Mar.25, 2010
The Lincolnwood couple who own Evanger's Dog and Cat Food Co. in Wheeling are accused of illegally diverting more than $1.7 million worth of gas and electricity to operate the company and its manufacturing plant.
Joel Sher, 54, and his wife, Holly Sher, 54, appeared Wednesday morning at a bond hearing at the Cook County Criminal Courthouse at 26th and California on charges of felony money laundering and theft.
Judge Donald Pararese set bond at $250,000 for Joel Sher and $200,000 for Holly Sher, both of the 6500 block of North Navajo Avenue. They were ordered to surrender their passports and are due back in court on April 14.
Authorities also seized $2.3 million belonging to the couple from a Chicago bank, saying it was in connection with the investigation.
The Shers' attorney, Larry Levin, said he's hopeful his clients will post the required 10 percent to be released on bond.
"Once all the evidence is brought forth in court, I'm confident they'll be exonerated," Levin said. "And in the meantime, it's anticipated the business will continue to be viable and properly operated."
According to the Evanger's Web site, the company, at 221 S. Wheeling Road, was founded in 1935.
It uses all-natural ingredients to make high-end pet food, including kosher products and customized recipes. Evanger's was also featured on a Food Network TV show with Rachael Ray in March 2008.
The Shers took over as owners in 2002.
According to a news release by the Cook County State's Attorney's Office, there had been several reports of unusual activity relating to an illegal gas hookup at the company since the Shers became Nicor customers in 2003.
The reports included employee tips and the discovery of an illegal gas hookup by Wheeling authorities when they investigated a gas leak at the factory.
Evanger's employees were directed by the Shers not to allow Nicor officials on the premises to read gas meters, according to a State's Attorney's Office investigation last year.
In addition, authorities said Joel Sher ordered his workers to use jackhammers to dig concrete and asphalt to divert gas lines, even supplying them with a tool to help roll back gas meters.
To steal electricity, Sher told employees to attach wires and fuses to high tension wires to redirect the power, authorities said.
In one instance, authorities said Sher gave an employee rubber gloves with directions to go up on a forklift and disconnect an illegal bypass that had been attached to a high voltage line.
In total, an analysis showed about $1.728 million in gas and electricity had been stolen, authorities said.
This isn't the first encounter with authorities for Evanger's.
The village of Wheeling has issued a number of code violations dating back to 2006, mostly dealing with public nuisance, property maintenance and exterior sanitation. One issue involved a strong odor permeating from the property. Two of the cases are still pending in court, Village Manager Jon Sfondilis said.
In 2008, the U.S. Food and Drug Administration found the company deviated from certain requirements that could result in botulism in under-processed pet food. The agency issued a temporary emergency permit, but subsequent inspections showed the company was still noncompliant.
The FDA suspended the permit last June, meaning Evanger's could no longer ship pet food in interstate commerce. Spokesman Ira Allen said there is no record of the FDA ever lifting the suspension.