On Thursday, President Joe Biden commuted the sentence of former Dixon, Illinois comptroller Rita Crundwell, who was convicted of embezzling more than $53 million from the city over a period spanning more than two decades, beginning in 1990. The commutation was part of a historic act of clemency, in which Biden reduced the sentences of 1,499 individuals who had been released to home confinement during the COVID-19 pandemic. The president also issued 39 pardons, making this the largest single-day clemency action in modern history.
In his statement, President Biden explained the decision by emphasizing the successful rehabilitation of those receiving clemency. “These commutation recipients, who were placed on home confinement during the COVID pandemic, have successfully reintegrated into their families and communities and have shown that they deserve a second chance,” he said.
Crundwell, now 71, was sentenced on February 14, 2013, to 19 years and seven months in federal prison for orchestrating one of the largest municipal frauds in U.S. history. She had pleaded guilty in November 2012, admitting to systematically embezzling funds from Dixon for 22 years. Under federal guidelines, she was required to serve 85% of her sentence, which would have kept her incarcerated until October 20, 2029. However, Crundwell was released early on August 4, 2021, after serving approximately eight years, and has since been on home confinement.
Crundwell’s scheme began in December 1990, when she opened a secret bank account under the city’s name that only she controlled. For over two decades, she siphoned funds from Dixon’s accounts into this unauthorized account. She then used the stolen money to fund an extravagant lifestyle, including supporting her horse breeding business, paying personal credit card bills, and purchasing real estate, such as homes in Illinois and Florida. To cover her tracks, Crundwell fabricated invoices to show auditors that the stolen funds were being used for legitimate city expenses. She also misled Dixon officials by blaming budget shortfalls on delayed tax revenue payments from the state of Illinois.
The fraud was uncovered in 2011 when then-Dixon Mayor Jim Burke, who has since passed away, reported Crundwell to federal authorities. The discovery came after another city employee, who was temporarily covering Crundwell’s duties while she was on vacation, stumbled upon records of the unauthorized bank account. Burke’s decision to involve authorities ultimately brought an end to Crundwell’s embezzlement.
At the time of her sentencing in 2013, the scale of Crundwell’s crimes shocked residents of Dixon. Many expressed disbelief at how she could continue the scheme for so long without showing any visible signs of guilt. One former Dixon resident, Mary Hahn, stated at the time, “I don’t know how she was able to sleep all those years knowing what she was doing to my hometown.”
Now, more than a decade later, Biden’s decision to commute Crundwell’s sentence has sparked widespread anger and disappointment. For many involved in the case, the move undermines the gravity of her crimes and sends a dangerous message. Former U.S. Marshal Jason Wojdylo, who spent four years recovering Crundwell’s assets, criticized the clemency. “Now, today I anticipate she’s dancing in the streets of Dixon with her commutation because she just also conned the President of the United States,” Wojdylo said. “This official act undid decades of work.” Wojdylo, who oversaw the auction of Crundwell’s luxury assets—including custom-made furniture and 405 horses—added that the overwhelming scale of her crimes made it nearly impossible to trace and account for everything she purchased with the stolen money.
Li Arellano, a former Dixon mayor who ran on a platform of restoring the city’s finances in the wake of the scandal, also condemned the decision. Arellano emphasized the lasting impact Crundwell’s fraud had on Dixon’s infrastructure and budget. “The message seems to be crime pays,” he said. “If you rob a town of $54 million, and then you think there’s less violence or that it doesn’t impact public safety, you’re wrong. There absolutely is more crime when you steal 10 to 20% of a city’s budget.”
Arellano explained that Dixon had been forced to delay essential infrastructure projects because of budget shortfalls caused by Crundwell’s theft. These delayed projects have only become more expensive over time. “What should have been about a $200,000 to $300,000 fix cost over a million and a half,” he said. “Things like that happened multiple times, and they’re still happening.”
David Greising, president of the Better Government Association, echoed these concerns, warning that the commutation undermines efforts to combat corruption in a state already notorious for public fraud. “This is a notorious fraud in the state of Illinois—a state with a history of corruption,” Greising said. “What’s the risk and reward? This reduces the risk when corrupt people are thinking they might stick their hand in the till.”
Adding to the controversy are allegations that Crundwell has shown little remorse for her crimes. Wojdylo stated that people close to Crundwell claim she remains unrepentant. “It’s shock. It’s outrage. I have spoken as recently as today with people even close to Rita Crundwell,” he said. “She is not remorseful. She never has been. Her only regret has only ever been that she was caught.”
Dixon City Manager Danny Langloss also expressed the city’s frustration in a formal statement, saying, “The City of Dixon is shocked and outraged with the announcement that President Biden has given Rita Crundwell clemency for the largest municipal embezzlement in the history of our country. This is a complete travesty of justice and a slap in the face for our entire community. While today’s news is unimaginable, the City of Dixon is in an incredible place today. We will continue to focus on the future and work to capitalize on the momentum we have created.”
Crundwell’s release date from home confinement had initially been set for October 20, 2028. However, with Biden’s clemency, her sentence has been effectively shortened, further fueling outrage among Dixon residents and officials. Many believe that this decision undermines justice for one of the most egregious financial crimes in U.S. municipal history.
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