Edgeville Buzz

Former Edgewater Hospital CEO Pleads Guilty, Awaits Sentencing


Photo: Charles Osgood, Chicago Tribune

Former Edgewater Hospital CEO Peter Rogan, 69, pleaded guilty to perjury charges filed against him last week. Those charges came after Rogan lied in a 2006 sworn affidavit about assets in a trust fund operated in the Bahamas which he claimed he had no control over. In fact, he used $11 million from the fund to pay for personal expenses over a five-year period.

According to federal prosecutors, Rogan made millions off a huge Medicare fraud scheme before the Edgewater Hospital closed its doors in 2001. In the following years, Rogan conspired with his lawyer, Frederick M. Cuppy, to hide money in that trust fund to avoid creditors from collecting it towards the $188 million in civil judgements against him.

After fleeing to Canada, Rogan was finally extradited back to the U.S. three months ago to face the charges against him. Even though money was retrieved from the off-shore fund and other assets, Rogan still owes tens of millions from civil judgements.

Rogan, who is still in custody, entered into a 24-page plea agreement. In the plea, he admitted to creating a secret “Letter of Wishes” which instructed Cuppy, his lawyer and the administrator of the trust, to distribute all of the assets to Rogan. Cuppy was already sentenced in 2013 to one year in jail after pleading guilty.

If convicted, Rogan faces at least one year in jail, but prosecutors are set on him getting the maximum 21 months. Judge Harry Leinenweber will sentence him on Oct. 14, 2015.

For more, see the Tribune story.


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