A scandal rocked the small Illinois town of Dixon and shocked people all over the country. Rita Crundwell—who was the city’s treasurer, stole an unbelievable $53 million from taxpayers over a number of years—all while acting like a good public servant. But in the end, her lavish lifestyle, which was paid for by stolen city money, was found out by someone who knew her best—a fellow city worker. That person was Dixon’s deputy treasurer at the time, Kathe Swanson. She found Crundwell’s secret bank account and reported it, which led to the arrest of one of the most notorious thieves in history.
In a strange turn of events, Swanson was the one who found out about Crundwell’s scam that went on for decades. The first episode of Scam Goddess, which airs on January 15 at 8 p.m. goes into great detail about this case. Host Laci Mosley takes viewers through the scandal’s many twists and turns. Swanson didn’t just make people aware of the crime, though; she also had to deal with mental health problems and eventually pulled away from public life after a rough few years.
Who is Kathe Swanson?
Kathe Swanson did more than work with Rita Crundwell. She was a whistleblower who changed Dixon’s history. Swanson worked for the city for a long time and was the deputy treasurer and clerk. She was in charge of the city’s money and all of its financial transactions. She worked close to Crundwell, who was Dixon’s treasurer for more than 20 years and was in charge of the company’s money.
In 2011, Crundwell took a vacation, so Swanson filled in for her for a while. At this point in time, Swanson made the shocking discovery that would eventually bring down Crundwell. Swanson wanted to get her work done quickly, so she asked to look over all of the city’s bank accounts, which was a common way to make sure that money was being handled correctly. This simple question, on the other hand, led to the discovery of something much worse.
Swanson was looking through the bank records when she found a strange account that wasn’t in the official records for the city. The fact that the City of Dixon’s name was on the account made it appear even stranger. But the account’s transactions didn’t make sense—they were big, they happened often, and they didn’t seem to have anything to do with the city’s business.
When Swanson realized something was seriously wrong, he told Dixon’s mayor, Jim Burke, right away. They put together the horrifying truth: Crundwell had been stealing millions of dollars from the city for more than twenty years, paying for her fancy life with expensive horses and a well-known equestrian career with the money.
The Discovery and Its Aftermath
As soon as Swanson was found, Mayor Burke called the FBI. The police told both Swanson and Burke to keep quiet about what was going on while they started a full investigation into Crundwell’s financial activities. Behind the scenes, the FBI worked for months to find proof and build a strong case against the thief.
Rita Crundwell started her scheme in the early 1990s, when she opened a secret bank account in her name and said the money was for city expenses. The shocking total of the money she put into this account over the next 20 years was $53 million. While Dixon’s city services were being cut, the stolen money was used for personal things like horse ranching, travel, and other nice things.
No matter how big her lie was, Crundwell was able to get away with it for years because she was good at controlling the people around her. Her coworkers, including Swanson, had full faith in her. Many of them had worked with Crundwell for decades, and they liked her because she was nice and worked hard. But Swanson knew something wasn’t right, and her careful attention to detail was what finally brought the whole plan to an end.
Crundwell was arrested in April 2012 and charged with wire fraud. He was later given a sentence of 19 years and 7 months in federal prison. Swanson went to the sentencing because she wanted Crundwell to say sorry. Unfortunately, Crundwell didn’t feel bad about what she did. She only said sorry to her family and friends, not to the people of Dixon who she had hurt.
What Happened to Kathe Swanson’s Health
Finding out about Crundwell’s fraud by Kathe Swanson was a big help to the case, but it cost her personally. Because working on the case put so much stress on Swanson’s mind and emotions, she was diagnosed with post-traumatic stress disorder (PTSD). Over the next few years, the stress and pressure built up, and in a tragic turn of events, Swanson almost had a heart attack after hearing about another fraud case in the city that had nothing to do with the case at hand.
Because of this health scare and the emotional toll of the scandal, Swanson quit her job at Dixon City Hall in 2016. It was hard for her to decide to stay out of the public eye and focus on her health and happiness, but it let her put those things ahead of the traumatic events that had been a big part of her life for so long.
Where is Kathe Swanson Now?
According to the Association of Certified Fraud Examiners (ACFE), Kathe Swanson earned the Sentinel Award in 2018 for her work in revealing Crundwell’s fraud. The award was given at the 29th Annual ACFE Global Fraud Conference, and the crowd gave it a standing ovation. Swanson showed her appreciation by thanking her family and coworkers for being there for her during the hard time.
Swanson had already started to get over the emotional damage the scandal had done to her by that time. “I have finally received my closure,” she said as she thought about her part in bringing Crundwell to justice. Swanson did get attention from the public, but she chose not to stay in the spotlight. Instead, she thought about the good things in her life, like her family, her health, and the future.
Kathe Swanson has enjoyed a calmer, more satisfying life with her family since she retired. She has more time to spend with her grandchildren and her three children: her son Taylor, her two daughters Courtney and Nicole, and her son Nicole. Swanson has always loved her family and friends very much, and she makes sure to enjoy every moment with them. Swanson has said that she is proud of her children’s achievements. For example, her son Taylor is happy with his partner, Nic Uni.
Swanson has moved to a new town in Illinois, far from where the scandal that used to rule her life happened. She is still close to her family and loves going on trips with her partner, Tom. Even though Swanson played a big part in finding one of the biggest fraud schemes in U.S. history, she wants to stay out of the spotlight and focus on her health and family.
Even though the Rita Crundwell case may never be forgotten, Kathe Swanson has found peace. It is important to stand up for what is right, no matter what the cost to yourself. Her story is one of bravery and strength. There will always be a place in history for Rita Crundwell, but Kathe Swanson is ready to move on to the next part of her life and focus on the people who are most important to her.
Read More: Rita Crundwell: Where Is the Scammer Now? The Aftermath of Her Scamming Scheme