Harvey faces financial crisis, other cities to follow? - New York News

Harvey faces financial crisis, other cities to follow?

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CHICAGO (FOX 32 News) -

The treasurer of south suburban Harvey told FOX 32 News the city is running out of cash to pay its bills.

"I'd say yes, we're getting short on cash. Absolutely," said Treasurer Gloria Morningstar.

It’s among dozens of Illinois communities on the verge of financial collapse, because of mismanagement and economic decline.

Angry aldermen claimed Mayor Eric Kellogg and his aides hid details of the growing crisis.

"We must start addressing these issues. We can't just keep acting like they don't exist," said Alderman Keith Price.

Harvey and its former comptroller were accused of fraud last week by federal regulators. The city has more than $26-million in unpaid bills.

FOX 32’s Mike Flannery has MORE. Stay tuned to FOX 32 Chicago for developments.

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