The fine is a civil matter which Illinois permits. Many people choose to ignore that demand and most of the time the letters stop after 2 or 3. A security guard does not have the authority to issue a warrant for your arrest. Since you already have a court date, you have already been arrested for (presumably) retail theft. Please retain a criminal defense attorney. S/he will also know how to handle those annoying demand letters.
They will send you more letters. We typically advise clients to ignore them if the law firm is from out of town. Whether you paid it or not will have no effect on the criminal case you have. Your money would be better spent on a lawyer for the case, or if you are indigent ask for a public defender.
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There's a better, more cost-effective way to deal with the demand letter than simply paying, or ignoring, it. A claim denial letter supported by Illinois law usually does the trick. Regarding what the security guard said, a warrant will ONLY be issued for you if you fail to appear in court on your court date. Based on what you have said about your finances, you should have a PD appointed to represent you. Ask him/her about the theft diversion program that will allow you to attend a class and obtain a dismissal of the criminal charge. Free consultation is available. www.galivanlaw.net