A former Chicago Housing Authority official and a construction company owner have been indicted on federal fraud charges from an alleged kickback scheme involving millions of dollars in public housing contracts.
Federal prosecutors charged a former Chicago Housing Authority director and a Chicago contractor in an alleged kickback scheme involving more than $4.8 million in CHA contracts.
Authorities allege Ryan Ross received more than $421,000 from contractor Vanessa Rhodes in exchange for steering work to her companies. Federal prosecutors announced that Ryan Ross, 50, and Vanessa Rhodes, 47, were each charged with eight counts of honest services fraud in an indictment unsealed Tuesday in federal court in Chicago.
According to the indictment, Ross served as a director in the Chicago Housing Authority's Property and Asset Management Department and allegedly accepted more than $421,000 in kickbacks from Rhodes in 2023 and 2024. Prosecutors alleged the payments were made in exchange for Ross steering more than $4.8 million in construction, renovation and maintenance work at CHA properties to Rhodes' company, Bell's Better Buildings Inc., which operated as Twenty Eleven Construction Inc., and another company affiliated with Rhodes.
Federal authorities allege the pair concealed the scheme by submitting false proposals, scopes of work and invoices to the CHA. Prosecutors also allege Ross used some of the kickback money to purchase a vehicle and pay for repairs and renovations on his home.
"Corruption in the awarding of public housing contracts undermines trust, distorts competition, and diverts already scarce resources," U.S. Attorney Andrew Boutros said in a statement. "Holding individuals accountable when they exploit their positions for personal gain is essential to protecting the integrity of our public institutions, ensuring that taxpayer funds are properly safeguarded, and making sure that everyday people in need of public housing assistance get the support they are entitled to under the programs.
Investigators with the U.S. Department of Housing and Urban Development Office of Inspector General and the Chicago Housing Authority Office of Inspector General assisted in the investigation.
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