On September 17, 2009, Williams was indicted on one count of embezzling union funds in the same amount. A former labor union president was sentenced in federal court for embezzling close to $20,000 from the union, announced Acting U.S. Attorney Clint Johnson. The Detroit Free Press reports that documents obtained from the U.S. Department of Labor (DOL) show embezzlement took place in hundreds of union offices across the nation over the past ten years. The verdict follows an investigation by the OLMS Los Angeles District Office. He said the team has implemented as many safeguards as possible, with multiple signatures required on all financial paperwork with real-time bank account reviews. Since 2001, there have been more than 2,000 union racketeering indictments and $3 billion levied in fines and restitutions. Subsequently, Scott was sentenced to two years of unsupervised probation. On November 23, 2009, in the United States Court for the Western District of Louisiana, an information was filed charging David Matthis, former Secretary Treasurer of American Postal Workers Union (APWU) Local 205 (located in Alexandria, La. ), was charged with one count of larceny over $250, relating to the taking of union funds in the amount of $24,795.The charge follows an investigation by the OLMS Boston District Office and the Massachusetts State Police. Former United Auto Workers President Gary Jones pleaded guilty Wednesday to racketeering and embezzlement. On September 15, 2008, a jury found Cook guilty of one count of embezzling union funds and one count of making a false entry in union records. The indictment follows an investigation by the OLMS Buffalo District Office. The guilty plea follows an investigation by the OLMS Washington Distrct Office. On November 30, 2009, in the United States District Court for the District of Minnesota, Edward Kobe, former General Chairman of United Transportation Union (UTU) General Committee of Adjustment 325 (located in Duluth, Minn.), pled guilty to embezzling union funds in the amount of $16,200. The information follows an investigation by the OLMS San Francisco District Office. The charge follows an investigation by the OLMS Cincinnati District Office. An investigation concluded that Vafias was involved in a no-show job scheme associated with the 2 Broadway Project and Operating Engineers Local 14 (located in New York City, N.Y.). Copyright 2019 WBTV. We have also at times withstood investigations that have tested our goodwill," he said. On June 19, 2009, Elsezy had pled guilty to one count of theft in a special maritime and territorial jurisdiction of the United States. If I would mail my dues to her, my receipt would come back with a little note saying she hoped all is good and maybe it had stickers on it. Brown, former President of Federation of Teachers Local 5095 (located in Butte, Mont. The sentencing and plea follow an investigation by the OLMS Detroit District Office. Some explain that embezzlement is happening now because non-financial professionals are in positions handling union finances. As the UAW,Fiat Chrysler and federal investigators unravel a scandal over the misappropriation of millions ofdollars meant for worker training, federal records show that embezzling from union offices is endemic around the country. On December 14, 2009, in the United States District Court for the Southern District of New York, Wayne Mitchell, former President of Communication Workers of America (CWA) Local 14170 (located in New York, N.Y.), was charged with embezzling union funds in the amount of $200,000. On August 12, 2008, Rhoades was indicted on one count of embezzling union funds in the amount of $8,001.86 between June 2006 and November 2006. The plea and sentencing follow an investigation by the OLMS Cincinnati District Office. On January 6, 2021, in the United States District Court for the Eastern District of Missouri, Scott E. Rodgers, President of National Postal Mail Handlers Union (NPMHU) On February 19, 2009, in the Cuyahoga County, Ohio Court of Common Pleas, Willie Harris, former Secretary-Treasurer of AFGE Local 2823 (located in Cleveland, Ohio), was sentenced to two years probation and ordered to make restitution in the amount of $5,784.61 following a guilty plea to one count of aggravated theft. On March 25, 2009, Dallas pled guilty to one count of embezzling union funds in the same amount. On June 3, 2009, in the United States District Court for the Southern District of Indiana, Keith W. Hart, Jr., former Financial Secretary of Bakery Workers (BCTGM) Local 315G (formerly located in Mt. It oversees more than a dozen local unions representing state workers, education workers, healthcare workers and others. They were allegedly working together to take a million dollars from the self-insured health plan of the union. Please enter valid email address to continue. On November 16, 2009, in the United States District Court for the Western District of Pennsylvania, Michael Rhoades, former Secretary Treasurer of Communications Workers Before sharing sensitive information, make sure youre on a federal government site. On September 1, 2009, in the United States District Court for the Middle District of Florida, Tarris D. Dallas, former Financial Secretary-Treasurer of Steelworkers Local 9-415 (located in Fernandina Beach, Fla.), was sentenced to five years of probation and ordered to make restitution in the amount of $104,713.45 and pay a special court fee of $100. .manual-search ul.usa-list li {max-width:100%;} On April 1, 2009, in the United States District Court for the Central District of California, Rosa Miriam Della Porta, former bookkeeper of International Longshore and Warehouse Union (ILWU) Local 26 (located inLos Angeles, Calif.), was found guilty of embezzling union funds. An information is a formal accusation of a crime by a government attorney rather than a Grand Jury. The sentencing follows an investigation by OLMS Dallas District Office, EBSA Dallas District Office, and the Department of Labors Office of Inspector General. Secure .gov websites use HTTPS The site is secure. On September 10, 2009, in the United States District Court for the Southern District of New York, Nicholas Maddalone and Paul Maddalone, former Executive Board Members of Amalgamated Transit Union Local 1181 (the primary union that represents school bus drivers in New York City), pled guilty to conspiracy to commit extortion for participation in a scheme, along with other union officials, to use their union positions and the fear of economic harm to obtain cash bribes from employers. WebThe racketeering charges contained in the indictment are the result of Operation Wax House, an ongoing investigation into securities and mortgage fraud targeting communities in the The charges follow a joint investigation by the OLMS Los Angeles District Office, Department of Labor's Office of the Inspector General, the FBI, and the IRS. A lock ( On September 29, 2008, Bentzen pled guilty to one count of bank fraud.The sentencing follows an investigation by the OLMS St. Louis District Office. On March 27, 2009, in the United States District Court for the Northern District of Florida, Glen Gard, former Secretary-Treasurer of Machinists Local 2460 (located in Pensacola, Fla.), pled guilty to one count of embezzling union funds in the amount of approximately $90,500.The plea follows an investigation by the OLMS Miami Resident Investigator Office. On February 6, 2009, in the United States District Court for the Southern District of New York, George Ortiz, former New York City Department of Education School Bus Inspector, pled guilty to extorting and accepting bribes in a program receiving federal funds. First published on October 13, 2021 / 2:43 PM. I mean, the teacher at my sons high school just embezzled from the homecoming fund.. You also can email OLMS-Public@dol.gov or call 202-693-0143 with your complaint or questions. Houston Gateway Academy is a charter school located in the Gulfgate area of Houston. The sentencing follows an investigation by the OLMS Detroit District Office. The sentencing follows an investigation by the OLMS Miami Resident Investigator Office. The sentencing follows a joint investigation by the OLMS Cleveland District Office and the Veterans Administration's Office of the Inspector General. His trial is scheduled for March 19. In the case of embezzlement in unions, money comes in from union dues. On March 30, 2009, in the United States District Court for the Northern District of West Virginia, Steven Snyder, former Financial Secretary of Steelworkers Local 5724 (located in Clarington, Ohio), was sentenced to five months incarceration after pleading guilty to embezzling $78,893.47 in union strike fund benefits. The International Brotherhood of Boilermakers Local 154 in Pittsburgh saw its former business manager plead guilty in September 2017 to embezzling approximately $1.5 million, plus tax evasion. ), with one count of larceny over $250 for embezzling $7,696 from the two locals. Many in the public perceivelabor unions to besynonymous with corruption. On July 30, 2009, Kelly pled guilty to one count of embezzling union funds in the amount of $97,970.71. The plea follows an investigation by the OLMS Chicago District Office. On February 3, 2009, in the United States District Court for the Eastern District of Kentucky, Mervin Patrick Getzen, former Secretary Treasurer of UAW Local 2926 (located in Shelbyville, Ky.), was sentenced to three years probation, six months home detention, and order to pay a $100 assessment. Prosecutors noted federal laws heavily regulate union finances, so the odds of discovering wrongdoing are greater than in the private sector. All rights reserved. One financial analystrecalled working with a treasurer who was dyslexic and another who had trouble balancing his own checkbook. On June 10, 2009, in the United States District Court for the Western District of Michigan, Belinda K. Woods, former President of Communications Workers Local 84-415 (located in Grand Rapids, Mich.), pled guilty to one count of embezzling union funds in the amount of $10,988.86 and one count of falsifying union records. Gina Balaya, public information officer with the U.S. Attorneys Office in theEastern District of Michigan, said, The U.S. Attorneys Office works closely with the Department of Labor, Federal Bureau of Investigation, Internal Revenue Service, and other law enforcement agencies to investigate and prosecute significant financial crimes committed in this district, including fraud and embezzlement. Brown was alleged to have taken union funds in the amount of $6,467.05. ), pled guilty to embezzling union funds in the amount of $16,221.30. The plea follows an investigation by the OLMS New York District Office. The indictment follows an investigation by the OLMS Nashville District Office. A guilty plea is a defendants admission to the court that he or she committed the offense charged and an agreement to waive the right to a trial. 2023 CBS Broadcasting Inc. All Rights Reserved. On April 28, 2009, in the United States District Court for the Western District of Pennsylvania, Christine S. Throckmorton, former office secretary/bookkeeper for Hotel Employees Restaurant Employees Local 57 (located in Pittsburgh, Pa.), was charged with one count of embezzling union funds in the amount of $9,674.95. And it takes a while to uncover, McCormicksaid. Examining the rise of embezzlement in unions around the country can help to put this issue in perspective. Ironically, the jobs he strong-armed were for friends and family members, some of whom werent even union members. Perez was immediately sentenced to two years probation and 140 hours of community service, and he was ordered to pay a $25.00 special assessment. Often, the person or people that took part are typically members of the organization that everyone likes. An experienced attorney can help you to determine which course of action to take next. [CDATA[/* >