A politically connected insurance executive who was convicted in a $30 million fraud scheme last year is mentally competent to be sentenced, a federal judge ruled Wednesday.
Attorneys for Michael Segal argued that mental illness had rendered him unable to help them prepare for the sentencing hearing. His lawyers and psychiatrists said it was difficult to communicate with Segal, in part because of his belief that he was the victim of a conspiracy.
But U.S. District Judge Ruben Castillo sided with other medical experts who said Segal understands the sentencing procedures and can assist his attorneys.
“His preoccupation with the alleged conspiracy to take over his company and his anger/obsession with the legal proceedings against him is not necessarily an indication of incompetence,” Castillo wrote in a nine-page opinion.
Segal was convicted in U.S. District Court in Chicago of racketeering, fraud and other charges for raiding a company trust fund of millions of dollars to support a lavish personal lifestyle and expand his business.
He was ordered to forfeit $30 million. His company, Near North Insurance Brokerage, also was convicted.
Castillo set sentencing for Nov. 30. Segal faces a prison term of 30 years to life.
