People v. Kilkelly

2026 IL App (2d) 240776
CourtAppellate Court of Illinois
DecidedFebruary 10, 2026
Docket2-24-0776
StatusPublished

This text of 2026 IL App (2d) 240776 (People v. Kilkelly) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
People v. Kilkelly, 2026 IL App (2d) 240776 (Ill. Ct. App. 2026).

Opinion

2026 IL App (2d) 240776 No. 2-24-0776 Opinion filed February 10, 2026

IN THE

APPELLATE COURT OF ILLINOIS

SECOND DISTRICT

THE PEOPLE OF THE STATE OF ILLINOIS, Plaintiff-Appellant, v. JANET E. KILKELLY, Defendant-Appellee.

Appeal from the Circuit Court of Lake County. Honorable Patricia S. Fix, Judge, Presiding. No. 24-CF-546

JUSTICE SCHOSTOK delivered the judgment of the court, with opinion. Justices McLaren and Hutchinson concurred in the judgment and opinion.

OPINION

¶1 An indictment charged defendant, Janet E. Kilkelly, with 5 counts of misapplication of

funds (720 ILCS 5/33E-16(a) (West 2022)) and 10 counts of official misconduct (id. § 33-3(a)(1),

(a)(2)). Defendant moved to dismiss the indictment, arguing that the statutory provision underlying

the charges for misapplication of funds was inapplicable to her alleged conduct and that the

indictment for official misconduct was obtained through the presentation of false or misleading

evidence. Following a hearing, the trial court granted the motion. The State appeals from that order.

We affirm.

¶2 I. BACKGROUND

¶3 On December 21, 2020, the City of Waukegan (City) passed a resolution (Resolution)

providing a one-time COVID-19 relief credit toward 2021-22 liquor and video gaming license fees

for qualifying businesses. In relevant part, the Resolution provided: “For the City of Waukegan local liquor and video gaming licenses issued pursuant to the

City of Waukegan Code of Ordinances Chapter 3, and for all licensees in good standing

during the period of May 1, 2020 through April 30, 2021, and with licenses displaying an

expiration date of April 30, 2021, the license renewal fees for the May 1, 2021 to April 30,

2022 license year, as defined in Sections 3-55 and 3-79 of the City Code, shall be granted

a 25% credit on their timely 2021-2022 renewal. This shall not apply to any business which

was not in good standing at the time of renewal, or which did not have a license during the

entire prior fiscal year (May 1, 2020, to April 30, 2021). This credit shall also not be

provided to any late filing licensee. This credit is not transferrable, and expires on August

1, 2021.” City of Waukegan Resolution No. 20-R-95 (eff. Dec. 21, 2020).

The Resolution was passed by the City Council, signed by the mayor, Sam Cunningham, and

attested to by defendant.

¶4 On March 13, 2024, defendant was indicted on five counts of official misconduct (720

ILCS 5/33-3(a)(1) (West 2022) (intentional or reckless conduct)), five counts of official

misconduct (id. § 33-3(a)(2) (knowing conduct)), and five counts of misapplication of funds (id.

§ 33E-16(a)). The offenses related to approving the subject credit for five businesses that were

allegedly not in good standing, as required by the Resolution. The approvals took place in May

and June 2021. There were three separate counts for each business, two counts of official

misconduct and one count of misapplication of funds, related to credits granted to the five

following businesses: Live Star Banquet Hall, Inc., Isla Del Mar #2, Taqueria Toluca #2, Golf Road

Citgo, and C.Y.O.C.

¶5 The misapplication of funds counts alleged that, in violation of section 33E-16(a) (id.), on

the specified date, “defendant, a public officer, being City Clerk and Deputy Local Liquor Control

-2- Commissioner for the City of Waukegan,” approved a credit for liquor and gaming fees for the

specified business despite knowing that the business was not eligible to receive the credit under

the Resolution. For the counts alleging official misconduct under section 33-3(a)(1) (id. § 33-

3(a)(1)), each count alleged that defendant, in her official capacity as city clerk and deputy local

liquor control commissioner, intentionally or recklessly failed to perform a mandatory duty as

required by law, in that, on the specified date, she failed to deny the business’s application for the

subject credit despite knowing that the business was not eligible for the credit under the

requirements of the Resolution. For the counts alleging official misconduct under section 33-

3(a)(2) (id. § 33-3(a)(2)), each count alleged that defendant, in her official capacity as city clerk

and deputy local liquor control commissioner, knowingly performed an act she was forbidden by

law to perform in that, on the specified date, she approved the application of the business for the

subject credit despite knowing that the business was not eligible for the credit under the Resolution.

¶6 To establish probable cause for the charges in the bill of indictment, the State presented the

grand jury with the testimony of one witness, Illinois State Police Officer David Juergensen of the

special investigations unit. Juergensen testified that defendant was elected city clerk in 2017, was

reelected in 2021, and continued to serve in that role. As the city clerk, defendant functioned as an

election official, legislative administrator, and records manager. Juergensen stated that defendant

submitted a letter to the city council proposing the Resolution to grant a 25% credit for liquor and

video-gaming license fees to businesses that were in good standing for at least one year. The

Resolution was presented to and approved by the city council. The mayor signed it, and defendant

attested to his signature. Juergensen further testified that, under a City ordinance, the mayor served

as the local liquor control commissioner and was authorized to appoint one deputy local liquor

control commissioner. In 2017, Mayor Sam Cunningham appointed defendant as the deputy

-3- commissioner, and she remained in that position through June 2021. In that role, defendant

possessed final authority to approve liquor and gaming licenses, including determining associated

costs and payments due. Also in that role, she evaluated the applications of businesses seeking the

COVID-19 relief credit at issue.

¶7 Juergensen further testified that during a separate unrelated investigation he obtained

memoranda, from defendant to the City’s finance committee, for every business that applied for

the COVID-19 credit. He discovered that defendant approved and issued the COVID-19 relief

credit to approximately 80 businesses that, according to the memoranda, were not in good standing.

He testified that defendant issued credits to Live Star Banquet Hall, which lacked fire department

and water department approvals and was not current on its food and beverage taxes; Isla del

Mar #2, which owed food and beverage taxes and late fees dating back to 2019; Taqueria

Toluca #2, whose water bill, business license, and food and beverage fees were past due dating

back to 2019; Golf Road Citgo, whose business license fee and food and beverage taxes were past

due dating back to 2019; and C.Y.O.C., whose business license fees and food and beverage taxes

were likewise delinquent dating back to 2019.

¶8 At the conclusion of Juergensen’s testimony, the State asked the grand jurors whether they

had any questions. One juror asked, “Was she getting anything out of like over-approving these

credits for the businesses that were in good standing?” Juergensen replied that there was no

indication defendant received any financial gain. Another juror asked, “What was her explanation?

Why did she do that?” Juergensen responded that she never offered an explanation. A third juror

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Cite This Page — Counsel Stack

Bluebook (online)
2026 IL App (2d) 240776, Counsel Stack Legal Research, https://law.counselstack.com/opinion/people-v-kilkelly-illappct-2026.