was drawn to his story, especially because he married his wife, DeAnna, as a junior in high school. The judge wished Prince luck after his sentence.

mwilkins@chicagotribune.com

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