Chicago Public Schools Chief Of Staff Charged With Lying To FBI

CHICAGO — A high-ranking Chicago Public Schools official was indicted Wednesday, accused of lying to federal investigators about giving a lobbyist inside information about a $1 billion in custodial contracts, according to court papers.

The feds allege that Pedro Soto lied to FBI agents about providing information to a lobbyist representing a firm bidding on a 2016 contracts for custodial services, engineering operations and other trade services. In 2016, Soto served on a committee evaluating the $1 billion contract, court papers show.

In December, federal investigators launched a probe into Soto's interactions with two unnamed lobbyists related to the contract. The investigation aimed to find out what information Soto provided them, and what benefits he was "offered, promised or had received" from one of the lobbyists, "Individual B," around the time he was on the evaluation committee, according to court documents.

On Dec. 17, Soto told investigators the lobbyist "would want to get information but I don't think I gave him anything." When asked if he told Individual B inside information about the contract, Soto told the feds, "I don't think I have, no. I would — I don't think so," according to court papers.

FBI agents also asked Soto if he had ever called Individual B to tell him he had information to share. Soto said he "did not think that happened," according to the charging document.

In 2016, around the time the contracts were awarded, Soto was the district's $$161,885-a-year school operations chief. In 2018, Soto got his salary bumped to $175,000 after being promoted to Chicago Public Schools CEO Dr. Janice Jackson's chief of staff. On Thursday afternoon, Jackson sent a memo to staff. Jackson wrote that she learned of the charges Friday and immediately accepted Soto's resignation.

"It is with immense disappointment that I inform you that Pedro Soto, who served as my Chief of Staff, was charged with making false statements to a federal agent regarding non-public information he secretly provided to a lobbyist in 2016," Jackson wrote in the memo. "Last Friday, I was informed of Mr. Soto's alleged conduct and immediately accepted his resignation from the district."

Jackson wrote in the memo that district inspector general "shut off Mr. Soto's access to CPS information systems, and began an internal review to help determine if Mr. Soto's alleged conduct had influenced any CPS actions."

In 2016, the Chicago Board of Education led by Chairman Frank Clark, the former ComEd CEO, approved expanded maintenance-related contracts with Aramark and SodexoMAGIC, which is partly owned by NBA legend Earvin "Magic" Johnson, who backed former Mayor Rahm Emanuel's 2105 re-election bid. In 2015, Inner City Youth Empowerment, a company co-owned by Johnson and business mogul Mark Walter, donated $250,000 to Emanuel's campaign fund, records show.

On Thursday, Jackson wrote in the memo to staff that a preliminary review shows Soto's actions did not influence the award of contracts or services and the lobbyist he provided information to has not represented current or former CPS vendors.

What remains unclear is whether the felony charges against Soto might be connected to the FBI's wide-ranging government corruption investigation, and where it might lead.

Sources told Patch that Soto, a longtime CPS employee, has political ties to federal mole and former Ald. Danny Solis. That connection dates to at least 2011, when Soto got paid $200 to work as a poll watcher for the 25th Ward Regular Democratic Organization.

Solis wore a wire as part of the ongoing federal probe that has lead to criminal charges against city and state elected officials and a deferred prosecution agreement with ComEd on bribery charges, which implicated House Speaker Michael Madigan.

Soto also has done political work for Emanuel, who Solis endorsed over challenger Chuy Garcia in the hotly contested mayoral run-off election in 2015.

In April and May 2105, Soto received two $2,500 payments for "consulting services" from the Chicago For Rahm Emanuel campaign fund, records show.

In July 2015, the Sun-Times reported that Soto was part of then interim CPS CEO Jesse Ruiz plan to stop the UNO Charter School Network from cutting ties with the United Neighborhood Organization, a Hispanic civic organization Solis founded in 1984.

It happened a few months after Emanuel tapped Ruiz — a longtime Solis ally who now serves as Illinois deputy governor of education in Gov. J.B. Pritzker's administration — to lead the school system after former CPS CEO Barbara Byrd Bennet resigned amid a federal bribery investigation.

Part of Ruiz's failed attempt to force the charter school network and UNO to merge in 2015 called for installing Soto as the new chief executive overseeing the charter schools, according to the Sun-Times report.

Soto did not immediately return calls seeking comment.