Chicago Radio: Former Host Pleads Guilty To Fraud Charges

Kathleen Niew (Chicago Tribune)

Former WIND 560 AM radio host and  disbarred attorney pleaded guilty this week to federal fraud charges alleging she bilked more than $2.3 million from a couple who entrusted her with their life savings.

Kathleen Niew, 58, pleaded guilty "blind" to all 10 counts, meaning there was no agreement with prosecutors on a recommended sentence. Dressed in a black blazer and striped skirt, Niew put her left hand on her attorney's shoulder -- apparently to balance herself -- as U.S. District Judge John Grady asked her questions about her scheme.

"Are you having trouble standing?" Grady asked her at one point.

"No sir," she replied.

Preliminary calculations called for Niew to face up to 11 years in prison under federal sentencing guidelines, but Grady would be free to sentence Niew to whatever he deemed appropriate.

Sentencing was set for Oct. 1.

She still faces separate federal charges in South Carolina.

Federal agents arrested Niew last August at her suburban law office, where she had specialized in estate planning and probate law. A 10-count indictment alleged that an Oak Park couple had transferred $2.34 million into Niew's escrow account, money meant to be used for closings on commercial real estate transactions. Niew is accused of using the money for various mining operation investments between January 2010 and December 2012, prosecutors said.