The horses take a nasty fall, Part 2 of 2

As the comptroller for the small town of Dixon, Ill., since 1983, Rita Crundwell managed all financial aspects of the city funds, including transferring money between accounts, writing checks and authorizing payments. Her salary was $80,000 per year, but she enjoyed a lavish lifestyle and was a nationally known horse breeder. After a city clerk found a problem in the city's accounts, the mayor contacted the FBI. Six months later, agents arrested Crundwell. She has pleaded not guilty to misappropriating $53 million in city funds.

On April 23, 2012, the members of the Dixon (Ill.) City Council voted unanimously to fire Rita Crundwell, 59, the city's comptroller. Crundwell had tried to resign over the weekend but the mayor rebuffed her. He and the council wanted to ensure that she wouldn't receive any pension benefits for her time.

The FBI arrested Crundwell on April 17 on one count of wire fraud, in the amount of $175,000, with the stipulation that more charges could be coming as the investigation unfolds. She was released on a $4,500 recognizance bond. Wire fraud carries a maximum penalty of 20 years in prison and a $250,000 fine.