Eight men and four women were selected Monday to serve on the federal jury that will decide whether 11th Ward Ald. Patrick Daley Thompson lied to federal bank regulators and filed false tax returns.

When Daley Thompson’s trial started Monday morning, he became the first sitting alderperson to face a jury since 1999 when the Silver Shovel scandal enveloped City Hall. No member of the Daley family has gone on trial before, and Daley Thompson’s legal woes can be seen as a clear sign that the family’s clout has ebbed to once-unthinkable levels.

Elected to the City Council in 2015, Daley Thompson, 52, had been considered the heir to the political empire built by his grandfather, former Mayor Richard J. Daley, and his uncle, former Mayor Richard M. Daley. Now, Daley Thompson faces not only seven criminal charges, but the Chicago City Council is poised to carve up the heart of the Daley political empire that ruled the city for decades.

The jurors who were selected Monday include an emergency medical technician, information technology professional, a part-time music teacher, furniture salesperson, a high school chemistry teacher and a shipping manager.

Four alternate jurors were also selected. 

U.S. District Judge Franklin Valderrama said opening statements were expected to take place Tuesday morning, with the first witnesses being called to testify soon after. The trial is expected to end Feb. 15.

Valderrama closely questioned several jurors about their views of Daley Thompson’s relatives, his position as alderperson and their opinion of politics in general to ensure that they would treat Daley Thompson fairly.

Daley Thompson did not speak during the all-day court session. Wearing a dark suit and a face mask, he rose when his attorney Christopher Gair introduced him to the first panel of prospective jurors only as “Pat Thompson.” At no point was Daley Thompson referred to by his complete name, and in court records he is referred to as Patrick D. Thompson.

The judge removed from consideration an attorney who works for the Chicago Housing Authority who used to be a prosecutor and chief of staff to an alderman.

Daley Thompson’s attorneys rejected jurors who told the judge that they had experience as an accountant, mortgage loan officer and internal bank auditor. 

In addition, Valderrama rejected their request to exclude a juror who said that politicians should be held to a higher standard but assured the court he would treat Daley Thompson fairly.

The criminal charges facing Daley Thompson arose out of a federal probe of Washington Federal Bank for Savings, a Bridgeport bank that failed in 2017.

Prosecutors are set to argue that between 2011-14, Daley Thompson “falsely represent[ed] on five years of income taxes that he paid interest on money he received from Washington Federal, even though he knew he did not pay interest in the amounts reported on the returns.” 

The indictment alleges Daley Thompson “received $219,000 from Chicago-based Washington Federal via a purported loan and other unsecured payments.” 

Daley Thompson made one repayment on the loan but then stopped making payments, and he failed to pay interest on the funds he received, according to the indictment.   

Washington Federal was shut down in 2017 by federal bank regulators after they determined it was insolvent. When the Office of the Comptroller of the Currency attempted to obtain repayment from Daley Thompson in 2018, he “falsely stated that he owed only $110,000 and that those funds were for home improvement, when Thompson knew he had actually received $219,000 and that $110,000 of it was paid by the bank to a law firm as Thompson’s capital contribution,” according to a statement from the Office of the United States Attorney for the Northern District of Illinois. 

In his only public statement on the criminal charges he is facing, Daley Thompson said he made “inadvertent tax preparation errors” and blamed his “incorrect memory about the amount of a personal bank loan.”

In a pretrial ruling, Valderrama said he would allow Daley Thompson’s attorneys to admit evidence that Daley Thompson filed amended tax returns in April 2019.

However, Valderrama blocked Daley Thompson’s attorneys from making any arguments centered on the intelligence of the alderperson, but plans to rule during the trial on whether Daley Thompson’s attorneys can make arguments about his “attention span,” “poor memory” and “disorganization.”

In addition, Valderrama said he would rule during the trial on whether Daley Thompson’s attorney can present evidence of Daley Thompson’s record of public service. 

Approximately a dozen others, including several high-ranking former bank employees, have already been charged as part of the ongoing federal criminal investigation into the failure of Washington Federal.  

The probe into Washington Federal was first revealed by the Chicago Sun-Times in a series of reports beginning in 2019.

Each false statement count Daley Thompson faces is punishable by a maximum sentence of 30 years in federal prison, while each tax count is punishable by up to three years. However, if convicted, Daley Thompson is likely to serve less time in prison based on sentencing guidelines. 

Daley Thompson is one of three sitting members of the Chicago City Council to be charged with federal crimes.  

Ald. Ed Burke (14th Ward) has pleaded not guilty to 14 counts of corruption and has been awaiting trial since his indictment in May 2019. Ald. Carrie Austin (34th Ward) was indicted on charges of bribery and lying to federal agents in August and has also pleaded not guilty.

Members of the public and the news media were not allowed inside the courtroom as part of an effort to stop the spread of COVID-19, and instead watched a live video feed from an adjacent courtroom.

All participants in the trial, including the jury, will have to be tested regularly for COVID-19, Valderrama said.

Contact Heather Cherone: @HeatherCherone | (773) 569-1863 | [email protected]